A very interesting book Momentum investing. You can read this book online at the link: Momentum Investing – Ken Wolff
A small excerpt from the introduction:
The purpose of this Books is, to create a clear picture, explaining step by step, how to invest your own money in stock market, through your personal computer, using my investment methods, what I think is the safest and most profitable stock trading system for a small investor. I've polished my methods so much over the years, that they deserve to be on a par with the best tools on Wall Street, and give profit, more than the best mutual fund can bring. Using my methods, you can make a living, trading less than $ 20,000; they can be used as a beginner, so hardened day trader. I have taught successfully as amateurs, and professionals, making a profit by trading my methods 80 % portfolio profit for two months.
Just imagine: you work at home, Live, Where you want, while making good money! I have one student, which the, trading on 36 foot yacht, in one month from enclosed $ 3000 Did $ 33,000.
I am ready to reveal my trading methods, because I'm sick of seeing, how a middle-income family invests, while getting a miserable return on their invested dollars. Brokers spend on average $120,000 to sell their latest and greatest investment funds, That, it seems to me, give the minimum return, which you can achieve yourself, trading in the stock market. Using my methods, a small investor gets a great opportunity well and consistently, and most importantly, without taking unnecessary risk, get a return on every dollar invested.
How different are my methods
My day trading system is different from other day trader systems. Many day traders buy stock, raised by a strong buy to the high of the day and only show a slight increase in its price, and then a precipitous fall. Stocks can turn around quickly and the losses can be huge. I buy on the bottoms, where the impulse has just started to catch the first "wave".
Only the highest yielding deals
I patiently let the market bring me a high percentage of the return on the trade., and I generally make fewer trades than most day traders. I only trust high yielding deals, which provides profit and allows you to lose much less. I got it, that commissions tend to eat up the day trader's profits, busy with 10 deals per day, to catch 2 or 3 winners. I generally tend to do 10 and have one loser. I don't turn trading into gambling. Before entering a trade, I like to first estimate the expected percentage of profit from it.. If i don't know, how will this particular deal go further - I WILL NOT MAKE IT.
I let many winners run away, I'd rather wait for “my” case, than take the additional risk. It seems to me, that this is a key point for a small investor. Most traders lack discipline, for that, to be guided by clear principles, manage your trade and ultimately profit, this is especially evident when the market changes. I have often seen traders, making good money in a Bull market, and losing them when the market changes. More often than not, they start to lose randomly and end up penniless..
After this excerpt, I think you have a desire to read this book. Once again link to this book: Momentum Investing – Ken Wolff. Happy reading and successful trading!
