The Secret of Successful Trading

"Successful traders have a larger edge and better money management than unsuccessful traders. Unlike popular belief however, this study shows that the smaller edge of successful traders is not the cause of their failure. Traders' failures can be explained almost exclusively by their poor money management practices."

"The Secrets of Successful Trading", Fernando Diaz

Friday, March 13, 2009

Short entry 11:45

This short entry was initiated with the right setup, A lower high from the yesterday's extreme and also a double top. I was in the short at the 1st signal where price generated lower low and lower high. The short did not when into profit but moved against me for about 10 pips. Feeling that the price might not reverse back but instead ready to move higher i closed my position out before the price manage to break the former high. The price did not create a high but rather a lower high. An entry was possible from the 2nd swing high which i did not take. But anyhow from here i learned that inorder to avoid closing a potentially good trade. wait patiently for price action to form. was out at -8

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