ETR Insider Report: My 10 Commandments of Trading

Sorry to burst your bubble, but the perfect system for investing probably doesn’t exist. Still, there are systems that work a good percentage of the time. One way to find a good one is to watch successful investors and follow their lead. Today, I’m going to give you a sneak peek at one of those good systems: my own.

It may surprise you to learn that I wasn’t always aware that I had a “system.” I discovered it when I was developing my new trading program for ETR. The program is designed to teach everyone – from beginners to experienced investors – how to trade. And before I could put it together, I had to analyze the procedure I use when making my own trading decisions.

One thing I realized is that I have developed several “rules” that have helped me make significant gains over the years. For instance, there are 10 trading principles that I use to guide my trading.

  1. Stick to your guns.
  2. Be diligent.
  3. Don’t be a one-way trader.
  4. Don’t have personal attachments to your trades.
  5. Don’t think it has to be complicated to work.
  6. Do your homework.
  7. Trade what you see.
  8. Breathe in, breathe out, move on.
  9. View each trade independently.
  10. Don’t follow the crowd.

If you are an experienced trader, I encourage you to either develop your own set of trading principles or adapt mine to fit your style. If you are new at trading, I encourage you to start with my list. Then, as you gain experience, add to or modify it.

[Ed. Note: Rick Pendergraft is a professional trader and market analyst. In Rick’s new investment service, he reveals how you can make hundreds – even thousands – of dollars just for playing a simple game of “guess the pattern.”]