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How I Trade For A Living ...And Now So Can You HowToTradeForALiving.com Disclaimer Page 1

How I Trade For A Living ...And Now So Can You

DISCLAIMER AND TERMS OF USE OF AGREEMENT

HowToTradeForALiving.com

The author and publisher of this eBook and the accompanying materials have used their best efforts in preparing this eBook. The author and publisher make no representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the contents of this eBook. The information contained in this eBook is strictly for educational purposes. Therefore, if you wish to apply ideas contained in this eBook, you are taking full responsibility for your actions.

EVERY EFFORT HAS BEEN MADE TO ACCURATELY REPRESENT THIS PRODUCT AND ITS POTENTIAL. EVEN THOUGH THIS INDUSTRY IS ONE OF THE FEW WHERE ONE CAN WRITE THEIR OWN CHECK IN TERMS OF EARNINGS, THERE IS NO GUARANTEE THAT YOU WILL EARN ANY MONEY USING THE TRADING TECHNIQUES AND IDEAS IN THESE MATERIALS. EXAMPLES IN THESE MATERIALS ARE NOT TO BE INTERPRETED AS A PROMISE OR GUARANTEE OF EARNINGS. EARNING PPOTENTIAL IS ENTIRELY DEPENDENT ON THE PERSON USING OUT PRODUCT, IDEAS AND TRADING TECHNIQUES. WE DO NOT PURPORT THIS AS A GET RICH SCHEME.

ANY CLAIMS MADE OF ACTUAL EARNINGS OR EXAMPLES OF ACTUAL RESULTS CAN BE VERIFIED UPON REQUEST. YOUR LEVEL OF SUCCESS IN ATTAINING THE RESULT CLAIMED IN OUR MATERIALS DEPENDS ON THE TIME YOU DEVOTE TO THE PROGRAM, IDEAS AND TRADING TECHNIQUES MENTIONED, YOUR FINANCES, KNOWLEDGE AND VARIOUS SKILLS. SINCE THESE FACTORS DIFFER ACCORDING TO INDIVIDUALS, WE CANNOT GUARANTEE YOUR SUCCESS OR INCOME LEVEL TRADING THIS SYSTEM, NOR ARE WE RESPONSIBLE FOR ANY OF YOUR ACTIONS.

The author and publisher do not warrant the performance, effectiveness or applicability of any sites and materials listed or linked to this eBook.

All links are for information purposes only and are not warranted for content, accuracy or any other implied or explicit purpose.

This eBook is copyrighted by HowToTradeForALiving.com. No part of this may be copied, or changed in any format, sold, or used in any way other than what is outlined within this eBook and our site affiliate programs under any circumstances.

Disclaimer

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How I Trade For A Living ...And Now So Can You

HOW I TRADE FOR A LIVING ...AND NOW SO CAN YOU TRADERS SECRETS REVEALED!

HowToTradeForALiving.com

The Challenge Trading as a Business __________________________________________ 5 What you need _____________________________________________________________ 8 The Trading Plan___________________________________________________________ 10
Goals ________________________________________________________________________ 10 The Plan _____________________________________________________________________ 10 Affirmation & Visualisation ______________________________________________________ 11

The Trading System ________________________________________________________ 13


The Natural Behavioural Cycle System (NBC System) _________________________________ 14
Overview of System ___________________________________________________________________ 14 Cycle Phases:_______________________________________________________________________ 16 Dynamics of Phases _________________________________________________________________ 17 Self-reinforcing forces _____________________________________________________________ 17 Self-defeating forces ______________________________________________________________ 18 SETUP _______________________________________________________________________________ 20 Technical Chart Configurations ________________________________________________________ 20 Chart Style: ________________________________________________________________________ 20 Technical Indicators: _________________________________________________________________ 21 ENTRY ______________________________________________________________________________ 24 Long or Buy Entry: __________________________________________________________________ 24 Short Sell Entry: ____________________________________________________________________ 24 Market Re-Entry and Pyramiding Positions: ______________________________________________ 24 EXIT ________________________________________________________________________________ 25 Cycle Exhaustion or Normal Exit _______________________________________________________ 25 Long Strategy Exit ________________________________________________________________ 25 Short Strategy Exit ________________________________________________________________ 25 Initial Stop Loss _____________________________________________________________________ 25 Stops for Long positions ___________________________________________________________ 25 Stops for Short positions ___________________________________________________________ 25 Profit or Trailing Stop ________________________________________________________________ 26 Stops for Long positions ___________________________________________________________ 26 Stops for Short positions ___________________________________________________________ 26 Other Exit conditions ________________________________________________________________ 26

Risk and Money Management________________________________________________ 28


Probe & Pyramid Strategy _______________________________________________________________ 29 How to enter - Steps ___________________________________________________________________ 29 Money in your hand ___________________________________________________________________ 30

Position Sizing_____________________________________________________________ 31
Total Equity Model ____________________________________________________________________ 31 Position Sizing Percent Volatility Model __________________________________________________ 31 Risk versus Reward ____________________________________________________________________ 33

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How I Trade For A Living ...And Now So Can You

Rules of Trading - Your Guide ________________________________________________ 35


Rule No. 1____________________________________________________________________________ 35 Rule No. 2____________________________________________________________________________ 35 Rule No. 3____________________________________________________________________________ 36 Rule No. 4____________________________________________________________________________ 36

