25 Rules of Stock Trading Discipline

#1 The market pays you to be disciplined.

#2 Be disciplined every day, in every trade, and the market will reward you. But do not claim to be disciplined if you are not 100% of the time.

#3 Always lower your trade size when you are trading poorly.

#4 Never turn a winner into a loser.

#5 Your biggest loser can not exceed your biggest winner.

#6 Develop a methodology and stick with it. Do not change methodologies for day to day.

#7 Be yourself. Do not try to be someone else.

#8 You always want to be able to come back and play the next day.

#9 Earn the right to trade bigger.

#10 Get out of your losers.

#11 The first loss is the best loss.

#12 Do not hope and pray. If you do, you will lose.

#13 Do not worry about news. It is history.

#14 Do not speculate, if you do, you will lose.

#15 Love to lose money.

#16 If your trade is not going anywhere in a given timeframe, it is time to exit.

#17 Never take a big loss. Only a big loss can hurt you.

#18 Make a little bit everyday, dig your ditches, do not fill them in.

#19 Hit singles not home runs.

#20 Consistency builds confidence and control

#21 Learn to sweat out (scale out) your winners.

#22 Make the same type of trades over and over – be a bricklayer.

#23 Do not over-analyze, do not procrastinate. Do not hesitate, if you do, you will lose.

#24 All traders are created equal in the eyes of the market.

#25 It is the market itself that wields the ultimate scale of justice.