Warning to all dirty spekulants (sp)

[SantaClaus]

So, from what I can make out so far the way to do it is :

• Pick a market you are comfortable being able to track.
  yes
• Don't bet more than you can afford to lose.
  yes
• Have a plan and stick to it.
  yes
• If the plan doesnt work, stop and re-evaluate. Dont try and change it on the fly.
  yes
• Dont get greedy, profit is profit, dont be afraid to close out earlier rather than later.
  No - Plan your profit targets before you take the trade. Do not deviate from the plan. Closing trades early means you mess up the ratio of risk to reward
• Make sure your stop losses will only be a small percentage of your total available funds.
  yes, maximum 2%.
• If the market breaks against you dont try and follow it, stop and wait for it to stabalise again.
  yep, dont chase the market

Not that I've ever tried it, this is all hypothetical and based purely on observation.

Another point. Choose a strategy that either has high reward to risk ratio or a higher than 50% win/loss ratio.

Finally, remember... the market can remain irrational for longer than you can remain solvent

[DimPrawn]

and also remember... the market can remain irrational for longer than you can remain solvent

Is it female?

[SantaClaus]

Is it female?

Probably is! Thats why most traders I know call the GBPUSD a dirty slut.

[DaveB]

No - Plan your profit targets before you take the trade. Do not deviate from the plan. Closing trades early means you mess up the ratio of risk to reward

What I meant with this one was don't get greedy after you have hit your target, hanging on in the hope of bigger gains and risking losing the profit you already have.

[bobhope]

What I meant with this one was don't get greedy after you have hit your target, hanging on in the hope of bigger gains and risking losing the profit you already have.

The phrase you're looking for is trailing stop-loss

[DaveB]

Another point. Choose a strategy that either has high reward to risk ratio or a higher than 50% win/loss ratio.

I'm guessing experience plays a large part in being able to spot these.

Finally, remember... the market can remain irrational for longer than you can remain solvent

Sounds like my ex-wife.

[DaveB]

The phrase you're looking for is trailing stop-loss

*goes and googles*

Yep, that sounds about right.

[DaveB]

Ok, next question.

Prices tend to move in response to external events c.f. the nose dive of Jan Crude on release of the US stock figures. Is there anywhere where you can see what news is due for release on a particular day?

From my time working tech support on trading floors I know all the traders have access to Bloomberg etc and assorted other news feeds. Where do the armchair spekulants get their info, or are people just flying blind?

[AtW]

Where do the armchair spekulants get their info, or are people just flying blind?

get robbed

[HairyArsedBloke]

Ok, next question.

Prices tend to move in response to external events c.f. the nose dive of Jan Crude on release of the US stock figures. Is there anywhere where you can see what news is due for release on a particular day?

From my time working tech support on trading floors I know all the traders have access to Bloomberg etc and assorted other news feeds. Where do the armchair spekulants get their info, or are people just flying blind?

Wot, like this?