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Useful information for novice traders in the US stock market. Reviews, articles and videos about the leading American stock exchanges

Don't reduce the probability (about the percentage of successful traders)

“How many novice traders succeed?” – asks a potential trader from a group of hardened experts. “Of those 40 %, who will survive more than a year, only one or two percent will learn to consistently make a profit”, – answers the head of one of the largest brokerage companies. “Approximately five of 100 – in my experience”, – notes a leading trader of a large hedge fund. We at Innerworth discovered, what less 25 % hold out for at least six months. Looks like, many will agree with this: If you plan to engage exclusively in trading, probability against you. Here are some ways, by which newly converted traders can avoid common mistakes and conquer probability.

Something about the subconscious. Conflicts

When you have a psychological conflict, it is in your best interest to resolve it as soon as possible. A hundred years ago, Freud said, and modern cognitive psychologists have proved, that there are limits to psychological energy, which consciousness can spend. The more problems you leave unresolved, the more they accumulate “” and the less psychological energy remains for their solution. When a problem is left unsolved, highly likely, that conflicts will arise when you, least expect them. Not every unresolved conflict will creep up, to influence behavior, but it would be wise to make sure, that you are free from psychological conflicts. You have unresolved conflicts on the other side of consciousness? Studies have shown, that such conflicts are difficult to ignore and pretend, that they don't exist. Now you need to combine the beneficial aspects of your favorite methods and invented options.. As you combine methods, make sure, that you are not creating a conflict within the system – for example, some model, potentially having more than one value or signal. Usually, You will come across situations like this. In these cases, you should find out, what factors cause the conflict and either eliminate one or more causes or add another rule to your method, that will block the conflict.

Trading Rules? Which rules?

Next time, when who – then tell you, that he can teach you the golden rules of trading, you can laugh in his face, as any other successful and experienced trader would do. Any really good trader knows, that there are no rules, related to trading. Your trading plan is closest to, which could even remotely resemble a set of rules, and you are its owner.

Analogies in trade

Trying to develop skills in a new field, people often think in analogies. Analogy can be used, to combine new information with old information. By analogy, a conclusion is made, what, if two or more things are similar in some way, they will be similar in other respects. There is a very human tendency to use previously learned skills when teaching new ones.. Easier to understand a new topic, if it can be associated with the already studied. This is especially true in trading.. Trading in the Markets – difficult task, and it is easier to master, if we link it with familiar topics: that is, we can more easily understand trading, thinking by analogies.

Reflection. Analysis or self-digging?

Steve just made a losing deal. Although he only lost 2 %, he can't stop thinking about it: “What did I do wrong? How could I prevent a loss? What i missed? What does this loss mean to me, as a trader? What will happen next? I can handle it.? ” Steve reflects. He can't let go of it. He constantly gets bogged down in a loss, scrolling it over and over in my head. Reflecting on a past loss not only reinforces a bad mood, but also, as a recent study by Dr. Andrew Ward shows (Andrew Ward), the reflective type is less satisfied, less confident and less able to adhere to the planned course.

Stock symbol or ticker, what it is ?

Символ акции или тикер — это короткая аббревиатура, used to uniquely identify publicly traded shares of a particular stock on a particular stock market. The stock symbol may consist of letters, numbers or combinations thereof. "Ticker symbol" refers to the symbols, which were printed on the ticker tape of the ticker tape device. История фондовых символов США В Соединенных Штатах современные тикеры, consisting only of letters, were developed by the Standard agency & Poor’s (S&P), to introduce a national investment standard. Previously, one company could have many different tickers, as they varied across dozens of individual stock markets. Термин «тикер» относится к шуму, published by ticker tape machines, which were once widely used on stock exchanges. System S&P was later standardized in the securities industry and modified over time. Preferred stock symbols are not standardized. Примеры фондовых символов США А – Аджилент Технологии C – Ситигруп БАК – Банк Америки BRK.B – Berkshire Hathaway (class B shares) КО – Компания Кока-Кола HNZ – Компания HJ Heinz МСФТ – Майкрософт ВАГ – Уолгринс ТГТ – Целевая корпорация WMT – Уол-Март MMM – 3M Company HPQ – Хьюлетт-Паккард ИНТЦ – Интел TXN — Техасские инструменты Раньше взгляд на символ акций США и прилагаемые к нему коды позволял инвестору определить, Where the shares are traded; However, in July 2007 The SEC Approved the Rule Change, позволяющее …

Stock symbol or ticker, what it is ? Read more

Stock ticker

Ticker (English. ticker symbol) - short name of quoted instruments (Shares, bonds, indices) in stock information. Is a unique identifier within one exchange or information system. Used for that, so as not to constantly print in the bulletins the full name of securities or other objects of trade. A short name is usually one to six characters long and is assigned to a security when it is listed. Capital letters of the Latin alphabet are traditionally used.. These are usually abbreviations or short names. (International Business Machines — IBM), abbreviations or truncations of names (Microsoft — MSFT, RAO UES of Russia - EESR). Numeric and alphanumeric tickers are commonly used on Asian exchanges, adapted for international trade. For example, Toshiba ticker on the Tokyo Stock Exchange - 6502.

Visualization – success strategy

Many professional and ultra successful leaders in sports use the power of visualization, to reach the highest possible level for yourself. Far from “focus-pocus”, the art of visualization is fast becoming a recognized method of successful work. Most ardent supporters of visualization – Athletes, but there are also surgeons, conference, and even businessmen, who mentally represent, how they will act and react to various adverse situations, that can happen during an important meeting.

Psychological map of the figure “Head and shoulders”

Besides, that the charts show the price history of the financial instrument, accompanied by volume, they are also a reflection of human behavior.. And so, that they reflect the basic human character, they can be used, as a psychological map, if you learn to read them correctly.

Paralysis analysis. Indecision.

John spent the day perfecting his trading rules.. He tediously used indicator after indicator, despite, that many of them showed the same thing. The search continued. John frenziedly believes, that he missed something, but doesn't know, what exactly. He's not going to invest, not absolutely sure yet, that his trading plan is error-proof. He thinks: “i have to know every possible factor, which might interfere with the deal, otherwise i will lose money, and that would be a fatal blow”. John is struck by analysis paralysis. He cannot make a decision and hesitates in fear and uncertainty..

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