by admin on August 19, 2009
Introducing: The Little-Known Position Sizing Trick
That Can Double Your Returns
Regardless Of What Market Or System You Trade.
I thought I would give you a progress report card. April 09: +8.07%, May 09: +6.93%, June 09: +3.14%, July 09: +9.21% As always, thanks for your support and help.
Jerry Q. - Hi-Tech Manager
Here is your chance to learn that plus:
- Why money managers only risk 1-2% per trade and still make great returns.
- How to make strong profits using the daily charts and trading only 10 minutes per night.
- Why ETFs are the best instrument to trade.
- So far the experience has been very positive, your webinars and the daily blog are both great and highly educational. For the first time in my life I have a feeling that I can become a successful trader! Even before I ordered the course, my gut feel was telling me that this is what I’ve been looking for. It didn’t disappoint! As I’m learning the system each day, I fall in love with it more and more because of its simplicity and strict money management rules. I’d say, “Don’t hesitate and
purchase it!” Mark D. - Database Systems Manager
Complimentary Priority Registration
Reserve your spot for this complimentary web-seminar.
They will send you the private login instructions that will give you priority access to this web-seminar.
- Complete without overcomplicating.
Tim W.
-I like the course it has been a large benefit to my learning to trade. I suspect that if I had not come to it with some experience-losing experiences-I would not appreciate it nearly as much as I do. It is a great course. Prospects would do well to invest in your training. Your money management is superb. I wish I had learned it much sooner. And the back testing that I have done, though not critical, suggests that it is very good a spotting the onset of a trend or trend reversal.
James. L – Retired
The Little-Known Position Sizing Trick
That Can Double Your Returns
Regardless Of What Market Or System You Trade.
Overtrading
Overtrading is one of the most common and deadly mistakes new traders make. The FX Market moves fast. Very fast actually. New traders tend to get caught up in the wild volatility that can oftentimes be present in the market, and they tend to fall prey to reactionary trading. For example, Bob is sitting in front of his computer, looking at a 5 minute chart on the GBP/USD. As price begins to move up 5, 10, 20 pips, Bob is simply watching green candlestick after green candlestick form. Finally, Bob decides he has to get in on the action, as he is convinced price is going to continue moving in the same direction. Then, as he enters his long position in the GBP/USD, price instantly reverses and begins moving back down 5, 10, 20 pips. Suddenly, Bob cuts his loss at 20 pips. After a few minutes, the same scenario unfolds. This is a sure way to lose money as a new trader. This style of trading will often lead to placing way too many trades in a trading session. Instead of placing 5-10 trades in a single trading session, new traders would be better served by planning out their trades with extreme detail, and then seeking to take 1-2 trades per trading session.
Lack of planning
Excited about the potential for large profits in the FX Market, most new traders develop the very destructive habit of not planning trades. A lack of planning is so common among new traders, that one could argue that it may be the single biggest cause of accounts being drained of capital. Trading is a business, and anyone who profits consistently from daytrading financial markets has this single trait in common—they treat trading as a business. As a business seeks to grow, it must have a very detailed business plan of the exact steps it will take in order to reach target growth levels. First of all, a trader will find much more confidence and organization to be present in their trading if they develop an overall business plan. Second of all, a trader must develop a method of planning each individual trade. As one spends time researching technical levels and fundamental key drivers, and then puts these findings into a tradable plan, one will greatly increase the probability of success over the long term. A strong method of planning will help eradicate many of the destructive habits that tend to plague new traders.
Unrealistic Expectations
Since the main draw for most people as they enter into the FX Market is the potential for making large amounts of money, it is easy for new traders to fall prey to false or unrealistic expectations. The path to becoming a successful trader is littered with the empty accounts of those who expected to turn $10,000 into $1,000,000 in a year. Expectations must be in line with reality. Large hedge funds and professional traders trading large managed forex accounts have access to the most advanced technology and news sources, and they are thrilled to return over 20% in a single year. Of course, they are handling much larger amounts of money, so it is easier for a small trader to do much better, but the reality is that traders must have a realistic goal. Trading is a profession that requires a high level of skill, similar to that of an engineer, architect, or physician. Skill sets like this cannot be developed overnight. New traders are served best by having realistic expectations that with diligence, hard work, and a heavy dose of professionalism, they will develop the skills necessary to find success as a trader in the FX Market. There are no shortcuts to success in any path of life, and trading is no different.
