What the heck am I talking about?
It is often said that to grow mentally, spiritually, emotionally and personally that you have to stretch and move out of your comfort zone. I definitely believe in this concept, however... When it comes to day trading, swing trading or position trading stocks, futures, options or forex, going outside your comfort zone can be dangerous!
Let me explain... Say, a trader is used to buying 100 shares of a stock at a time with the average value of $50/share. He/she is very comfortable with putting this amount at risk. They never experience any anxiety and can sleep well at night at this level. However, watch what happens when these traders decide to up their ante to 200 - 300 shares.
All of a sudden they are worried about every tick against them and start riding an emotional roller coaster based on the current price of the stock. At these levels they become much more emotional and their judgment becomes cloudy at times. Now they start making bad decisions that never occurred at the 100 share level.
A good idea is for you to take a good hard think about "what size trader" you are and where you are completely comfortable at. Write these numbers down and force yourself to never deviate from them. When the time does come to raise your bet size up, do it in increments over time. For example: If you want to go from 100 -200 shares, do 120 on week number 1, 140 on week number 2 etc.
I assure you, that by sticking to the concepts in this article that you will make trading a much more comfortable and profitable experience. Be patient and stay focused and the money may roll in at levels you never thought possible!
This article by Dr. Jeffrey Wilde, a trading veteran with 15 years of experience in all major markets. He is a trading coach to over 1400 traders in 38 countries.
For additional info: http://www.win-at-trading.com
tidy up service Northbrook ..Well maybe that's overstating it a little, but it's certainly... Read More
On the 40 year journey through the turmoil of a... Read More
When you stand on the ocean shore and watch the... Read More
One of the great truisms of Wall Street is "Don't... Read More
Caught in a whirlpool and being sucked under. No life... Read More
The gleam and bright lights of Wall Street lure in... Read More
Robert Rodriguez likes to buy stocks at their lows. When... Read More
Money: the most charged word in the planet. It means... Read More
As an investor you will want to check out any... Read More
For the last few weeks we have seen the stock... Read More
One of the most believed bits of conventional wisdom from... Read More
Before you buy another car you walk around the lot,... Read More
After finding the price of a particular stock, usually the... Read More
For years investors have been taught to look into the... Read More
When an individual investor wants to roll up his sleeves... Read More
Day trading is all about making buy and sell decisions.... Read More
Humpty Dumpty had a great fall and all the King's... Read More
Are you attracted to the idea of being in control... Read More
Stock investment advice is easy to find. Do you get... Read More
Reach in your pocket and take out that big roll... Read More
On Friday or Saturday evening my wife gets a movie... Read More
When the stock market is going up and all your... Read More
All of the talking heads have been telling us that... Read More
I cringe every time I hear a novice investor tell... Read More
This is the continuing story of our two imaginary traders,... Read More
reliable home cleaners Buffalo Grove ..You read and hear a lot about hedge funds. Unfortunately,... Read More
There is so much involved in developing peak performance, that... Read More
I go to the Money Show every year to visit... Read More
If you have been watching the stock market at all... Read More
How many times has this happened to you? You're at... Read More
Professional stock options traders use the term lean to refer... Read More
TOO OFTEN, INVESTORS SIMPLY CHOOSE TO follow the crowd. This... Read More
1. Do not spread your money too thin.My friend has... Read More
How do you invest? What do you really pay? At... Read More
One of the great "secrets" of successful people is discipline... Read More
If you are a baby boomer, time is not on... Read More
It has fallen upon the consumer to make our economy... Read More
If you have not back tested your trading system, you... Read More
During the day I watch CNBC-TV, the stock market channel.... Read More
There are many good penny stock investments available, which could... Read More
Let me start by saying that...Most online brokers do not... Read More
So you're started trading, you bought some positions with your... Read More
The demand for world oil is increasing while world reserves... Read More
I made my very first investment in the stock market... Read More
The trading method you employ to approach the stock market... Read More
We learnt the following the hard way! If any of... Read More
When it comes to mutual funds, there is a lot... Read More
The trash business in its efforts to cook their books... Read More
What is leverage?Here is a definition of leverage from an... Read More
We keep hearing about this bear market and that the... Read More
Stocks & Mutual Fund |