There are so many good tips in the book The New Market Wizards that I had to split it up into several parts. For the first part click here.
Now onto more trading tips.
- Cut losses short and let profits run.
- Do what is correct, rather than what’s comfortable.
- Don’t worry about what the markets are going to do, worry about what you are going to do in response to the markets.
- Markets gravitate to round numbers. Will buy at $2950 and watch to see if it gets to $3000.
- Grind out 30% gain then go for 100% being aggressive with what you made. Take full advantage of the situation when you are well ahead.
- Preserve capital.
- If you make a mistake respond immediately.
- You can’t win if you have to win.
- Buy high and sell higher. Likes to buy on strength.**
- Good traders are open minded, flexible, and risk takers.