$Tesla (TSLA.US)$ queuing at 830
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$Tesla (TSLA.US)$ going back to 1200
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$BABA 211231 110.00P$ ooh, looks like I'm close to getting assigned.
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1) Know yourself first.
Know how much you are willing to risk.
Learn what you do not know yet (fundamental and technical analysis)
Always take care of the downside FIRST.
2) Before placing a trade, decide on your strategy and your 3 points - Stop loss point, entry point and the profit-taking point. (you will know these points when you learn how to analyze the chart, it's not random, it's not gambling, it's PROBABILITY)
4) Once you're in the trade, don't change these points. For eg: changing the profit-taking point higher just because you saw the bullish trend (GREED!) The trend may reverse against you before hitting your desired point.
5) Keep a trading journal. Record why you want to trade the particular stock. What causes you to sell (fear?) Why you hold on to a losing trade (hope?)
Through this journal, you'll understand yourself better.
6) Manage your position size in every trade. Sure you can make million in a single trade. You can also WIPE OUT YOUR ENTIRE capital in one losing trade.
7) Keep reading and learning. Be patient & don't force a trade.
Know how much you are willing to risk.
Learn what you do not know yet (fundamental and technical analysis)
Always take care of the downside FIRST.
2) Before placing a trade, decide on your strategy and your 3 points - Stop loss point, entry point and the profit-taking point. (you will know these points when you learn how to analyze the chart, it's not random, it's not gambling, it's PROBABILITY)
4) Once you're in the trade, don't change these points. For eg: changing the profit-taking point higher just because you saw the bullish trend (GREED!) The trend may reverse against you before hitting your desired point.
5) Keep a trading journal. Record why you want to trade the particular stock. What causes you to sell (fear?) Why you hold on to a losing trade (hope?)
Through this journal, you'll understand yourself better.
6) Manage your position size in every trade. Sure you can make million in a single trade. You can also WIPE OUT YOUR ENTIRE capital in one losing trade.
7) Keep reading and learning. Be patient & don't force a trade.
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As a new trader into this whole trading game, I like to spend my non trading days reading up on how to improve the way I trade, technically and psychologically. I will also look at my own trading journal on the trades I did well and those I could have done better, basically to self reflect on why I did what I did.
Oh! And not forgetting - prepare a watchlist during non trading days for the new week!
Oh! And not forgetting - prepare a watchlist during non trading days for the new week!
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