Trading and investing is not easy. Sure, when you have a bull market in place it seems like you cannot do any wrong. But don’t be fooled, a simple market correction will always teach a valuable lesson to traders and investors; proving how tough this business can be. Most novice traders that are just getting into the business fall into some common traps. Let’s check them out there…
- They will often over-trade.
- Enter trading positions for all the wrong reasons.
- Trade to many shares.
- Gamble on big announcements and make many, many other mistakes.
This is all part of the business and we must all go through the learning curve before we can become consistently profitable.
Here is the quickest way that I found to becoming profitable… trade only the chart pattern setups that have made you money in the past!
Early in my career, I only traded the consolidation breakout pattern. This setup was when a stock formed a long sideways base and then resumed another move to the upside. I recall scanning charts for hours a day looking for stocks that were forming this pattern. It was amazing to me to see how this repeated over and over. Please understand, there were times when it did not work and failed, but that was not very often. I still trade this setup to this very day with a high success rate.
For other traders it could be a different chart pattern that you have had success in using. The point is to find just one chart setup that makes money consistently, find that setup continually and become a master of it! As you become more mature as a stock trader you will discover other patterns and chart setups that might be better and more effective. But this is a great way to get started on the right foot. Remember, a baby must crawl before he walks, this is the natural progression that everyone must go through. New traders should follow this one rule and they will be on their way to success.
Bullseye Trading has logged in 18 consecutive winning trades since it began on September 2, 2019! This performance is verified and documented. Check out EVERY trade and get the next right now, click here.