Clipper Ship Trades: Cut loss for OCBC

Monday, June 15, 2009

Cut loss for OCBC

I have taken a minute loss off OCBC at end of day today at 7.08. Time to practice my discipline and cut my loss while they are still small.

Consistently take small losses, ride your gains. That is the Golden Rule.

I am still holding Capitaland.

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)

My Trading Approach

Risk management is paramount. I risk 1% (defined here as R) of my trading capital on any ONE trading idea (It could be anything, really! For instance, maybe, I dreamt of a rotten apple, so I find some instrument that allows me to short AAPL ). I use stop losses to limit my risk to 1%.
The trend is my friend, so one of the first things I do is determine the primary trend and stick to it.
My approach is to buy near support preferably after it shows signs of rebounding. Similarly, I short near resistance preferably after it shows signs of falling. Sometimes I go for breakout setups with specific stocks.
I go for a reward/risk of at least 3:1 in my favour. Otherwise, I do not take the trade.