Golden Rules on Commodity Trading
- Book profit as price comes close to your target, don't wait for exact rate.
- Taking quick action is the key of success in day trading.
- Stop trading for the day, if already got good profit for the day, don't be over confident
- Don't trade in a particular scrip/index if you are not confident about the move. It's better not to trade rather than trading wrong.
- Don't trade if risk reward ratio is not favorable.
- Ready with your trading action plan in advance. Market timings are for action not for planning, one miss can be a big opportunity loss/trading loss.
- Move with the market & don’t expect the market to move with you.
- Fear & Greed, both are psychological weakness, play with it and don’t get played by it.
- Keep a stop loss or a close watch, if your trade move confirmed in negative direction, take exit immediately.
- Focus on trade, opportunity can come at any time, don't miss trading opportunity, even a small opportunity can pay you big.
- Don't regret if you miss the opportunity, wait for the right one to enter.
- Trade patiently, quality of trade matters not the frequency/numbers.
- Stop trading for the day,if your most of trades are resulting negative for you. Remember, everyday is not your day.
- Trade with your independent due diligence,learning & thoughts, don't get influenced.Trading on someone else tips is like crossing the road as a blind man.
- Believe in results, it is only the result that matters.
- Don’t target the Market as you are always on the target of Market, play defensive & play safe.
- The longer the duration your trade remains in negative direction, the higher is the risk in that trade. Good “Day Trades” turn into profits mostly in short duration.
- Market moves opposite to most of the signs which actually making clearly visible to all.
