Study Guide for Sell and Sell Short
Chapter One
How to Buy
Manage Risk,
& Keep Records
When I sat down to write a book about selling, it soon became
clear that it had to begin with a section on buying and all
that relates to it. Beginners buy when some vague tips float their way.
Experienced traders know that serious buying requires serious
research.
Scanning the stock market and researching individual stocks is very
important, but analysis alone will not make you a successful trader.
Serious buying requires good money management. There are simple
mathematical rules that tell you how much risk you may accept on any
individual trade as well as on all your open trades combined. Those
who violate risk limits have a very short life expectancy in the markets.
There are certain psychological rules that can help you make your
life in the markets less stressful and more satisfying and profitable. And
there are certain highly desirable ways of record-keeping that will help
you grow into a mature and successful trader.
You have to buy well in order to sell well.
That is why, before ... read full excerpt from Study Guide for Sell and Sell Short ebook
