Trading Strategies

Having a trading philosophy (and sticking with it) is the hardest part of trading. It takes patience and determiniation to stick with a strategy.

Buy and Hold

This is basically Warren Buffett’s strategy.

  1. Indentify stocks and ETFs you want and trust. Make sure they are healthy

  2. Buy those issues when their prices are reasonable or lower compared to their value

  3. Hold those shares, until you need them

  4. Continue

Free Shares Strategy

This strategy revolves around the idea of getting all your investment capital back by selling fractions of your positions.

  1. Indentify stocks and ETFs you want trust

  2. Buy those issues when the markets are low or lower

  3. Sell a fraction of those shares when they double or better: Just make all your money back

  4. Continue

General Rules

  • Never use market orders

  • Aways use limit orders to buy

  • For sells, either limit or trailing stops

  • Be dispassionate about trades: Don’t get emotionally attached

  • Always stick to the strategy: reduces stress