Rules for Every New Trader
* Do not buy a stock unless you know what price you will sell it for.
* Never buy a stock based on a rumor or tip! Never! Never! Never! We are glad to help you learn.
* Research each stock before trading.
* Look at the news, market, sector, chart, price history, history, stochastics, MACD, volume and price patterns.
* Wait for the right market trends and look for patterns in the stock.
* Stick with a 5-20% stop loss. You can recoup it next time!
* Stay with the market trend.
* The trend is your friend! Watch how the whole sector is performing! Pick the best stock in a growing sector!
* Don’t risk more than 20% of your capital on one transaction.
* Diversify!
* Do not get emotional about any stock or company!
* Decide if you are a short-term or long-term trader of that stock.
* Know when to walk away from a trade.
* Review any mistakes and learn from them and do not repeat them!
* If you do not feel good about a trade then don’t do it. When in doubt — DON’T.