Using a trading plan is key. It's basically a set of rules that clearly defines the trader's entry and exit, as well as the money management criteria. You can always test trading plans and ideas before you risk your real money. It's also important to remember that trading plans don't always work. If this occurs, get out of your trading plan and then start all over again.

This is a very important rule that every trader should follow. Never borrow money for trading from other necessities. Don't use money that has been kept for something else because it just becomes a dangerous gamble and you might find yourself in some hot water if ever you lose the money. Keep saving up until you know you'll be okay financially even if things go wrong during a trade.

There are a few signs that you need to stop trading. For example; if your trading plan is not working or if you just aren't staying on top of your game as a trader. If you feel that you can't put enough time into trading or you can't stick to your trading plan, this is also a sign that you need to stop for a bit. When you are at a better state, you can always go back to trading. If your trading plan is no longer effective, you can either tweak it or bail and simply start over. This doesn't mean you need to completely stop trading, but you need to take a break and reconsider a few things here and there, to avoid losing time and money.

The more you learn about the markets and trading the better. Do some research, know the facts, learn to understand economic reports.. etc. The market environment is always changing, and many things have an impact on it such as the time of year and world politics. Understanding the markets and why they change is something you'll keep learning over the years, but investing that time into getting educated about the market can really make a huge difference.

A trading capital is necessary in order to trade stocks, and you need to remember to protect it. It's quite simple, just make sure that you're making an effort to protect your trading business and don't take unnecessary risks that aren't worth it. Every trader experiences losing trades, but you can do a few things to experience less of them, which will help preserve your trading capital that you have worked hard for.

Using a stop loss will make trading less stressful, and lower the risks and losses. A stop loss is an amount of risk that the trader chooses to accept for every trade. The trader determines this amount earlier. We recommend to always use a stop loss because it will protect you and limit your losses, and you'll also always be ready for any outcome. Using a stop loss won't stop you from losing trades, but it'll help you lose less.

You'll never be a super successful trader if you treat trading like a casual hobby. If you want to make money and expand your trading business then you need to start treating it like a business! Trading requires not only money, but also effort and time. You need to be ready to learn and take it all seriously, like you would a business. Know the difference between your job, trading and your hobbies. They should all be approached differently. Trading is a lot of hard work and you need to be invested in it more than you are invested in your casual hobbies.

You need to remember that trading is competitive and in order to get ahead, you need to take advantage of everything that you have. Little things can make a big difference. You should also take advantage of your technology and internet. Keep up with new features and use your phone and not just your computer. Check out the tools and charting platforms and everything that may help you during trades. Get creative, get ahead.

Handle wins and losses professionally, with less emotion. It's all a part of a business that you're invested in. Handling things very emotionally can have a negative effect on trading performances, and you don't want that. You should also set yourself realistic goals that you can actually achieve. This is very important and setting achievable goals is a really good idea. It'll help you keep track of how you're doing and it'll keep your expectations reasonable. Just try your best to focus on the big picture and don't take every trade win or loss very personally.

Facts and knowledge of the market environment should be what develops your trading plan or methodology. Take your time, even if you just want to get started and make some money right away because that's not how it works. Rushing won't lead to much, but developing a good strategy and trading plan will. Take trading seriously and invest enough time to learn and build a solid plan that can be backed up by facts.