Articles

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

Modesty is the key to success

5 years ago, I wrote a book called "Successful Trader". Mental state necessary for success in the market". When it came to initiation, I decided to dedicate the book “Traders, who don't want fame ". During my work, I had to meet many traders, who failed due to an inferiority complex. They felt like worthless losers, inferior people and were not sure of their life goals. For them, trading is a way to prove to themselves, that they are worth something in life. They feel, that the more money they have, the more they are significant as individuals. But in reality it’s not like that. Traders, who are looking for wealth and fame, as a rule, failure awaits. Modest traders become winners.

What is your risk tolerance??

Risk tolerance is a popular topic in the investment community. The greater your risk tolerance, the more her risky investments you can afford, not enduring stress. There are many ways, which allow you to determine risk tolerance. Usually assume, what's more, all the better. However, my work allowed me to single out a group of traders, who prefer safety. They relax while working and trade with the appropriate mental mood.. It's not good or bad., it's just a trading style.

Individuality and trade

In an interview with Market Wizards, Dr. Van K. Tharp gives a characte to a trader - a loser. A common trait of all losers is a high susceptibility to stress and an inability to defend against stress.. They have a negative outlook on life., they expect the worst, they have many conflicts with their own personality. They tend to blame others., when something goes wrong. This portrait has a foundation. If a trader is easily excited and at the same time pessimistic, he cannot effectively use his skills and abilities, does not believe in that, that he will be able to achieve success in the long term and remain in the exchange business. Despite, that there is a general idea that, who can become a successful trader, scientific work on this topic is almost unknown.

Easy came, easily gone

Ho tya economists, who are guided by the behaviorist approach, view regret as a feeling, which causes anxiety to all traders from time to time, psychological studies show, that some people are more prone to, to experience this feeling, compared to other people. All traders are upset, after a wrong trade decision, which could have been avoided, however, some players blame themselves regardless of the circumstances. After that, how such players will miss a big market move or get a big elk, they begin to analyze their actions and blame themselves for, that they did. They want to go back in time., do everything in a new way, they can't stop in any way, calculating, what did they do wrong?.

Don't give in to regret

When trading in the markets, losses are commonplace.. They hurt us., but, for some traders, the bitterness of a wrong decision is the worst feeling of all. They blame themselves for, what did what – that's not the case. They drive themselves so, that they are trying to refuse to make deals, so as not to feel regret later. In the book Beyond the Threshold of Greed and Fear, Dr. Hersh Shefrin states, that regret and responsibility are closely related. The more responsibility we take for our actions, the stronger the sweat is the feeling of regret.

In search of "safe" deals

Would you trust your pension fund to a short-term trader – a lover of risk and trades?? Think, that the answer of most people to this question would be negative. Of course, we would prefer a risk averse, a rational-minded long-term stock manager, than a stereotypical short-term speculator. Safe investment with low risk is what, what most people need, who want to get a penny in old age. Many financial advisors advise their clients to avoid risky investments.: “Don't look for high-risk investments, regardless of whether, what profit potential they promise you ". Investing doesn't have to be boring - that's what most fund managers think..

Causes of fear

Every day I have to move the Golden Bridge to San Francisco, to get to my office. It would seem that, what's unusual about, to cross the bridge? But San Francisco often has earthquakes. The author knows many residents of the city, who are afraid to cross the bridge. Some people are so afraid of bridges, that they try not to ride on them once in their life, thereby, limiting your life and work opportunities. I was never afraid to drive across the bridge, but repeatedly heard the conversations of people on the bridge, who were able to, close to panic. They imagined the worst possible scenarios, which can only happen, and couldn't get these horror pictures out of their head. IN 1989 year during an earthquake, a section of the San Francisco-Oakland Bridge collapsed. Several people died. Maybe, have you seen the reports about it on TV. To be honest, I try to forget this incident, especially, when I cross the bridge. But, if a person remembers this event over and over again, he has extremely unpleasant feelings while crossing the bridge. Thought and imagination are powerful, and if your mind is aimed at scary thoughts, but it's hard to control emotions.

Robbins Cup (The World Cup Trading Championships)

Robbins Cup (The World Cup Trading Championships) considered the most famous competition among traders in the world. Each competition takes place in real time, with real money and a good reward, not to mention gaining undeniable authority in case of achieving good results! The one, who will show the best percentage yield takes not only valuable gifts but also a good cash prize. With 1984 of the year this competition became the top among traders around the world, in each of which, undoubtedly, the desire to show oneself and go down in history lives. The championship is held in various nominations: 1) Futures 2) Promotions 3) Forex 4) E-mini index 5) Samurai kennel (futures, Japan)

Hot Keys. Hotkeys and their use in day trading

Hot Keys ( Hotkeys ) – this is a set of keys, for which the most demanded functions of the program are programmed. They allow you not to "rummage" in the program menu, and perform a series of procedures with one click, which require the fastest execution. In day trading, hotkeys, will allow you to be faster than those, who doesn't use them. And with enough dexterity, it will make your trading lightning fast. In a quick promotion, you don't have time to click on many buttons., aim at them and so on ... in this case, the stack will simply leave you and you will not have time to enter-exit at a good price.

Interview with Pro Trader Todd Stottlemayre

Todd Stottlemayre – game owner. Todd is best known as the former Major League Baseball jug.. but, he quickly becomes equally well known for his professional success as an investor and trader. Todd points out three critical keys to success: never give up; never stop learning; And, lay down, that you can achieve anything within your set of talent. Todd – incredible example of, how a keen desire to learn can empower dreams. Todd meticulously scrutinized his opponents on the baseball field, but my humble work ethic, as the trader may be his greatest accomplishment yet.   In a few days, Todd will partner with friend and professional financier Joe Donohu., to start a new hedge fund called Desert Coastal Capital. Despite challenging times in private action, Todd is ready to take responsibility for his investors. Besides, as his family legacy in Major League Baseball, Todd wants to build a legacy in finance, which may one day be continued by his children.  

Scroll to Top