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, January 8, 2010

manage your loss !

"Trading is not about how much you make when you are right but how much you lose when you are wrong."
Its absolutely motivating when we do get a string of winners but this also has its underlying danger as well, our ego and stubbornness might also increase proportionally with the no. of winners that we have thus the loss that follows a string of winners tend to be big and might wipe out our profits. so do pay attention to bad trades when they do occur as this would definitely help in your trading career. ;)

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