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Friday, December 19, 2008

New bull market? Keep dreaming in my opinion

Most people on TV , finance TV, talk about a bottom and next year will be great and how we have seen the worst . Well in my humble opinion ( imho ) we are in a bear market and will get bear market rallies every now and then. Bear market are very sharp meaning like we see now, 3-5% in a day .
Most veteran trades advice to keep trading size low and not to chase stocks.
Discipline is very important in trading . In fact some traders , successful one's say its the discipline which makes profits , not the stok picking.
Anyone can tell you when to buy, its the selling part which is tough. No one tells when to sell.
So traders have to have a plan. Do not buy until you have an exit strategy is a very good advice I had read years ago.

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