Money
successful trading
rules you should know
Many sites would offer you ways and tips
to plan the trade; different tips that
promise you quick profits, and so on.
Such searches on the internet can be a little
overwhelming for new traders and most probably
distract them from honest advice.
Each of the trading rules that we will discuss
below is essential to facilitate sound trade. When
these rules are implemented together, the impact
created could not be estimated.
So, here are the golden rules for successful trading
always implement a
trading plan
A trading plan is a mix of strategies and rules
defining details like exit and entry points of trade,
money management practices for various trades
in the portfolio.
At the same time, it is crucial to have your ideas
or plans tested before you go live with them.
With technological advances or sheer hike, it
has become very easy to test your trading plans
before you put money in.
The practice of backtesting can do wonders. It
allows you to test your idea or plan backed up by
past data and history to see if it is feasible or not.
When the plan is designed and backtested, the
results are optimistic, and the trader can move
ahead with it.
Here, one thing to always remember is to go
with a plan you have mapped out. But there are
times when trading plans might not work; it is
important to get away from it and start again.
make the best use of
technological advances
Trading is one of the most combative and zealous
businesses. Therefore, all traders all around the
world tend to take the benefits offered by everadvancing
technology.
Technologies like backtesting help in reducing
risks by testing the trading plan. Various
advanced charting platforms provide a wide
range of methods to analyse trade and trends.
You can get updates regarding the market and
your trade wherever you are through tablets and
mobile phone applications offered by different
brokers. All such technologies can prove to
be a great advantage to traders. Using new
and updated technology can be fun as well as
rewarding for the trader or investor.
act as a student and focus
on learning
Think of entering the trade market as you are
continuing your education even further. Traders
need to learn from their trade and others› trade
and market each and every day. No matter how
much time a trader is trading.
“A trading plan is a mix of strategies
and rules... ”
36 WomanToWomanMagazine.com
/WomanToWomanMagazine.com
