THE THREE THINGS EVERYONE WHO IS GOING TO BE PROFITABLE IN TRADING MUST KNOW

[GSterlingTrader]

From my years of experience as a trader, I came to discover that there are three things everyone who is going to succeed at trading must know.
1. Market Direction
2. Market Timing (Entry)
3. Money Management

 

[versionlc]

The market can do only 3 things.
1. Move Up
2. Move Down
3. Move Sideways.

So with respect to knowing what to do:
1. Don't open trades when the market is moving sideways
2. Open trades when the market moves out of the sideways pattern. (Either up or down)
3. Keep an eye on your position to make sure it doesn't retrace (Maybe consider a stop loss), and also for when the next sideways pattern
emerges... when that happens... you can either:
1. Wait for the next movement (up or down breakout) and get out,
or
2. Just exit position when you identify the sideways movement.

Simple but not necessarily easy.

Most traders hold onto their trades too long. (Many wind up consistently losing because of this one tendency).

 

[Sajidr]

From my years of experience as a trader, I came to discover that there are three things everyone who is going to succeed at trading must know.
1. Market Direction
2. Market Timing (Entry)
3. Money Management

True...going with trend is the key.....

 

[munyac7]

Thank you so much for sharing the market insight. Realy apreciatee big time

 

[JeromeSta001]

This is quite an instructive thread, but do well to add major emphasis on trading psychology.

 

[ijamze]

some very good points to consider here, i'm still doing research and trying to build my knowledge before trading so thank you!

 

[Antistati]

1. Enter the Trade (Strategy & Size)
2. EXIT : at Stop Price (Money Management) or at Target Price
3. Repeat with good Profit Factor


When evaluating trading strategies we are helped by many different types of measures of a strategy’s performance. One of the most common ones is profit factor.

The profit factor simply is the ratio between gross profits and gross losses.

 

[piram]

From my years of experience as a trader, I came to discover that there are three things everyone who is going to succeed at trading must know.
1. Market Direction
2. Market Timing (Entry)
3. Money Management

Completely agree! 3 things to master the market!

 

[Possessive]

To earn consistent profit in time, while trading that every trader must keep in mind is (1) good risk management strategy (2) picking the right market trend opportunity (3) Rectifying past errors. As soon as a trader realises how important money management is, and how backtesting helps decide the right strategy that brings in good profit returns while they learn how to deal with emotions.

 

[abuble]

And IMHO, emotion management should go above all that.

 

[dokopy]

From my years of experience as a trader, I came to discover that there are three things everyone who is going to succeed at trading must know.
1. Market Direction
2. Market Timing (Entry)
3. Money Management

Write how to meet each point clearly identify. For example, according to indicators. Otherwise they are phrases.

 

[MarianIoan]

Thank you so much for sharing the market insight. Realy apreciatee big time

 

[Gumshoe]

You mentioned some great tips. I would also like to add a trading plan into the list. It’s important to know your goals, strategies beforehand, only then you can actually achieve them.