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New Trader Q & A New Trader's Questions & Answers. All of our members share their information with other Stock Market Cats members, and we are all here to learn from each other. Let's discuss our different stock market trading styles and plans here.

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  #1  
Old 10-20-2009, 05:31 PM
Markmuffin Markmuffin is offline
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Post Why most Lose Trading?

I just want to start a thread on Key factors which lets mostly in losing Trade.
Why a newbie starts losing trade, what are the measures which they must follow it up to be stable if not successful.

I hope much of you will like to share your experiences across for the newbie’s.
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Old 10-21-2009, 07:45 PM
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Evil-Eye Evil-Eye is offline
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Default Re: Why most Lose Trading?

Quote:
Originally Posted by Markmuffin View Post
I just want to start a thread on Key factors which lets mostly in losing Trade.
Why a newbie starts losing trade, what are the measures which they must follow it up to be stable if not successful.

I hope much of you will like to share your experiences across for the newbie’s.
What are you talking about, I still lose money. I lost my mind last year and still haven't gotten that back.

Money management, Dow Theory, a good therapist and a trading plan for starters.

The Solution to Why Traders Lose Money - InformedTrades
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http://www.youtube.com/watch?v=Hz4tuWGQqfo
http://www.youtube.com/watch?v=4ybk72R9_90

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  #3  
Old 10-21-2009, 07:53 PM
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thegreatgate thegreatgate is offline
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Default Re: Why most Lose Trading?

Cash is a position. This means if you are near the end of a hot streak and your account is way up, it is okay to unload your shares and take profits. This ensures your account balance will not go up or down. Don't rush into anything just because you have cash (remember it is a position just like owning stock).
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Old 10-22-2009, 11:57 AM
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BadThad BadThad is offline
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Default Re: Why most Lose Trading?

Losing is part of the game, the object (obviously) is to win more than you lose. A few simple tips:

1) Never fall in love with a stock. Use it like a cheap prostitute, buy it, use it, discard it.
2) Do your DD! Never trust what others are saying, do the research yourself by looking at technicals and fundamentals. NEVER jump on the "bandwagon".
3) TAKE YOUR PROFIT. Don't keep hanging in there with a stock. If it looks to be levelling out, it probably is, sell and take your profit. Don't cry if it goes higher, you made money, be happy.
4) TAKE YOUR LOSSES. Set a number to the most you're willing to lose and SELL when it gets down there. Don't keep thinking the stock will go back up, it might and it might not. More often, it keeps going down and you lose your buttocks.

In my experience noobs lose money because they don't follow these rules. They see a forum post or hear about a stock and blindly buy it. Buy on logic and not emotion. Trust only yourself and if you can't trust yourself, you shouldn't be playing the market. It's fine to read what others say, but as the great Ronald Reagan said "TRUST BUT VERIFY".
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Old 01-20-2010, 03:09 AM
Daniel Webb Daniel Webb is offline
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Default Re: Why most Lose Trading?

Quote:
Originally Posted by Markmuffin View Post
I just want to start a thread on Key factors which lets mostly in losing Trade.
Why a newbie starts losing trade, what are the measures which they must follow it up to be stable if not successful.

I hope much of you will like to share your experiences across for the newbie’s.
Most traders fail because they have a very superficial view when it comes to trading. The tendency is, they just follow the herd and trade what others are trading. Traders must understand that independent judgment is very vital to succeed with trading. Finding out how to make money with trading isn’t just a matter of typing “trading system” into Google, crossing your fingers and hoping for the best, however. Getting the best results out of your search for a trading system requires diligence and research on your part as an investor.
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