The hardest part is being in the right frame of mind. Some days I’m not feeling intertwined with the market sentiment of the day. I just walk away and don’t trade. If I force myself to trade then I tend to get burned. I use trailing stops on everything. It takes the emotion out of the buy sell decision. That’s the key to successful trading. Take the emotion out of it. I don’t care if I make a dollar or several hundred on trailing stop. It’s simple psychological insurance. Forget all the media. Learn a sector, learn how a stock trades. Some days I make 2 or 3 trades and make my target. I walk away. My thought process is that I’m making an hourly wage that is significantly higher than any job I ever will have. I don’t need a $1000 a day/$220,000 a year. The tax rates on short term gains are better than all the payroll taxes as an employee somewhere. Sorry, I am digressing.
