THE MOST IMPORTANT KNOWLEDGE

The SWING METHOD must be traded with a money management software or u must calculated yourself. The stoploss is varies from 50 pips up to 200pips, but if u use correct money management the loss that you will face in each trade is fixed. let say I fixed my risk to 2%, that means i have to face 50times consecutive losses in a rows to empty my account. If 3%, 33 times consecutive losses in a rows to empty my account. If 5%, 20 times consecutive losses in a rows to empty my account, and I dont care about small stoploss or huge stoploss, it look the same for me. Every indicator and every technical analysis sometime facing 3 to 5 losses in rows if use predertermined stoploss, unless you are not using any stoploss...u will have very high winning rate, but once it against you,u will face huge losses and sometime call margin, u become panic, lost control and loss your shirt. Or u use hedging tecnic, and at the end you dont know where to get out, u will become panic, lost your decipline and losing your shirt, put more hedge, become over leverage and call margin in one or 3 days
The decipline and mental fitness is very important...what happen if you are facing 3 consecutive losses in row, you start to pull your hair, panic and losing your shirt and normally you will throw a good system in the garbage and searching for new indicator or new system and keep on repeating again and again, I remind you THERE IS NO HOLY GRAIL SYSTEM. That what happen to me in the early stage of my trading age and it happen to all newbies trader, i think!!!!.
Find the simple system....." What you see is what u trade" be decipline and mental fitness Phycology is no. 1 to be a trader...not only trader, in any business....!!!!!!!!!!!
Dont trade any method with your real hard earn cash, if you dont know how to calculated your money management and dont have a mental fitness, decipline enough knowledge to facing a few losses in rows

IMPORTANT ADVICE TO ALL THE TRADERS

The turtles. Many trader’s out there know this story. An ordinary group of people being taught how to trade. All learnt the exact same method…same rules….totally different results. One of their rules was to be consistent especially in taking the trade signals that were presented and how to “buy in” to a trade. The first trade they had was in heating oil. Keep in mind, they were not looking at charts on their computers. Nope. They were using charts from tabloid sized newspaper and had to update the charts at the end of the trading day. Nobody knew how the trade would do especially that it would take out the previous years high. Price rose from $.80 up to a little over $1.05. For those that followed the system, especially the position size, their account exploded. How many held full positions? One. The others found reasons not to be fully involved and gave reasons such as too risky, gone up too fast, thought the move would not last due to contract expiration. They were all given strict rules. Not following them on a whim, a hunch or thinking they could predict the market cost them some decent profits.

What is the point? It should be obvious.

Unless YOUR trade plan has strict rules for standing aside on a trade…take the trade. Deciding to risk 2% on each trade? Do it for every trade. These rules should not be pushed aside because of a subjective whim or hunch you may have. The trade you decide to not take part in OR use a fraction of your planned risk, will be the winner. The one you jump in with both feet may win or lose…but you were consistent. Consistency is one of the four keys that poured from the Turtle lessons.

1. Trade with an edge
2. Manage risk
3. Be consistent
4. Keep it simple.

Funny how many traders forget these basic four lessons. It could account for the many many traders that get slammed out of trading every day. Why traders lose their stake. Why traders complain a system does not work (especially when others are doing very well with it!!!!). You do not need to be a scholar, a PhD or a former member of the deans list. You do have to be smart…and being smart means following the habits of those that have succeeded before you