Financial Trading Gurus at their best. Join the eToro Guru Program

Learn

Trading Pearls of Wisdom

These classic trading widoms have stood the test of time. The list was compiled and used as a collection of rules from classic trading literature throughout the twentieth century. Add these pearls to your trading and investing toolbox.

  

  • You are what you think

  • Dream big, think tall, set exciting goals

  • Have a trading plan, know it well, follow it

  • Plan your trade, trade your plan

  • The most difficult task in speculation is not prediction but self-control

  • For losing trades, when the ship starts to sink, don't pray - jump!

  • Expect and accept losses, the next opportunity awaits

  • Have you taken a loss? Forget it quickly. Have you taken a profit? Forget it even quicker

  • You are the most important factor in the equation for success

  • Be a disciplined trader, always follow your system rules

  • Continually strive for patience, perseverance, determination, and rational action

  • Use every loss to improve your knowledge of market action

  • Keep detailed records of all trading results

  • Have self-belief, a positive attitude and trust your judgement

  • Continuously set higher trading goals

  • Buy on bad news, sell on good news

  • Buy high, sell higher

  • Schedule time to study the market

  • Make your own trading decisions, don't follow the herd

  • Never enter a trade without a stop loss

  • Never move a stop loss once placed, unless in the direction of profit

  • Never get into a trade because you are anxious from waiting

 

 

 


 

 

  • Uncontrolled losses can wipe out a lifetime of profitable trading

  • Never allow a winning trade to turn into a loser

  • Be aware of your responses to winning and losing trades

  • It takes knowledge and discipline to avoid mistakes

  • In trading, as in fencing, there are the quick and the dead

  • Talk is silver, silence is gold. Traders with the golden touch do not talk about their success

  • Do not let ego and greed inhibit clear thinking and hard work

  • We cannot do anything about yesterday. When one door closes, another door opens. The greatest opportunities are through the open door

  • The market is always right, it reflects all forces acting upon it

  • It is much easier to enter a trade than to exit

  • Beware of large positions that can control emotions

  • Do not be overly aggressive with the market. Grow profits steadily over time

  • Never add to a losing position

  • Beware of trading tops and bottoms

  • Anticipate the next big movement with facts, not predictions

  • There is always another trading day

  • Of all speculative blunders, there are few greater than selling what shows a profit and keeping what shows a loss

  • Anticipate the market's reaction to news and events

  • Successful traders make decisions on what is happening, not what will happen

  • A profit taken too soon is still a profit

  • If you do not know who you are, the market is an expensive place to find out

  • Continuous improvement

  • The deepest secret for the trader is to subordinate his or her will to the will of the market

 

 

 

 

Additional information