Comments on: 10 Steps to Profitable Trading

By: inwestuje.pl » Blog Archive » Chris Perruna – 10 kroków koniecznych do zyskownego tradingu

Sat, 20 Feb 2010 12:16:48 +0000

[...] 10 Steps to Profitable Trading [...]

By: Stemulite

Stemulite — Tue, 02 Dec 2008 08:19:46 +0000

Just wondering what your thoughts are on investing solely in an Index 500 fund. I question whether anyone really can beat the market year in and year out. The amount of research it takes to make an educated investment decision is mammoth. How can one expect to be diversified and still do all that research?

Your thoughts?

By: Mystery Case Files Return to Ravenhearst

Mystery Case Files Return to Ravenhearst — Tue, 02 Dec 2008 07:28:17 +0000

When I first started investing, I just could not get myself to believe that buying at highs was better than buying at lows. However, over the years, I have come to realize that every winner I buy into keeps on winning and every loser I buy into keeps on losing. That isn’t to say you can’t pick up bargains or get burned on overpriced junk, but everyone said Apple was overpriced when I picked them up at $30 per share four years ago. They were firing on all cylinders and have continued that trend ever since.

Heed #7. Buy winners…not losers!

By: Chris

Chris — Sun, 31 Aug 2008 00:55:05 +0000

Marc,
Point well taken but I don’t day trade so the intraday and short term daily movements don’t mean anything to me. I won’t put good money after bad if the trade is moving against me.

By: Marc

Marc — Sat, 30 Aug 2008 23:49:15 +0000

Nice list. I would however disagree with the premise that it’s ok to average up but not average down. I would suspect that you are a trend trader rather than a contrarian trader. When the market moves opposite to the fundamentals (and especially to some of the indicators like the Tick) it can mean there is an edge and a reversion to the mean is imminent. Many a time I’ve bought in (long or short) too soon and when I see that but I also see that my reasons are still valid, I will add to my position even if it’s moving the wrong way.

Case in point. Thursday I saw the indicators showing a market in the process of topping out. The buzz was all about the GDP but underlying it was a decelerating economy. I went short after the early move higher and then kept adding to my position even as the market moved higher.

Friday I made a small bundle and am happy. I didn’t “let it ride” too long and I didn’t buy the big move on Thursday.

How many would have bought the rising market on Thursday, adding to their position as it rose only to see it evaporate the next day?

Following the herd usually leads you off a cliff…

By: Vikki

Vikki — Tue, 05 Aug 2008 17:11:50 +0000

Excellent blog and excellent advice – espacially the bit about selling and stop losses – a ten per cent loss, a fifty per cent loss can be a disaster, especially if you repeat the experience a number of times (blush) !

By: Enbee

Enbee — Mon, 04 Aug 2008 17:08:30 +0000

Good content. One should strictly follow the rules. Stumbled!

By: chrisperruna.com » Blog Archive » Technical Analysis Using Multiple Timeframes

Fri, 25 Jul 2008 13:14:47 +0000

[...] book starts with a chapter on technical analysis which I recently listed as one of the 10 steps to profitable trading. I agree with Brian 100% that any person that wishes to become a successful trader must learn and [...]

By: Options Trading Beginner

Options Trading Beginner — Sat, 19 Jul 2008 14:37:52 +0000

Great post!
I find that of all the 10 points, the last point is the most difficult yet the most important for all traders to master.

Regards,
Options Trading Beginner

By: Chris

Chris — Wed, 16 Jul 2008 01:32:57 +0000

KM,
If it hits the stop: sell. You can always get back in. No questions asked.