The Motley Fool Discussion Boards
Investing/Strategies / Short Term Trading
|Subject: Ruminations, ramblings and....||Date: 6/4/2001 4:38 AM|
|Author: RayBH||Number: 3030 of 36693|
and other random thoughts.
As I pondered what sage words of advice my 61 years could give to this energetic group about trading, it occurred to me that I have none that have not already been put forth.
Oh, of course I could share some of my favorite stock picks or some bits of information gleaned from the many sites that we all know of, or some charts and projections, but alas, we all have access to those tools and I have seen them all presented here in STT much better than I could ever hope to do.
So instead, with your indulgence, I would like to relate what has developed over the years as trading parameters for me.
First of all I have learned that winning or losing in a trade is not the most important thing in life. Health, peace of mind, faith, and the love of a great mate and family are much more important, and they are just a few, if you do your own soul searching I am sure you will find many more.
Over the last year I have seen many friends (on line) that have had health challenges, mental and emotional disasters and all around severe "testing of their mettle". And believe me the extra "buck" that they made or lost was not worth the anguish. So....keep you trading life in perspective of the "big picture".
Second, if you find that trading is becoming, addictive seek help. I'm not talking about getting online to chat with friends about trading or researching till the wee hours of the morning or checking your "ports" every half hour. I'm talking about making trades just to be making them. About doing deals that you are not completely sure of but you just "gotta" be doing something. This is one of the quickest ways to financial disaster that there is.
Remember one of the foremost rules in trading is "preservation of capital".
Third, make sure you get enough rest. Without proper rest and sleep a decision may seem very good and wind up being the absolute wrong thing to do, but with "fuzzy thinking" you won't catch it.
Fourth, enjoy your message board and chat room friends, listen to them, share with them, joke with them, party with them, but for God's sake don't make financial decisions based upon what they say. We all mean well but by golly some times we are wrong.......So always do you own research, take your time to think it through, weigh the options, then and only then make the trade.
Fifth, Patience.......Patience.......Patience. I know what it feels like to think that next KKD is getting away from you and you start chasing, but there are many, many trades that are out there and there will be many, many more. If there is one thing that I would point too as a pitfall for new (and even some experienced) traders is the lack of patience.
These are just a few of the things that I have learned over my span on this earth and I am still learning..
|Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|