Deprecated: mysql_connect(): The mysql extension is deprecated and will be removed in the future: use mysqli or PDO instead in /home/a26f9f83/public_html/articles/includes/config.php on line 159
Planning Your Dive and Diving Your Plan ? Trading! > NetSparsh - Viral Content you Love & Share

Planning Your Dive and Diving Your Plan ? Trading!

A colleague of mine just returned from a scuba diving trip in Cozumel, which just happens to be one of my favorite places to dive. Anyway, she was telling me about an unexpected difficulty she encountered while swimming around the corral reef down about 85 feet. It wasn't anything serious but her story reminded me of something my scuba instructor used to say over and over again. "Plan your dive, and dive your plan".

When you're down about 90 or 100 feet the nitrogen acts on your body in a way that's not too dissimilar to having one dry martini on an empty stomach. It's called Nitrogen Narcosis, Rapture of the Depths, or Martini's Law. So the thing to do is get your planning done while you have a clear head, (i.e. on the surface). And then when you're deep into it, and you're feeling a bit euphoric, or nervous, you don't have to make any decisions about 'what' to do. You just follow your plan.

This holds true for trading as well. When you're feeling the euphoria or nervousness set in, remember to follow your plan. And, uhm yeah,, also have a plan to follow. Clear heads will prevail.

Years ago I had the good fortune of talking with a trading guru for several hours. This individual is world renowned for his trading saavy and skill. What he elaborated in that conversation had a tremendous impact on me. HE said that when he learned how to trade that his family enforced only one rule that he had to follow. KNOW WHERE YOU ARE GOING TO GET OUT BEFORE YOU GET IN. He felt that the problem that most traders had was that they felt that this simplicity did not apply to them. I remember sitting and speaking with him and thinking about my own mistakes, primarily letting hope take over in my decision making.

Many traders think that crying "UNCLE" on a trade and taking a loss is unacceptable. Since that conversation I have taken numerous losses on trades but it's funny how they don't have the STING that they used to because I PLAN MY DIVE and DIVED MY PLAN.

This is really simple and incredibly workable. Apply it to your own trading and investing.

-Downjonesfully,

Harald Anderson
http://www.eOptionsTrader.com

Harald Anderson is the founder and Chief Analyst of eOptionsTrader.com a leading online resource of Options Trading Information. He writes regularly for financial publications on Risk Management and Trading Strategies. His goal in life is to become the kind of person that his dog already thinks he is. http://www.eOptionsTrader.com.

In The News:

This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news

This week's Mutual Funds and ETF stories
MarketWatch
Correction? What correction? Stock price declines are so last week. As financier J.P. Morgan once dryly observed, “The market will go up and it will go down, but not necessarily in that order.” Here's the thing to remember about market declines. They ...


The 3 Best Healthcare Mutual Funds in the Past Year The Motley Fool
Motley Fool
The Eventide fund blew away the competition over the past year, using a research method based on company fundamentals to identify the stocks most likely to rise in value. The fund pays close attention to clinical trials and the feedback that companies ...

and more »

Livemint

Mutual funds sell financial stocks the most as markets soared in January
Livemint
Mumbai: Mutual funds locked in gains in financial stocks the most among the top stocks in January, taking advantage of the run-up in the pack and record high levels in the overall market. BSE's 30-share Sensex touched a record high of 36,443.98 on 29 ...


Investor's Business Daily

Some Mutual Funds Look For Hot Stocks Abroad
Investor's Business Daily
"Many investors believe that Europe and Latin America and places like Japan have the potential for even stronger earnings growth than the U.S. in coming quarters," said Tom Galvin, lead manager of $4.3 billion Columbia Select Large Cap Growth (ELGAX ...


Seeking Alpha

Best And Worst Q1 2018: Technology ETFs And Mutual Funds
Seeking Alpha
State Street Technology Select Sector SPDR (XLK) is the top-rated Technology ETF and Fidelity Select Communication Equipment Portfolio (FSDCX) is the top-rated Technology mutual fund. Both earn a Very Attractive rating. ARK Innovation ETF (ARKK) is the ...


Bloomberg

China Is Said to Call on Companies, Mutual Funds to Boost Stocks
Bloomberg
The Shanghai Stock Exchange said on Friday that it has issued warnings and limited intraday trading to prevent large equity sales that affected the market's stability. Meanwhile, the China Securities Investment Services Center -- a body serving smaller ...

and more »

NJ.com

The risk of stocks vs. mutual funds
NJ.com
GE is a household name and yet this decrease in value greatly hurts your total return in a small stock portfolio, Feit said. When an individual buys a diversified equity mutual fund or exchange-traded fund, he will get broad market exposure among ...


Investor's Business Daily

This Top Mutual Fund's Surprising Appetite For Leading Stocks
Investor's Business Daily
Currently, Barrow Hanley runs about 40% of fund assets, with the balance run by the USAA team. Parent firm USAA maintains that ratio by allocating new inflows. Although the Barrow Hanley team's mandate is to focus on value stocks, their portfolio ...


Reuters.com

Storm or blue sky? Investors mull post-correction risks for stocks
Reuters.com
Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds ...


Bloomberg

Hybrid Stock-Bond Mutual Funds Suffer Worst Week in 17 Months
Bloomberg
Coordinated selling in stocks and bonds is making life miserable for investors in one of the most popular asset allocation strategies: those lumped together under the rubric of 60/40 mutual funds. Counter to their owners' hope, that pain in one will be ...

and more »
Google News

Rebalance And Diversify

The stock market has not been very kind to your... Read More

Stock Trading - Daddy, Why Arent We Rich?

One Saturday morning, while he was sitting at his computer... Read More

Wall Street Paradigm

In 1960 an engineer working for a watch company in... Read More

Long Term Investing

In his wonderful book, 'Multiple Streams of Income', best selling... Read More

Emotional Trading

The single most expensive stock market trades are those made... Read More

The Inside Scoop on Mutual Fund Rip Offs

The bear market that showed up at the end of... Read More

Investment Capital Gains

Have you bought any mutual funds this year or late... Read More

What To Buy Now

I am sure that if you have a brokerage account... Read More

Trading as a Business

What can I expect to make my first year of... Read More

Duck

Duck! No I don't mean a quack, quack. I meant... Read More

Stock Analysis

I receive emails from Morningstar. This company provides statistics and... Read More

Intervention

Intervention. Now don't let that big word scare you. The... Read More

Moving Averages

Every day on CNBC-TV they show a 200-day moving average... Read More

NASDAQ 800?

In November of 2000 when the NASDAQ was trading at... Read More

How to Find Value in No Load Mutual Fund Investing

What are you thinking when it comes to your no... Read More

Fake Money

Reach in your pocket and take out that big roll... Read More

Understanding the Bulls and the Bears

If you've ever flipped on the television to CNN Financial... Read More

Trading Tips No 2: The Big Lie in the Stock Market

It is commonly reported that the stock market averages about... Read More

What Are You Waiting For?

Do you own any mutual funds? In an IRA or... Read More

What is Involved in Peak Performance Trading?

There is so much involved in developing peak performance, that... Read More

Risk Control

Everything you invest in has risk so you want to... Read More

Its A Duck

If it walks like a duck, quacks like a duck... Read More

Fools Gold

The stock market has been in an up trend for... Read More

The Importance of Using Stop Loss Orders When Spread Trading the Financial Markets

A Guide to Using Stop Loss Orders Stop losses are... Read More

Using Sector Funds to Construct Diversified Mutual Fund Portfolios

'Sector funds are too risky.' 'I doubled my money with... Read More