Key to successful trading – Avoid analysis paralysis!

Many traders suffer from too much analysis.

They look at so many things that they can no longer see straight. When you end up over-analyzing the trade or the security that you want to trade, you eventually end up not trading at all, not because the trade was good or bad, but simply because you just don’t know what to make of it.

While on one hand it is good practice to look at all the possible angles of trading, it is definitely a problem when one begins to over-analyze things. When it comes to trading, it’s important to have a clearly defined trading plan. Continue reading Key to successful trading – Avoid analysis paralysis!

Key thoughts on money management in stock trading

Money management overlaps with risk, trade, business and personal management, yet it has many aspects that make it distinctly different from all of these other areas of management.

Money management is usually not followed or is used only when things get real bad. Usually, it’s a bit too little too late unless you start from scratch including building up enough risk capital all over again.

Money management has some key aspects that in one way or another tends to have an influence on all aspects of trading. It also helps you to become a more consistent trader. Continue reading Key thoughts on money management in stock trading