To be successful in stock trading, you have to set yourself some rules. Should you pursue these guidelines regularly, you will make money with stocks. Naturally you probably might end up with losses if you break your own rules. Therefore I suggest you to follow these rules no matter what. You can go for share trading software as an easier route. But following your set rules faithfully will surely be rewarding during the long run, it is a discipline that can help you reap big return on investments. Hence read these rules before you enter the stock market.

Stock Trading Guideline No 1: Master a trading style.
Traders will have various stock trading styles. Never attempt to master them all. You keep learning and testing at the 1 system of stock trading that is most suitable for you. Never hop from one style to another. You should master 1 style rather than trying to make poor attempts at applying lot of style.

Stock Trading Guideline No 2: Do not risk more than three% of your total portfolio on any one stock.
Shielding your primary capital is significant if you want to trade successfully in the long run. Keep in mind that your aim is not to buy the company, you are only trading their stocks to make money.

Stock Trading Guideline No 3: If you are wrong, cut your losses at 5% to 15%
This is very important. Lot of people make the mistake of holding a losing trade while intelligent traders will minimize their loses and move on. The most important rule in this case is to place stop losses and reduce your losses if your assumptions went against you. Stick to your stop loss point and analyze the performance of the stock.

Stock Trading Guideline No 4: Set Price targets always.
Prior to share trading plan price targets. Sell off your stocks when your price targets are achieved. A stock price can increase too high in a short time and also can fall too fast.

Stock Trading Guideline No 5: Don’t break Your own rules.
Like I mentioned before you should stick to the rules to make profit in stock exchange.

Similar rules are applicable in FX trading market as well. Today we you have access to auto forex trading robots like Forex trading software and numerous other programs. (See new Ivybot here.) However keep in mind that sticking the rules is the key to profits.

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