This lesson is about maximizing trading strategies for the purpose of meeting your goals as effectively and efficiently as possible. In this report, I'll teach you a simple calculation that will allow you to keep track over your return on equity from quarter to quarter or month to month. Before I opened my first brokerage account, I had the fortune of coming under the wing of mentors who drilled into me the critical importance of cutting losses. In fact, the vast majority of traders have no real plan at all. Most are so anxious to begin trading that they bypass this very important step.
Nothing feels better than finding a profitable setup based on a bad trade.
Whenever I sit down to write my twice-weekly column or one of these trading lessons, my goal is to get to the heart of the matter while attempting to keep my writing at least somewhat interesting. The Stock Recovers. The Profitable Trader's Edge Loren Fleckenstein Sometimes, the key to success in the financial markets depends as much on what you unlearn as what you learn. Understanding trends is one of those keys. In the second of two articles on position management in the Traders Learning section, Dave Landry explains the importance of trailing stop and exit techniques, and different approaches you can use to control risk and maximize profits.