Wednesday, April 9, 2014

Pillars of successful trading

Every immature trader in the market always look for a success key and to get that trader always look for new techniques or indicators, without even testing them properly. This leads them to a dead end road and finally they get disappointed by themselves and by the market.

    Why they look for a success key, which does not exist. The harsh truth is, there is no shortcut or success key in market. If there were a key, then we must know or heard about it. Now, the question arises that what is the secret of success trading?

   There are three main pillars for successful trading, which are

--> The right chart patterns
--> The right indicators
--> A good trading plan

    If we remove charts from our trading which are not making clear patterns or in a dilemma, and only choose the right chart patterns. Then we are automatically removing the losing trade and thus, improving the probability of successful trade.

    The selection of right indicators which can give real picture of what actually happened. Thus we can make a better judgement of either to buy or sell or stay away.

   Finally, a good trading plan is the most important factor in successful trading. We must make rules for our trading. That, how much loss we can afford from a particular trade, what should be our stop loss, how much profit should we expect etc.

  

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