By admin | November 18, 2007 - 10:26 am - Posted in Articles

for beginners is straightforward if you have the right and get the right however, you must avoid the enclosed which will or even worse wipe out your equity…

Here are the 10 most common in no particular order of importance - there all important.

1. Don’t Day Trade or Scalp

All short term volatility is random, you can’t measure what millions of traders will do in a few hours so don’t try.

2. Avoid Most

I see these all the time and they all claim great but the track records are all simulated in and have never been traded.

If you trade one of these you can kiss goodbye to your equity.

3. Don’t

If you you are simply hoping and guessing and that won’t get you far in or life - trade confirmation and the reality of change and don’t .

4. do Not Move to Science

Many claim they do and follow the of Gann, Elliot and Fibonacci but they don’t work.

If moved to a scientific theory, we would all know the price in advance and there would be no - yet, many traders fall for this ridiculous idea, don’t join them.

5. The harder you Work the More You Make

In a normal yes, in no.

You get paid for being right with your signal and that can take you ten minutes or ten hours - you earn your for results.

Work smart not hard.

6. Following Opinion and News Stories

The are a discounting mechanism and news is discounted instantly, it also reflects the and of the who lose. Will Rogers once said:

“I only believe what I read in the papers”

He was joking of - but it’s surprising how many follow the news and try and trade it - don’t do it!

If you do, you will end up losing.

move on trader’s view of news and their . The are unimportant its how they are perceived that determines the of events.

7. Using a complicated method

10 indicators are better than 2 - dead wrong.

A complicated , will not as a general beat a simple one as it has to many to break.

Simple have and always work best, as they are more robust.

8. Making in Means You Will Make for Real

No, a helps you learn how to trade not to make and you need to understand this:

There is no pressure on you and therefore it’s not a real experience.

9. Not Being Patient

Many traders think the more they trade the more they will make - wrong. You get paid as we said earlier on for being right and that means waiting for the high trades.

I know traders who trade around 10 times a year and make 200% or more.

If you want fun and do something else. If you want to make , being patient is a key to learn in your .

10. Snatching to Soon

When you first start , you will be tempted to snatch - but look at a chart - the big trends last for months weeks and years.

if you have the courage to hold them and take short term equity swings against you, you will be well rewarded when the trade is finally closed with a thumping .

Traders have more problems holding than they do cutting , don’t make this .

Now here is the major problem that causes most losers to lose - I will ask you the question:

What’s your edge defined? i.e. why will you win, when the vast majority 95% of traders lose?

What’s Your Edge?

Don’t know what your edge is?

You don’t have one and will lose and it’s back to your until you do.

We hope you found our for beginners of use and that you will avoid them in your and enjoy .

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