Stops Aren’t Always a Good Idea
One of the soundest bits of trading advice is to let your winners run and cut your losses early. To many traders, this means use a stop loss order to prevent large losses.
Trading Strategies
Trading Strategy Articles –
Trading Noncorrelated Systems in Small Accounts
Many individuals are drawn to trading thinking they won’t have to do math. This belief is rarely held by successful traders, and few actually succeed in modern trading without some math skills.
Optimizing and Monitoring a Trading System
After finding rules that work, many traders are tempted to optimize the parameters. This is easy to do, and is the beginning of the end of many solid trading plans.
Going With the Flow: Big Money’s Influence on Your Trading Positions
A trade can be very “right” in every logical way if your valuation of the underlying asset or your analysis of the chart pattern was done correctly … but if your opinion gets crossways with the larger flow of money in or out of that market, your subsequent losses will feel very “wrong.”
Trading System Design: Test Your Edge
Finding a logical reason that your trades should work is the first step in coming up with a market beating strategy. After that, testing is required to be certain your idea actually works in the market because, in the end, markets are driven by emotions and logic will sometimes fail in the face of that.