Updated: Jul 22
Here are the most common rules for Trader
v Rule 1: Day trading is not a strategy to get rich quickly!
v Rule 2: Day trading is not easy. It is a serious business, and you should treat it as such!
v Rule 3: Always ask yourself, if you understand why the current price is moving or not. If not, avoid to enter!
v Rule 4: Success in trading comes from good risk management - finding low-risk entries with a high potential reward. The minimum win : lose ratio should be 2:1!
v Rule 5: Retail traders trade often Alpha Predators, high relative volume stocks that have fundamental catalysts and are being traded regardless of the overall market. That´s why they are very volatile!
v Rule 6: Experienced traders are like guerrilla soldiers. They jump out at just the right time, take their profit and get out!
v Rule 7: Don´t bet on enormous price actions, there is a reason why big investor’s don´t jump on board to move the stock!
v Rule 8: Indicators only indicate; they should not be allowed to dictate.
v Rule 9: Profitable trading does not involve emotion. If you are an emotional trader, you will lose your money.
v Rule 10: On of your biggest skills as a trader has to be patience!