What Does It Really Take To Succeed? 20 Habits Of Wealthy Traders By Lyle Wright

Habit #1 Wealthy Traders Are Patient With Winning Trades And Enormously Impatient With Losing Trades

Habit #2 Wealthy Traders Realize That Making Money Is More Important Than Being Right

Habit #3 Wealthy Traders View Technical Analysis As A Picture Of Where Traders Are Lining Up To Buy And Sell

Habit #4 Before They Enter Every Trade They Know Where They Will Exit For Either A Profit Or Loss

Habit #5 They Approach Trade Number Five With The Same Conviction As The Previous Four Losing Trades

Habit #6 Wealthy Traders Use “Naked” Charts

Habit #7 Wealthy Traders Are Comfortable Making Decisions With Incomplete Information

Habit #8 Wealthy Traders Stopped Trying To Pick Tops And Bottoms Long Ago

Habit #9 Wealthy Traders Do Not Think Of The Market As “Expensive” Or “Cheap”

Habit #10 Wealthy Traders Are Aggressive With Size When They Are Doing Well And Modest When They Are Not

Habit #11 Wealthy Traders Realize The Market Will Be Open Again Tomorrow

Habit #12 Wealthy Traders Never Add To A Losing Position, Ever!

Habit #13 Wealthy Traders Judge Their Trading Success On Anything But Money

Habit #14 Wealthy Traders Read About Mobs, Riots And Human Psychology

Habit #15 Wealthy Traders See Themselves As Market Makers

Habit #16 Wealthy Traders Practice Reading The Right Side Of A Chart, Not The Left

Habit #17 Wealthy Traders Have An “Edge” In The Market

Habit #18 Wealthy Traders Determine Position Size Based On Risk, Not Round Numbers

Example With Even Numbers Trading account is $10,000 Maximum single trade risk = 2% of account Maximum loss would be $200 If entry price is $10, and stop-loss is $9, risk is $1 per share Position sizing formula: the number of shares is equal to our maximum loss ($200) divided by our stop-loss size ($1). You can therefore purchase 200 shares. If the stock is less volatile, you might tighten the stop to $0.50, you could purchase 400 shares ($200 divided by $0.50). In either case if the stock reaches our stop-loss, won’t lose > 2% Online position sizing calculator:

Habit #19 Wealthy Traders Buy Strong Markets And Sell Weak Markets

Habit #20 Wealthy Traders Play The Reaction, Not The News

Thank You… Comments Or Questions?