Category Archives for Blog Articles

Here’s a Quick Way to Blow Up Your Trading Account

Know Your Position Sizing

 

Today I have created a short video touching on Position Sizing or Bet Size if you are using Spread Betting.  It is essential that you understand this lesson so you don’t wipe yourself out before barely getting started trading. Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

How To Master The Art Of Risk vs Reward – R-Multiples Uncovered

 

The Backbone of Performance Measurement

 

I wanted to write this brief but extremely important article about the way I measure trading performance.  Whenever you hear people talking about individual trades they’ve made or lost money on, they very often refer to the percentage gain or loss.

Not me.  I will always record each winning or losing trade in terms of an R-Multiple.  I talk about yearly returns as a percentage of my trading capital but not individual trades.

 

What Is An R-Multiple?

This is not something I created.  It’s a method I learnt from Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

Weird Little Trick To Beat The Market As It Opens

 

Today I recorded a new video after speaking to a trader who was having problems getting stopped out of his trades at the open of the markets.

I recalled back to the days when I had similar problems and got stopped out many times under the same circumstances.  I persisted to find out why this was happening and more importantly, found a way to avoid it happening again in the future.

Watch the video to find out how I developed a work-around and if it’s a problem you’re having, then you can use it too. Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

How I Made $2,000,000 In The Stock Market

 


I want to share a fantastic book with you today that I have just finished for about the 4th time.  Actually, this time round I bought the audiobook.  I find audiobooks easier to consume these days.

It is a detailed account from the 1950’s in which Nicolas Darvas made over $2,000,000 trading the stock market.  It follows a part of his life over almost 8 years showing all his stock operations which lead to the final 18 month period when he turned $25,000 into $2,250,000. Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

ProRealTime Charts Made Easy – Simple 7 Minute Guide

Today I created a short video to get you started with a great free charting package I use from ProRealTime.  I run through some basics including:

  • How to search for a particular instrument
  • Introduce you to their pre-made lists
  • How to add indicators to the chart including Simple and Exponential Moving Averages
  • How to add oscillators including MACD and Relative Strength Index
  • How to swap from Daily to Weekly to Monthly charts
  • How to change the type of chart from Candlestick to Line and Bar Chart

Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

How Stock Trading Legend Nicolas Darvas Saved His Fortune (And How You Can Too)

 

I have recently designed a new Short Selling strategy for stocks.  I am ready to start testing RS27 in realtime.  However, it has been nearly 6 weeks and I have not taken a trade using this strategy yet.  The reason is the main market conditions are not right.

I have stated many times that certain strategies work best (and worst) in certain market types.  I understand the mechanics of how this strategy works and I also know form experience that this type of strategy doesn’t work well in Choppy Volatile markets.  It performs better in quieter, trending markets.

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Market Type Over The Last 6 Weeks

 

sp500 8:2:15

 

Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

The (not so) Ugly Truth About Spread Betting

Don’t Believe The Hype..

 

In this video I talk about the rumours I constantly hear regarding the use of Spread Betting to trade the markets. Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

How To Go Broke Taking 3:1 Reward to Risk Ratio Trades

 

Uncovering Common Myths

 

When I first started to learn about trading the markets I read loads of books.  I still do,  I love to learn.  Something that you can’t help to come across is the old recommendation of the 2:1 or 3:1 reward to risk ratio trades.  This subject came to my attention the other day when talking with a group of traders and inspired me to write this article.

When researching the subject of reward to risk whether in trading books or on websites you will be overwhelmed with quotes like this:

The golden rule of risk:reward is that from each trade your reward should be at least 3x your risk meaning the risk reward ratio should be at least 1:3.

Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

How To Lose Money Buying A Great Stock

The other day I headed into London to meet up with a bunch of traders.  I was there to learn.  But I wasn’t there to learn about what Stock to buy or get any other buy or sell tips.  I was there to engage with these guys and learn about their current and past trading experiences.

Learning about what works and maybe more importantly; what doesn’t work from this group increases my knowledge and allows me to become a better trader.  But not only can my own trading benefit directly, it also enables me to pass on my knowledge in the pursuit to help other traders become more profitable too.

So in this video I have addressed a common problem I see people facing time and time again.  If you are having similar problems then hopefully this video could get you back on track.

 

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.

Trading Strategy RS27 – Jan 26th 2015 Update

 

To Recap…

We’re heading into the last trading week of the month.  Today I’m going to give you an update on one of the new strategies I have implemented this year.  If you haven’t already read about it then you can get more details in an earlier post here.

Briefly explained, I am testing a short-selling only strategy for stocks trading on the American markets.  It looks to profit from short term down moves lasting from a few days up to a few weeks max.

Downtrends are identified, I then look for brief rallies which become very short-term overbought which I then short sell into.  Profits are taken as soon as prices become oversold.

Identifying overbought and oversold conditions is done by using an oscillator called Relative Strength Index or RSI.

 

Results To Date:

Continue reading

Are you struggling to make consistent profits in today's markets? As a thank you for reading this post I would like to offer you my complete downloadable guide to a very successful system I personally trade and profit from. Just click the download button below to discover how the professionals consistently take money from the markets.