Wednesday, August 4, 2010

Lesson Learn : Have patience with Winners and impatience with Losers

You can't win all the times, infact you will lose alot of times. Always cut loss losers quickly and let winner runs. Bought Swiber at 1.07 some times back because it breaks 1.07 but it can't seems to cheong and range from 1.05-1.07, so decided to cut at 1.06 at due date. Although it is lose 100+, it keeps your mind off thinking about this loser when trading. Healthy Mental health and morale is very important. True enough, next day it went to 1.03.

Bought SoundGlobal at 0.79 because it breaks 0.78. Sold 0.820 the next morning. By the next day, it went 0.845. Gap fill thoery target is at 0.85. I should have hold winners longer because I already have buffer. The worst case scenario is don't win anything.

"Have patience with Winners and impatience with Losers"

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