Comments on: 3. Market Selection

By: David Jenyns

David Jenyns — Wed, 07 Apr 2010 01:31:06 +0000

Hi Marian,

Thanks for your question. Depending on the instrument you’re trading some brokers only require you have 1% of the position size value within your account. Should this value change (as the market moves) they’ll give you what’s known as a “margin call”… in short it’s a call to put more money in your your account. A stop loss is a great way (as you noted) to limit your losses.

Stick with it, you’re on the right track, and the rewards are worth it.

Your Trading Coach,

David Jenyns

By: Marian

Marian — Mon, 05 Apr 2010 23:28:35 +0000

Hi David,

I don’t understand how can you lose more money than you have in your acount if you have leverage 100:1????? Is not the STOP LOSS the one who sets the loss???? I trade forex from june 09 ( not very succesful )and I never lost more than my Stop Loss………………

By: David Jenyns

David Jenyns — Sat, 16 Jan 2010 01:26:34 +0000

Hi Pramod,

You’re not alone, most trader’s struggle with this problem. The key is in your exits… you really need to hone your initial and trailing stops. If you’d like to find out more on this topic check out my course Trading Secrets Revealed 2.0 (www.trading-secrets-revealed.com) it details how I solve this problem.

Please also be sure to continue working through this website, you’ll find loads of useful, free information.

Your Trading Coach,

David Jenyns

By: Pramod Agrawal

Pramod Agrawal — Fri, 15 Jan 2010 20:17:46 +0000

Hi
I am a trader holding positions in stocks for days and weeks. My entry and exits are very late as my system is based on 2 moving average crosses. Many times it results in to losses. One major problem always is i can never figure out how far the present rally would go – 1 day, 10 days, 100 days. So there is always an element which i call – gambling. I get get 5 ralls of 1 day each and my capital will be wiped out.
Please share your trading system or please suggest 1 or 2 most appropriate trading systems just to learn.