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Mrs. B has a theory. She believes that it is possible to make money
in any futures market just so long as a trader follows these four
basic trading principles.
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Establish a well-defined trading plan.
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Know that the use of sound money-management policies will be
essential to the operation of your well-defined trading plan.
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Know that conquering your own emotions will be essential to the
success of your well-defined trading plan.
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Know that your well-defined trading plan may be a 'market approach'
or a 'methods approach' or it may be a combination of the two.
That is basically it for Mrs. B. There are some refinements and there
are some accessories but these four principles are the basic
foundation stones on which Mrs. B wishes to build her house of
success in commodity futures trading. Mrs. B believes that most
traders fail in commodity futures, options contracts, and equity
investments because they forget to similarly construct their
investment portfolio on such corner stones.
Let's look for a moment at the theory of gravity. To test whether
that theory is any good, all one has to do is to throw an object into
the air and watch it fall back to the ground. It should matter not
whether one throws up a feather or a bowling ball. Each should fall
back to earth. If one does not, the theory of gravity works only some
of the time.
Mrs. B is willing to test her theory too and to do this she
needs your help. She will attempt, using the above four principles,
to make a profit trading any market available for trading. It
is true that Mrs. B could pick a market herself and attempt to prove
her theory on her own but she believes it is better if her readers
pick the market for her that they would like her to trade.
Mrs. B will be using a 'methods approach' to making a
profit from the market selected by her readers. She feels comfortable
with this decision.
Is it possible that Mrs. B is right? Is it possible that in an
investment arena where more people fail than succeed, and where the
risks of loss are substantial that Mrs. B can be successful using
these four principles,
-
Establish a well-defined trading plan.
- Know that the use of sound money-management
policies will be essential to the operation of the well-defined trading
plan.
- Know that conquering one's emotions will be essential to the
success of the well-defined trading plan.
- Know that the well-defined
trading plan may be a 'market approach'
or a 'methods approach' or it may be a combination of the two.
Is it possible that Mrs. B can be successful using just these four
principles? This we are going to find out in upcoming lessons. For
now, what Mrs. B needs is your help. She needs for you to
send her a recommendation as to the market you would like to see her
trade. Remember that she is going to start with trading futures
contracts only. She may later trade options contracts and she may
later purchase equities but for now she is limiting herself to the
trading of futures contracts only.
It matters not to Mrs. B whether her readers ask her to trade corn
futures, or silver futures, or cotton futures or index futures. Mrs.
B is going to try to establish a well-defined trading plan for
whatever market she is asked to trade and attempt to trade
that well-defined trading plan by using sound money-management
practices and by conquering her personal emotions.
Now it is up to you. What market would you like to see
Mrs. B trade as these lessons proceed? To contact her simply click on
her mailbox below. Send her an e-mail and let her know what futures
contract you would like to see her trade and, if you care to, perhaps
give her the reason why you would like her to trade that particular
market. Mrs. B is waiting to hear from you. She is eager to begin.
To send Mrs. B
your thoughts by e-mail on the market you would like her to trade
along with any reasons why, click
here or on her mailbox.
After sending
Mrs. B your thoughts, suggestions, or observations, you may then
proceed by clicking
here.
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