Red light for trading

Red light for trading

Trading is like driving, you need to watch for the red light. As soon as you saw some warning signs, the red light, you need to stop or exit the position, even though you may miss some profits.

It's very similar to stop at the red light when you are drving. You may run through the red light and nothing bad happens. Actually, you may gain some profits (for example, save the time). However, if you continue to drive through the red light, or ignore the red light, sooner or later, some very bad thing, may be fatal, will happen to you.

So trade your money carefully, exit to a safe position as soon as you see the warning signs. You may lose some profits chances. But, at the end, you can protect yourself from the fatal errors.

So, be protective, and be cautious, trading your money just like driving your car will be good for you in the long run.

Other trading ideas can be found here.