Stock-Picking Training Program
- Article Tools
- Email this Article
- Print this Article
- Rss Feed
- Related Articles
- 20 Surprises for 2008
- China: 'The Best Place to Invest in the Next Five to 10 Years'
- 10 Ways to Improve Your Market-Timing
- 10 Ways to Build Trading Discipline
- Ten Roadblocks to Profitable Short-Selling
- Del.icio.us
- Digg
- StumbleUpon
This column was originally published on RealMoney on Dec. 31, 2007 at 10:45 a.m. EDT. It's being republished as a bonus for TheStreet.com readers. For more information about subscribing to RealMoney, please click here. Here's a reality check as we slam headfirst into the January markets. The vast majority of retail traders lost money in 2007 and will lose money [in 2008], despite ample doses of education, enthusiasm and brilliant ideas. In fact, at least 80% of all at-home speculators
will eventually give up and wash out of the financial markets.
How can you buck this enormous tide and make 2008 your most profitable year in the trading game? To state the obvious, the best way to start making money is to stop losing it.
In that regard, here are 20 ways to staunch the bleeding and get back into the winner's circle in the new year. Happy holidays, everyone!
1. Don't trust the opinions of market gurus. Remember that it's your money at stake, not theirs. Listen to what they say, then step back and do your own homework.
2. Don't believe in a company. Trading isn't investing, so you need to focus on the price action and forget the balance sheets . Leave the American Dream to Warren Buffett.
with detachment and make your next trade with absolute discipline .
5. Don't trade over your head. If your last name isn't Kass or Cramer, stop trading like them. Just concentrate on playing the game well, and stop thinking about making money.
6. Don't seek the Holy Grail. There is no secret trading formula, other than good position choice and solid risk management. So why are you looking for it?
7. Don't forget your discipline. Anyone can learn the basics of the trading game. Sadly, most of us will fail because of a lack of self-control, not a lack of knowledge.
Kass sees the housing crisis moving to retail, more volatility and $135 oil.
David Rubenstein, co-founder and managing director of the Carlyle Group, discusses China, private equity and venture capital.
Tough markets are the most often traded, so being able to time your entries and exits is important.
Discipline is the cornerstone of profitable trading. Here are 10 ways to help bring some more into your life.
Shorting is not the same as going long, so be aware of the problems one can encounter.
These forgotten Internet stocks are being accumulated by hedge funds.
Raspberries for Apple; You'll be sorry, UBS; Fortress or Fort Knox? Wholly unappetizing Foods; give Liberty AOL or give them...
The GOP presidential candidate raised $27 million in July.
Some credit and debit cards give you some cash back on purchases. But you need to manage it well to benefit from it.
Sponsored by:
RSS
