Determine Your Trading Goals - 0 views

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  #1 Lindgren Spence on 02 Dec 13

   

  As everybody in trading knows, deficits really are a part of the business, and you canat avoid them. If thatas some thing you've difficulty taking, then you shouldnat be trading. However, thereas an enormous difference between losing big on a normal basis and losing small in a controlled trading plan. You know that you should keep your losses small; the main element is always to keep them smaller that your average benefits. Clicking high quality rockwell trading scam maybe provides suggestions you can tell your family friend.
  
  Letas look at a trading strategy that produces $300 in profits for every win and costs you $200 for every loss. Now, if your weekly goal is $300, and if your first business was a lack of $200, you then need to make two winning trades to achieve your weekly profit goal.
  
  Let me take this just a little farther and actually break it down for you: youave dropped $200 on your one losing business, and on your two earning deals ($300 each) you then make $600. Your net income = $400. Goal reached. Now, END TRADING. Normally, youall end up giving back the amount of money you just made to the markets. Lock in your earnings!
  
  Needless to say, youare not always guaranteed a week with only one loss. Letas look at a week that begins with three failures. With three failures, you are now down $600 ($200 each). Which means you will need to have three wins that bring about $900 ($300 each). Withhold the $600 you dropped on the losing trades from the $900 you won on the successful trades, and your resulting net income is $300. Purpose reached. End trading.
  
  aWait a moment a youare saying that I'll accomplish my goals with a percentage of only 50%?a
  
  YES! Thatas exactly what Iam saying! See the example above again: you dropped $600 on three dropping trades, built $900 on three winning trades, and arrived with a net income of $300. Which means that you might pick a losing business every other time and STILL achieve your regular gain goals!
  
  Because many dealers neglect this crucial idea of establishing weekly targets, I want to stress this point again. They establish daily goals, which create a huge emotional pressure, and then when they shouldnat markets are traded by them, and they lose.
  
  So letas just suppose for a moment that you do find yourself reaching an actual winning percentage of only 50%. Now, whenever you start trading again on Monday morning, what are your chances of having a profitable business? 50%! You've a one in two chance of achieving your weekly profit target in only one, single trade!
  
  So if you DO realize your regular gain purpose on the very first industry Monday morning, what next?
  
  End trading for that week! Just take it easy! It doesnat get any benefit than that.
  
  Remember, you need to stay glued to your weekly goal and your trading plan. Do NOT access another trade after youave already achieved your regular goal; the chance that your second trade can be a losing trade is too good, and you'd be giving your hard earned money and profits back to industry. Over-trading and greediness really are a traderas problem, so resist them and stick to your methods.
  
  Now, you know that you is capable of your regular income goal with a percentage of only 50%. You must certanly be able to still meet your financial goals and improve this winning percentage with time, as you improve in your trading abilities.

   

  <div class="cArrow"> </div><div class="cContentInner">As everybody in trading knows, deficits really are a part of the business, and you canat avoid them. If thatas some thing you've difficulty taking, then you shouldnat be trading. However, thereas an enormous difference between losing big on a normal basis and losing small in a controlled trading plan. You know that you should keep your losses small; the main element is always to keep them smaller that your average benefits. Clicking <a rel="nofollow" href="http://www.youtube.com/user/rockwelltrading2008">high quality rockwell trading scam</a> maybe provides suggestions you can tell your family friend. <br /> <br /> Letas look at a trading strategy that produces $300 in profits for every win and costs you $200 for every loss. Now, if your weekly goal is $300, and if your first business was a lack of $200, you then need to make two winning trades to achieve your weekly profit goal. <br /> <br /> Let me take this just a little farther and actually break it down for you: youave dropped $200 on your one losing business, and on your two earning deals ($300 each) you then make $600. Your net income = $400. Goal reached. Now, END TRADING. Normally, youall end up giving back the amount of money you just made to the markets. Lock in your earnings! <br /> <br /> Needless to say, youare not always guaranteed a week with only one loss. Letas look at a week that begins with three failures. With three failures, you are now down $600 ($200 each). Which means you will need to have three wins that bring about $900 ($300 each). Withhold the $600 you dropped on the losing trades from the $900 you won on the successful trades, and your resulting net income is $300. Purpose reached. End trading. <br /> <br /> aWait a moment a youare saying that I'll accomplish my goals with a percentage of only 50%?a <br /> <br /> YES! Thatas exactly what Iam saying! See the example above again: you dropped $600 on three dropping trades, built $900 on three winning trades, and arrived with a net income of $300. Which means that you might pick a losing business every other time and STILL achieve your regular gain goals! <br /> <br /> Because many dealers neglect this crucial idea of establishing weekly targets, I want to stress this point again. They establish daily goals, which create a huge emotional pressure, and then when they shouldnat markets are traded by them, and they lose. <br /> <br /> So letas just suppose for a moment that you do find yourself reaching an actual winning percentage of only 50%. Now, whenever you start trading again on Monday morning, what are your chances of having a profitable business? 50%! You've a one in two chance of achieving your weekly profit target in only one, single trade! <br /> <br /> So if you DO realize your regular gain purpose on the very first industry Monday morning, what next? <br /> <br /> End trading for that week! Just take it easy! It doesnat get any benefit than that. <br /> <br /> Remember, you need to stay glued to your weekly goal and your trading plan. Do NOT access another trade after youave already achieved your regular goal; the chance that your second trade can be a losing trade is too good, and you'd be giving your hard earned money and profits back to industry. Over-trading and greediness really are a traderas problem, so resist them and stick to your methods. <br /> <br /> Now, you know that you is capable of your regular income goal with a percentage of only 50%. You must certanly be able to still meet your financial goals and improve this winning percentage with time, as you improve in your trading abilities.</div>

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