A trading plan is a roadmap for traders that helps them stay on track when investing in different instruments in financial markets, such as stocks, or options. It outlines the goals, strategies, and risk management procedures to be followed to achieve profitable results in trading. The success of any trading plan depends not only on…
In this last installment of the Money Management series, we’ll discuss some of the policies in regards to the management of profits which you need to include in your management system. If risk management is paramount to a successful trader, profit management is no less so. After all, you can be very disciplined with your…
Proper money management is one of the key pillars of any successful trader. It’s said that even the best technical trading system, without the help of a sound management scheme for both positions and money won’t take you very far. Some even say that a mediocre technical system coupled with a good money management scheme…
Technical patterns are created by the constant interaction between supply and demand and reflect points in time and price where one group (Buyers or sellers) is likely to take control of prices. Therefore, technical patterns suggest a potential move in a certain direction. The more people that can recognize a certain pattern, the greater the…
Overtrading has become the number one demon for many traders. The reason is not hard to understand. A trader is overwhelmed by the ability to buy and sell large shares of stocks in just a fraction of a second. They have without doubt done some trades where they made large sums of money, perhaps a…
Do You Have the Discipline to Trade for a Living? That’s the question for the ages isn’t it! To succeed in this business, you are going to have toget an education. You are going to have to develop a trading plan that includes strategies andmanagement techniques that you will have learned during your education. You…
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At Live Traders we don’t base our decision-making process on news, upgrades/downgrades or fundamental information. We use charts, period. I trust you all agree on that, or you probably wouldn’t be reading this blog post. But the sole fact that someone can read a chart doesn’t make him/her a trader. Only charts display the constant…
Prices evolve in multiple timeframes. That is a fact of the market. Institutions and traders also view and analyze securities in diverse timeframes, and this creates the cycles of greed and fear that we’ve come to know as “The Markets Basic Atom”. Today’s advanced charting and trading platforms allow the trader to view and analyze…
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Trading is a wonderful business. As each year passes more and more people are discovering this amazing industry. The freedom, flexibility and potential income can all be fantastic, IF you’re able to last! Success will not come overnight; it’s the steady, consistent trader that will succeed. There is no easier way to achieve this than…
Short-term trading and long-term investing are two popular strategies used by investors to make money in the stock market. While both have their own advantages and disadvantages, many traders believe that short-term trading is better than long-term investing. One of the main reasons why short-term trading is considered to be better than long-term investing is…
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