Trading Plan

[tickerfinder]

1. DO NOT PUT OVER 10% CAPITAL IN ANY SINGLE TRADE. DO NOT OVER LEVERAGE.

2. Go to earnings.com to check company quarter report release date and do not place a trade or exit the position at least 2 weeks before that day.

3. Be patient to wait next cycle, if find a new strong trend (long or short) then jump the trade.

4. Set stop loss immediately after you are in a trade.

5. Consider exit a trade when hit 5-10% profit if you are swing trader.

[tickerfinder]

Here is another filter to find ticker to trade:

During this strong bullish market, there are too many hot tickers. Well, if you compare QQQQ to DIA/SPY, you will find Nasdaq market is stronger then the others market.

So you may trade Nasdaq stocks only to save time and engergy. It is easy to find out the information for this:
go to stockcharts.com to search any ticker, beside the ticker name, the website tell your what market the stock trade in, Nasdaq,NYSE, TSE...

[tickerfinder]

For trading plan rule No. 2, if you really want play game for earing release day, you may use OPTIONS strategy, not gambling.

[tickerfinder]

For newbees, read this link, please:

http://www.tonihansen.com/trading-lessons.html

[tickerfinder]

作者: 我在跟进

你的规则是对大户讲的。
散户就那么点钱，你还让他买十种股票，会加大投资成本的。

You may not agree my point, every body has different trading style and tolerance.

I am talking about low risk strategies. It help you make profit constantly-not easy wipe out by the market.

If your account size is not that big, you can learn how to trade OPTIONS.

[tickerfinder]

作者: 我在跟进

同意第四点。
反对第五点，这样搞会放掉大鱼的。

Rule No. 5 works for SWING TRADER, not for long term trade.
Bottom line is you define the entry point and target befor you entry any trade. You get have a trading plan for any single trade.

[tickerfinder]

作者: zzzerg

如果只有了了几千块本金，一个trade只放几百 10%的本金岂不是连交易费也赚不回来。。。。

You are right. In this case, you may twist the rules above. While, you should know your exposure of risk and how to do money management.

Or trade options - you do not need big account size.

[tickerfinder]

Traders, manage your risk

[tickerfinder]

Domi,
Rule 4: may I know the detail for the stop lose? Small capital, mid capital and big capial?

Stop Lost is a huge topic, you can google it. Every body have different risk tolerance. You define by your trading style...


Rule 5: what is definition of swing trader? Why should sell it with 5-10% profit?
A trader can not always buy the bottome, sell the top. This rule really let you set your target and run. Remember this: make money and make money constantly
For definition of all type of trader, you can check this out:
SECURITIES 101:
http://www.chinasmile.net/forums/sho...d.php?t=420874

[tickerfinder]

作者: so what

不明白。如果满仓，那不是至少要10支股票？能盯得过来吗？

This rule really tell you be diversified - DO NOT TRADE ONLY ONE SECTOR. Otherwise, you will DIE HARD.

Yes, you may not energy to watch 10 tickers at same time. Me neither. But think about this way:

1. Invest some mutual fund. It design for long term investment. You do not need watch mutural fund performance hourly/daily, may weekly, monthly. You can put 100/200 dollar every month to a certain fund. I do not think all traders can beat these funds in 2010:

http://www.chinasmile.net/forums/sho...d.php?t=460097

I have 15-20% mutual fund in portofolio.

2. You do need alway have stock position, know when to exit. If you think trading everyday, it will ruin your family life - There are always oppotunites in market.

3. Have some long term position, pick low vilotail ticker. So you watch only couple swing trade/active trade tickers.

4. .......

Good luck, again, manage your risk.