CPA JOSS

This is what holds many traders back. The small wins. Yet we love to take those small wins, and avoid small meaningless losses like the plague. We are afraid of losses. It doesn't matter it it is big or small, that L is scary. It's all about the fear of the loss. Here is the rub: the fear of the loss is always worse than the loss itself. Losses don't hurt as bad as you think. Remember what

Martin: I have a horrible migraine. Prison guard: A bottle of Advil is $750,000 It's easy to lose sight of the dangers of trading when things are going well. A few good trades and you are invincible. But it only takes one bad trade to wipe all the profit away. Anybody remember KBIO? A novice trader shorted the $2 stock. The next day it gapped up eight hundred percent. His account

Traders know less about the future than they think they do. And if the trader knows she does not know, she thinks someone else does. It's why you hang onto every word of woefully inaccurate CNBC pundits. It's why you love and hate Cramer. It's why you follow 3654 members of the Twitterati. Sadly, it's why you risk too much. It's why you put all of our eggs in one basket. It's why you won't

At the first sign of a market sell off or correction, my eyes leave my well developed focus list and turn to the CBOE Volatility Index, otherwise known as VIX. During market selloffs, it is crucial that you learn how to trade VIX. Why do I love trading the VIX during sharp selloffs and corrections?   Please retweet if you liked this article! Tweet It's because the VIX smells fear and acts

We have been talking a lot about risk management and how it relates to being a successful trader.  In fact, three of the first five trading quotes in the 100 trading quotes series related to risk management. This should clue you in on how important I believe risk management is to winning as a trader. My latest BOW winning trade, SHAK, is a great example of applying risk management. A range had

The first quote in the "100 trading quotes to put into action and change your life series" speaks to a specific trader type.  When thinking about risk, we often think of the trader who is impulsive, trigger happy and position sizes much too aggressively.  However, there is another type of risk of which former Indian Prime Minister Jawaharlal Nehru spoke: The policy of being too cautious is