Wednesday, April 8, 2009

Secrets to Successful Investing/Trading

The Stock Market is like a Financial War between Institutional Players and Retail Speculators. Institutional Players have unfair advantage over Retail Speculators as they have industry knowledge and size. Beware of these Sharks and Piranhas when you are in this Financial War.

How can we beat them or win this Financial War? Apply the Sun Tze Art of War?

The Secret to Successful Investing/Trading is know your 3 M:

Method: Knowledge. Know your edge. Do you have one? Do you have a trading edge to increase your chances of success, to put probabilities on your side? There is no 100% sure win, you don't need 100%, you can be wrong and will experience losses. Listen to the Market. Know the Trend.

Money Management: Focus on long-term survival as top priority, then steady growth of capital and lastly making high profits. Know the consequences. If wrong, cut!

Mind: Mental ability to execute other 2 M. Strike a balance between Fear and Greed. Fear = precaution, focus on risk not returns. Greed = Motivation, focus on returns not risk.

Here I'm sharing my Method, my trading/investing edge, my Crystal Ball! A method which assesses the risks and probabilities, not certainties, for me to act when probabilities are high and the risk is not.

Like to know more? I learnt the above 3M after attending a free seminar organised by Phillip Futures. The Speaker is Tom Yuen, an experienced professional trader with SGX. A very interesting and entertaining presentation! Dun miss it!

Register online at Phillip Futures or SGX Academy - seminar is Insights to a Professional Trading Career.

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