Friday, March 21, 2008

Review of Trading Rules

Rule #1:
DO NOT SHORT BLUE CHIP COUNTERS UNLESS THERE IS CONFIRMATION OF A DOWNTREND .

Rule #2 :
SHORT STOCKS THAT NOBODY IS INTERESTED IN AND ARE ALREADY IN A DOWNTREND

Rule #3 : LET YOUR PROFITS RUN AND CUT YOUR LOSSES!

Rule #4 : SHORT STOCKS THAT ARE PRICED >$0.50 OTHERWISE NOT MUCH MEAT LEFT TO SHORT!

Rule #5 : REWARD/RISK RATIO SHOULD BE >2 FOR TRADES

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