Options Jerry: Well, my best tip is advice you most likely do not need, but I will give it anyway....<g>
Always have a plan and always trade that plan! After your decide on a stock you are going to trade...via fundamental analysis, technical analysis or via sentiment/momentum plays, make sure you do the following...ALWAYS:
1- Have a entry point or a trading system entry signal.
2- Have a profit point or a trading system exit signal.
3- Have a stop loss (always mental if you can be there to watch the trade)
4- If your stop loss is reached, always close the trade ASAP, always. Commissions are just to cheap not to.
5- If your profit point is reached or your system gives a exit signal, take the profit. No one ever went broke taking profits. If you determine that you believe you can trail a stop loss and ride the win, do it. But, tighten up your stop loss and trail it a set amount behind the profit. If during the run your trailing stop loss is reached, close the trade ASAP, always.
6- If after you close the trade as a winner or looser and you determine the stock is tradable again, start the process over.
7- If you try to trade a stock three times and each is a loosing trade, find another stock the trade. You can't read them all. Never try to get even with a stock, move on and find one you can win with.
Those are my SEVEN daytrading rules...<g>
Regards,
LG |
