Control what you can control

I started full time trading right at the start of big bear market in 2000. Having seen 2 big bear markets in last 15 years has influenced my thinking on risk management. What doesn't kill you makes you stronger.

My primary objective is to get returns while controlling risk and having very little downside. If you take care of the downside and avoid having negative years the money compounds. If you are losing money in this market then having a re look at your strategy of managing risk is important.

Risk is always there in trading . As soon as you put on a trade risk is in play as the market is not under our control. If as a trader we do good job of managing what is under our control, the market risk becomes manageable.

The things that are under our control are:

Market timing ( that is why Market Monitor based timing tool)
Setups selection (momentum burst , EP, anticipation)
Stock selection (stocks with established absolute momentum MDT DT TI65 or growth +momentum using IBD scanner)
Trade time-frame (swing trades)
Entries
Stops
Exits
Per trade risk

All the above things are under your control. How the market or stock will react after our entry is not. But by controlling the controllable factors we reduce but not completely eliminate the risk.

Market corrections are good time to think about your risk management and actually develop and use timing tools. If you do not manage risk you will be out of this game soon.

The game is about making money while keeping your risk to lowest level possible. If you can build a track record of doing that you will find no shortage of money to trade as your friends and family will entrust more money to you than you can handle.

As of now I am in capital preservation mode on all long term accounts. Any change in breadth surge will change that approach.

The Primary Indicator at 192 is now below 200 which means extreme bearishness. Such readings often lead to bottoms or vicious counter trend rallies.

Just because the readings reach extreme does not mean you start hugging and kissing each other, they should be followed by significant breadth improvement. Often it means a series of back to back buy days with 4% plus numbers of at times 1000 plus. That indicates institutional buying . Keep eyes open for that but wait for confirmation.

Best site to learn to trade

If you are serious about your trading and want to build an enduring edge, the Stockbee Member site might help you.

Members tell me they have tried a lot of things before coming to my site, and it has offered them the most extensive and detailed methods to swing and position trade. Members range from very experienced traders to novices.

No advertising, no hard marketing, no promotions, no free offers, no affiliate marketing, no incentive to other bloggers to promote the site, no constant tweets self-promoting the site, and no tall claims. Every member comes through word-of-mouth recommendations from existing members.

As a member, you will learn the basics of swing trading, momentum investing, growth investing, and risk management. You will learn about Stockbee Momentum Burst breakouts, Stockbee Trend Intensity Breakouts, Stockbee Episodic Pivots Breakouts, Stockbee Lemonade Strategy for 401k, and many other member-shared methods.

You will learn how to set up your own scans, how to select the right kind of stocks, how to set up stops, when to enter, when to exit, how much to risk, how to track your trades, and all other details about trading.

You will learn about developing your own methods and not relying on others for trade ideas. Develop your own edge. Once you develop your own method, you will have a lifelong profitable method.

The site gives you an opportunity to interact with some of the most successful traders and learn from them about their trading methods. It is a vibrant community with members from different backgrounds and experiences willing to help each other. Members have shared their methods, scans, software, backtests, and market insights.

Every day, the emphasis is on continuous learning and upgrading of market knowledge and setup knowledge. The members range from hedge fund employees, financial advisers, active swing traders, investors, and new traders.

You will see that many trading bloggers have been using my market timing methods, scans, and chart templates. They have developed their own methods based on my methods.

Almost every member comes through a recommendation of some of the leading trading bloggers and trading sites. 80% or more members continue to be members for more than 3 years. Most tell me that they stay on because every day they learn so much from the members' site.

If you are looking to develop your own trading strategy, the membership site might be for you. You have to be willing to put in the effort to build your own method. There are no silver bullets offered on the members' site. Every method, every scan, every nuance is detailed, and all possible help is offered to design your own method.

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