Forex Trading Explained. DrForex's top selling forex book Bird Watching in Lion Country - Forex Trading Explained in e-format.
Buy and Hold: How to Perpetuate Your Investment Losses (21 Mar 2006) A recent cartoon in my daily newspaper showed two guys sitting in a bar. One is saying to the other: "I did learn something from my broker...how to diversify my investment losses." While this struck ...
No Load Mutual Funds or Exchange Traded Funds (ETFs)? (21 Mar 2006) If you are fed up with early redemption charges and ever increasing mutual fund management fees on top of bad-performing fund managers, read on. There is a quiet revolution going on in the no-load mu...
How To Make, And Keep, Money Trading Stocks (21 Mar 2006) If you are serious about making and keeping money by trading stocks, then there are three things you need to do, and do well. Money management Orders Trading system Money management Money manage...
Stock Market Diversification (21 Mar 2006) Diversity is important, but just as important is
over-diversification.
Precision Money Management (21 Mar 2006) A model of a natural relationship between trading system performance, trade position size, stop loss settings and profit goals. The model consists of algebraic equations that specify the trade size and stop loss settings needed to meet profit goals over a specified time period for any consistently used trading system for which historical performance data is available. Examples are provided.
Money, Insanity and Wall Street (21 Mar 2006) For some, the process of trading is like the development of an addiction, it starts with expectations, with hopes of a relief, with desire to control money or acquire more of it. Soon, it starts turning into an obsession.
What is a Trading Plan – and Why You Need One? (21 Mar 2006) Contrary to popular belief, you do not need to know where market tops and bottoms are to make money. In fact, that is where most people will go wrong. The best traders in the world realize that neither they, nor anyone else knows what is going to happen. Sure, everyone can point out tops or bottoms after the fact, but no matter what anyone tells you or tries to sell you, NO ONE can pick tops and bottoms consistently. This is why you need to understand what a trading plan is.
The Secret Art of Backtesting (21 Mar 2006) Lack of confidence usually forces traders to question their own trading systems. They give into the temptation to modify their trading plan with devastating consequences. This temptation spawns on by a string of losing trades or an opportunity to replace their trading system with a whiz-bang indicator that is usually talked about in traders chat forums. This seems like the answer to all traders' prayers, but that is all the more reason why you need to learn all about the top news secret art of back testing.
Losses, not Profits, will Stop You from Trading in the Market (21 Mar 2006) It is very unlikely that you will stop trading if your system is trading profitably. However, if you are in a trading year that takes too big a loss, you are likely to stop trading, even if your system has been tested and shown to make a profit over a longer time period. Therefore, it is important to understand why losses not profits will stop you from trading.
How To Beat The Mutual Fund Companies At Their Own Game (21 Mar 2006) You'd have had to be living on a desert island with no TV, newspaper or internet connection to have missed hearing about the great mutual fund scandal of 2003. The issue was that some mutual fund com...