HowToTradeForALiving.com

The Don'ts ________________________________________________________________ 37 Price Behaviours ___________________________________________________________ 40 Putting It Together - The Daily Routine _________________________________________ 42
Day 1 Preparation. After Market Hours. __________________________________________________ 42 Procedures for selecting potential trading candidates: ___________________________________ 42 Day 2 - Entry days _____________________________________________________________________ 43 Procedures for market entry/re-entry: ________________________________________________ 43 Day 2 to Day N Holding Days ___________________________________________________________ 43 Procedures for monitoring of existing positions: ________________________________________ 44 Day N - Exit days ______________________________________________________________________ 44 Procedures for exiting positions _____________________________________________________ 44

A Step-by-Step Example: ________________________________________________________ 45 Long Position Example _____________________________________________________ 45 Short Position Example _____________________________________________________ 50

Conclusion ________________________________________________________________ 55 APPENDIX I: The Emptiness __________________________________________________ 57 APPENDIX II: Know Your System Software Report ________________________________ 59

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How I Trade For A Living ...And Now So Can You

HowToTradeForALiving.com

The Challenge Trading as a Business


The game of speculation is the most uniformly fascinating game in the world. But it is not a game for the stupid, the mentally lazy, the man of inferior emotional balance, nor for the get-rich-quick adventurer. ~ Jesse Livermore, The Worlds Greatest Stock Operator

This eBook is written for those who are serious about trading as a main source of income.

It

is not for Investors, not for Gamblers and certainly not for the Get-Rich-Quick-ers. It is for those who are interested in Position Trading, the crossover between Day Trading and Longterm Speculations or Investing.

Trading is a business. You cannot hope to survive year after year in the financial markets if you treat it with an otherwise respect. You need to spend total time and commitment for your business to be successful, just like any other conventional businesses. The only difference is that you and you alone are responsible for the ultimate success or failure of your business in all situations. Because, know that all judgements and decisions are made by you, yourself. Those engaging in this business should determine to learn and understand it to the best of their ability with informative data available. The critical success factor of the magnitude of your success will be directly proportional to the honesty and sincerity of discovering your own psychology and emotional controls, doing your own thinking and reaching your own conclusions.

Profits and Losses are aspects of trading as a business. Where consistent Profits tells you that you are doing things right, Losses, on the other hand, shows that you have made wrong business decisions. Losses are in fact, the Cost of business just like the operating goods and raw materials of a conventional brick and mortar business.

As long as your market positions are right, let it ride and ride along with it. It may grow into a very large profit, and as long as the action of the market does not give you any cause to worry, have the courage of your conviction and stay with it.

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How I Trade For A Living ...And Now So Can You

Remember that Profits always take care of themselves, but Losses never do. Capital protection should always be kept in mind. Without the capital to do your business, you would have no business, no income. Protect yourself, cut your losses short before the loss assumes larger proportions. We are pursuing a consistent and growing base of capital and profits, not one-time windfall killings which often than not is a reflection of the gamblers fallacy within. You are your own insurance policy. The only way you can continue in business is to guard your capital account and never permit yourself to lose enough to jeopardize your operations at some future date when your market judgement is correct.

HowToTradeForALiving.com

It is the traits of human to be Hopeful and equally so to be Fearful. The successful trader should always be hopeful when their trading positions are moving in their favour, i.e. profits increasing and just as fearful when their trading positions went against them, i.e. losses accumulating. However, the average investor confuses the two and often found themselves caught in reverse positions. That is to say, you should be feeling greedy winning, at times when you are fearful and doubly fearful of losses when you start to be hopeful!

Another quality that is required of you is Patience. Experience has proved that the real money made in speculating has been in commitments in a stock or commodity showing a profit right from the start. Ignoring this and plunging in your full line of positions or capital will result in heavy losses and stop short your career as a Trader. Have the patience to wait for the sure thing, the perfect time to begin your operations when the Trading System shows you. Beginning your operations too early is the influence of the gambler inside you, Greed, that is. But starting too late, after an opportunity has been shown to you clearly is just as equally Ignorant of you. You do not need to be in the market all the time, everyday. You are not Day Traders. Follow the Trading System strictly, your Guide; and your livelihood will be taken care of itself in the long run.

My theories and practical applications have proven to my satisfaction that nothing new ever occurs in the business of trading, psychologically speaking. Certain patterns of group behaviour will always continue to repeat again and again. As the saying goes, Market can change, but human nature has stayed the same for centuries. That is precisely the reason why we are able to consistently make money month after month.

The business of speculations is nothing more than anticipating coming events. One must form an opinion as to what the next move of importance will be in a given stock and Page 6

attempt to profit from it. It is a game of probability, not an academic thesis of right or wrong answers. Markets are never wrong, opinions often are.

How I Trade For A Living ...And Now So Can You

HowToTradeForALiving.com

This Trading System can be applied to the Stock, Futures and Commodities Markets. However, for the sake of the ease of explanation in the pages that follows, I will stick to illustrate it using the Securities or Stock Markets only in this eBook. Let us proceed then.

... To continue reading this eBook,

Click Here to Purchase Now!

For more information, visit the website now: http://www.HowToTradeForALiving.com

Thank You.

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