Tag Archives: money management

Ten of the leading trader mistakes

Jim Wyckoff has a good article out which looks at the causes of trader failure. Failure to …

Trader Psychology is NOT the most important thing

I came across a post on the FXStreet site with the following statement: “The majority of trading …

The Primary Trade Size Forumla

Position sizing is something that comes up ALL THE TIME in the discussions among new and developing …

A little quiz on trading returns

A book I’m currently reading (which will be reviewed later) presents a set of choices to the …

Maintaining a Position Mindset in a Portfolio

I met with the head of a PhD program yesterday. We had a good discussion of markets …

It’s only a paper loss if you don’t sell

Here’s the sort of attitude about taking losses that ruins traders and investors on a regular basis, advised by a financial planner no less.

Taxes and Cutting Your Losers

I’ve been doing quite a bit of reading on the subject of Behavioral Finance of late (and …

Some Trading Links and Observations

I’ve gone off on a rant about poor market analysis before (see this post, and this follow-up), …

I don’t use stops. What do you think?

I got the question in the title of this post from a “fan” of The Essentials of …

Trading System Testing and Risk Management with Multiple Securities

A reader of my book sent me a question that combines system design and testing issues with …

Minimum Stop Loss

A question came up on Trade2Win that I thought probably was of interest to readers here as …

Adding to Your Winning Trades

At some point just about every trader starts pondering the question of if, when, and how to …

A Reader’s Story About a Stop Getting Hit

A reader named Susan left this comment recently on the Some Not-So-Great Tips for Using Stop Orders …

Big Trading Risk On Small Accounts – Bad Idea

If you’ve been reading my postings here for any length of time you’ll know that one of …

Stop Getting Hung Up On Stops, Targets, and Risk/Reward

“Is 30 pips a good stop?” “Should I use 50 pips as my target?” “Your risk/reward ratio should be …

Different types of stops

Stops are always a favorite topic for discussion in trading circles. Here’s a recent question that came …

Looking at Risk and Stops Across Markets

Here’s the core of a note I received from a member of my mailing list a short …

Volatility, Stops, and Other Topics

Here are a few interesting posts from my blogging peers that you may find interesting. Vix and …

Defending Options Trading Against Blogger Attack

A fellow trading blogger wrote some things which really irked me. I’m not going to say who …

Some Not-So-Great Tips for Using Stop Orders

Stock Trading to Go posted 10 Great Tips For Using Stop Loss Orders Successfully the other day. …

Another Rogue Trader

If you were completely out of touch Thursday you might have missed the adventures of our latest …

Risking Something Other Than 1-2%

The idea that you should only risk 1-2% of your trading account is a bit of advice which is …

Money Management Question

I recieved the following from one of my list members yesterday:  Hi John, The most important question …

Close stops do not lower your risk

A lot of new traders fall in to an insidious little trap. Because they hear from those …