Improve Your Trading By Watching Movies

You've done your analysis. The chart pattern set up nicely and is now giving you a signal to buy. You place your order and look at the monitor screen to confirm it. Now what?

Unless you’re a very short-term trader such as a day-trader, maybe the best thing you can do is start watching some movies. At the very least you should get away from the monitor screen and do something else. Don't sit and watch each tic of your new position in the market.

I can't stress how important it is to eliminate emotions from your trading. Emotions such as fear, greed and hope can cause many trading errors which will really hurt your trading results. I'm not saying you shouldn't monitor your new position in the market. Just don't stare at the screen, then live and die on each tic movement.

The best thing you can do is put in a strategic stop loss to keep your loss small in case the market goes against you. This will help to keep emotion out of your trading which will enhance your trading results. So go watch a great movie and improve your trading at the same time.

About the Author:
Chief Investment Strategist for Tradingmarkets4u. Over 20 years experience trading the stock market, futures market and options.