A good trader should have…
A good trader should have a plan with specific guidelines.This plan should answer to some of these questions :
- How the market works ?
- What is your purpose ?
- What will you do in order to get to the edge ?
- Are you prepared to have some bad trades ?
- Can you “survive” to the worst scenario ?
What makes a good trader
- thinker not “feeler” - can see the big picture
- good self-esteem
- non-conformist - follow their ideas
- strong math skills
- very strong honesty
- strong integrity
- don’t get caught up in the excitement
The Rule of Alternation
This rule holds that the market usually doesn’t act the same way two times in a row.
If a certain type of top or bottom occurred the last time around,it will probably not do so again this time.
The rule of alternation doesn’t tell us exacly what will happen, but tells us what probably won’t.
Economy hard to figure out
U.S. stocks are expected to remain choppy next week as investors look to key employment and manufacturing reports to determine whether the economy is headed for a recession next year.
Dollar reached 20-Month Low as U.S. Manufacturing Contracts
The dollar tumbled to the lowest level since March 2005 against the euro after a report showed U.S. manufacturing unexpectedly contracted last month for the first time in more than three years.The dollar weakened to $1.33 per euro for the first time in 20 months as the Institute for Supply Management index prompted traders to increase bets the Federal Reserve will cut interest rates, shrinking the rate advantage of the currency.
European Manufacturing Expands
European manufacturing expanded for a 17th month and unemployment declined as executives and consumers became more confident about the economy’s strength.