home
trading overview
trading philosophy
trading results
free offer
sign up
contact us
    T R A D I N G   S T R A T E G Y   P H I L O S O P H Y    

Newspaper Chaos or volatility has increased markedly since online trading has become popular and will continue to be a part of the ongoing investment process.

Learning is continual:

  1. The demand for a commodity, as reflected in its price, is created by human beings and as with all energy, tends to move in cycles from valley to peak and back.  Minute cycles move within hourly cycles which occur within daily cycles which in turn occur within weekly cycles which occur within monthly cycles and so on.  The more frequent and intense these cycles, the more volatile the commodity and the greater the financial risk and short term capital gains.  Day traders focus on the "minute cycles" where as the Wealthsaver strategy monitors "daily, weekly, and monthly cycles."
     

  2. Investors constantly experience two conflicting emotions of greed and fear of loss.  Fear of loss makes us hesitant to enter the market as the price may go against our position; Greed, on the other hand, makes us hesitant to change positions as the commodity may still have momentum in our favour.  Both emotions can be controlled by deciding in advance the type of changes that will trigger a short sale or long purchase and reacting automatically when they occur.  Some losses can never be eliminated entirely but they can be minimized by following a structured set of trading rules faithfully.
     

  3. It is easier (and with less risk) to double an investment through a series of small gains rather than from a single drawn out long-term transaction. 
     

  4. It costs only a few dollars in commissions to change positions or to get out - when in doubt.  There will always be another opportunity where there is greater clarity.  
     

  5. There are no "get rich quick schemes" for by the time the average investor is made aware of information that may impact the direction of movement, the market has already factored it into the price.  The only exception to this is called "insider trading" and is illegal.
     

  6. Earning a higher than average rate of return and becoming a successful commodity investor has nothing to do with luck or astrology or who you know.  It has everything to do with effectiveness and discipline.  To be effective an investor needs a structured approach to investment that is correct most of the time.  The discipline is needed to follow the structured routine and control the emotions when the investment strategy appears to be wrong.

 

Home | Trading Strategy Overview | Trading Strategy Philosophy | Trading Strategy Results | Free Offer | Sign Up |  Contact Us

© copyright 2005 | Sureway Management Systems Ltd. | Privacy Policy  | Design by Avitrax