Following are some highlighted points from a post by Jean Folger about the rules which successful traders follow
Treat trading like a business
As a hobby, trading quickly gets expensive; as a job, trading can be discouraging because there is no such thing as a regular pay check: Rather than thinking in terms of a hobby or job, it is important to approach trading as a business.
Like any business, trading incurs expenses, losses, taxes, uncertainty and risk, and these factors must be taken into account. The key to developing a successful trading business is good planning, both for the overall business and for the actual trading.
Always use a trading plan
Risk only what you can afford to lose
Use technology to your advantage
Electronic trading has been around for a while, but the tools that are available to modern traders are constantly improving and evolving.
Using outdated technology can put a trader at a severe disadvantage. Trading is a competitive business, and it is best to assume that other market participants are taking full advantage of available trading technology. As with many other businesses, being (and remaining) competitive in trading means keeping up with technology.
Know your exit strategy
To read full post by Jean Folger, click here