Do you have a trading system or plan to guide you through the stock market investment?

Here is an article I published this week, it presents a system that I've used for over 20 years...hubpages.com/hub/robertlichelloAIMSystem.

More information about the Lichello AIM system that dburkeaz mentions is also onbean-d.com/cpt/aim-e-gold-transaction-c.

I spent 5 months working on not only my trading plan, but my own trading methodology. It took awhile to do the backtesting to confirm each aspect of my trading plan - was a challenge - but completely worth it! Without the trading plan, I would be guessing on what direction the market is in - resulting in me selling too early or going long when I should have been in cash.

There are several ways to invest. In the world of finance, the risk is still playing the violin at the reward. You must be willing to lose money to make more money.

The bank is a low risk investment, and will almost certainly get your money, with interest at any time. Another common, but more risky, the strategy is to invest in stocks. Basically, you put your money in different companies, hope that will grow with the company.

Obviously, there are risks, as some companies may go bankrupt, although there is much to gain if you find a jewel like the next Google, before anyone else. There is even more risky investments, as some financial derivatives. guidetoinvest.net/investment-tips-for-b.

First of all remember that there is no strategy that will give you a 100% success rate. A good strategy might give you around 50-70% success rate. Its these success that will take care of your losses.So this is what I do with my trades.

Lets say you have $1000. The first thing you need to know is how much money you can afford to loose. If its $100 then add $100 to your trading account.

Buy a stock/ETF that you like with $1000. Put a stop loss at $100. If the stocks/ETF goes up say 2-3 % put a stop loss at the buy price + commision andn increment it from thereon.

If however the price goes down and you hit the stop-loss you still have $1000 for your next trade. Ie ($1000 - $100) + $100. The next time you want to buy a stock you repeat the same exercise.

If you do this you will atleast be sure that you do not loose you initial investment and you will always have a plan before hand for the max loss you can take.

Our system is "Recognize and act on the current, long term trend". Economists identify these trends all the time using common economic data and computers. Be clear that they are NOT predicting where the market is heading BEFORE it goes there.

All they are doing is recognizing an existing long term trend as early as possible, not predicting it before it happens. See the complete article at timingtruth.com/active-versus-passive-retir.

The best trading system is your own brain. This is coming from someone who designs computer trading systems. What I mean by this is in order for anyone to profitably use any trading system, you have to know how to trade on your own, whether its investing, or shorter term trading.

The trading system should be an extension to help you find ideas you could normally not find, or make more money than you could otherwise. You should not look to any trading system as a end all way to the easy life - it does not work that way. I have one you can try for free, its still in beta, trades US stocks intra day.It literally is free to anyone who wishes to try it out while its in beta, and is a very good tool for those looking to see how to generate trading ideas in real time.

http://www.mytradingrobot. ComI have also written many hubs on trading here, just look up my name.

I cant really gove you an answer,but what I can give you is a way to a solution, that is you have to find the anglde that you relate to or peaks your interest. A good paper is one that people get drawn into because it reaches them ln some way.As for me WW11 to me, I think of the holocaust and the effect it had on the survivors, their families and those who stood by and did nothing until it was too late.

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