Account Info
Log Out
English
Back
Log in to access Online Inquiry
Back to the Top

avatar
102637896 Male ID: 102637896
No profile added yet
Follow
    I am indeed concerned about the uncertainty in Ukraine Russia crisis coupled with highest inflation in few decades. Had held back entering some positions since and missed the recent rebound in US market. With the high inflation, holding on to cash is equivalent to making a loss. As such, I have started investing but in the HK market as it might be starting to turn around.
    No one can be correct 100% of the time when trading and thus making losses is parts and parcel of trading. One need to have a system that has a higher probability of making a profit, else will lose money in the long term.
    I logged and review every trade in trading journal, including losses, that forces me to review my trades to see if I have done something wrong or have I followed my initial plan of entry price, stop loss or profit targets.
    Lessons like ...
    My first trade in 2022 is a swing trade in US market. Affected by the sentiments of the market in the past 1-2 weeks, my trade is still in red now though it is holding well above my cut loss. It has since become less red and hope to see it turn green soon. Patience is key while getting ready to cut when necessary.
    Apart from reading technical indicators and charts, I think the following are important that I learnt:
    1. Position sizing. If one wants to be in business as a short term trader, you must make sure position size is computed and trade accordingly. Short term trading is about having an edge in probability and you do not want to lose all your bullets when you are wrong in a trade or two. If you can’t sleep well and worry about performance of your positions taken, then you probably taking a larger risk than you are feeling comfortable.
    2. Establish entrance, stop loss and target price before trade. You must know these prices before taking up any trade so you can lock in your profits (instead of returning to market) and minimize losses (if market is against you).
    3. Mental Strength. Have a strong mental strength and be able to cut loss when the time come. One tends to hesitate and hope for the price to get better, but a bearish trend waits for no one. Use the trading platform’s features like Stop-Loss Order, Stop-Limit Order, Attached Order, etc to help you. So you won’t be affected by emotions.
    Hope this helps in your journey to short term trading. Like if you find this useful
    I am also learning and hope to learn from the all of you here as well. Leave a comment or two on your thoughts or anything you would like to share.
    With federal government support and push, my take is EV adoption will gain more traction leading to larger demand and increase in EV related stocks.
No more