Sign-up for our 21 day free trial!

The contents on this page are a small sample of StockTradersHQ's member resources (FREE Trial!)

1. Our staff of professional technical traders analyze 1,000's of potential stocks every day to provide you with a list of stock picks with the greatest potential for explosive gains.

2. These stockpicks are traded with our real-time portfolio. Email alerts are sent for every entry and exit. Through the member-only website, you will have our support every step of the way.

3. Our subscription service provides all the resources, stock picks and tools an investor needs to make very profitable, consistent trades while maximizing gains and minimizing losses.


Position Size

Position Size
I think this is a topic that some people fail to discuss and I just wanted to bring it up real quick possibly to benefit some people who may be struggling with this issue (at times myself included). 

Having position sizes in your portfolio that are not too large that you can be comfortable with is an integral part of your success as a trader.  Having too large of a position size can make you overly emotional which causes you to exit (or even enter) a trade at the improper time.  Even at times too little of a position size can cause apathy.  When I started trading (somewhat knowing about TA) a made the mistake of allocating large portions of my portfolio (1/3 to 1/2) to each position.  This was a huge mistake.  I oftentimes found myself panic selling during shakeouts selling during lulls (coincidentally right before breakouts of course) and quickly locking in micro gains because I didn't want to give up since the position was worth such a large proportion of money which I was uncomfortable with. 

This site has a great system which incorporates a 10% rule in its portfolio.  This means that you allocate 10% of you portfolio to any one position.  Think about it do you ever enter a stock with the plan that you will stop out after the position loses more than 10% Not likely (or you shouldn't).  Let's assume a loss of 10% as your absolute maximum loss on any particular stock.  (As a side note designating some arbitrary percentage i.e. 5% is a bad idea over using technical analysis methods.  Please use TA).  If you are using the 10% rule 10% of 10% is 1% which is in theory the maximum amount of your portfolio you will lose on any trade.  That is a safe strategy.  Take 1% of your portfolio right now; would you be ruined losing that amount of money Of course not.  This should be a comfortable amount for you.  If you lose it you live to trade another day and you can try again tomorrow and keep plugging away. 

When I see posts on this board about people distraught over their positions that are going against them I cringe and hope they are not overburdening themselves with position sizes they are uncomfortable with. 

By choosing a position size that you are comfortable with you can utilize all your tools as a trader and perform with maximum efficiency.  You inadvertently put a strain on yourself with large positions which emotionally complicates a proper trading strategy. 

This commentary was written by and is courtesy of Chris Guthrie CmanG Member of STHQ since Dec 2003.  Thanks Chris for a great commentary from all of us at STHQ.

Copyright 2003-2006 StockTradersHQ.com is owned and operated by The Winners Edge a subsidary of DMC Systems LLC. All rights reserved.   This web site is optimized for Internet Explorer 5.0 or greater!DISCLAIMER  [Articles| Bulletins| Charts]

^GoTo Top^

Buy Outlet Canada Goose Jackets Parka Online Buy Replica Prada Clutch Bags Online Buy Replica Hermes Birkin Bags Online Buy Replica Celine Clutch Bags Online Buy Replica Christian Louboutin Shoes Heels Online prada bags replica celine bags replica christian louboutin shoes replica hermes birkin replica canada goose jackets outlet Replica Canada Goose Jackets Parkas Coats Vests Outlet Sale Replica Hermes Birkin Bags Kelly Handbags Replica Prada Clutch Bags Messenger Handbags Outlet Sale Replica Celine Luggage Tote Bags Replica Christian Louboutin Shoes Heels Sandals Pumps Outlet Sale Canada Goose Jackets Sale Prada Mini Luggage Tote Bags Sale Hermes Birkin & Kelly Bags Sale Celine Mini Luggage Tote Bags Sale Christian Louboutin Shoes Heels Sale Celine Bags Luggage Tote Mini Outlet Sale Prada Bags Clutches Purses Outlet Sale Canada Goose Jackets Outlet Sale Toronto Christian Louboutin Shoes Boots Outlet Sale Hermes Bags Birkin Purses Outlet Sale Canada Goose Jackets Canada Goose Jackets Outlet Authentic Canada Goose Outlet Buy Canada Goose Outlet canada goose outlet cheap canada goose sale Canada Goose Online Jackets Canada Goose Parkas Outlet Buy Canada Goose Parkas Cheap Canada Goose Jackets Canada Goose Outlet online Cheap Canada Goose Men Jackets canada goose cheap canada goose men outlet canada goose outlet canada goose jackets sale Official Canada Goose Jackets Men Online Shop Official Celine Bags Luggage Tote Mini Online Shop Official Prada Bags Luggage Tote Online Shop Official Hermes Bags Birkin 30Cm Online Shop Official Christian Louboutin Heels Shoes Online Shop Designer Christian Louboutin Shoes Heels Sale Outlet Designer Celine Bags Luggage Tote Sale Outlet Designer Hermes Bags Birkin Sale Outlet Designer Prada Bags Messenger Sale Outlet Designer Canada Goose Jackets Men Sale Outlet Cheap Canada Goose Parka Canada Goose Jackets Online Hermes Bags Birkin replica Prada Bags Clutch Sale Replica christian louboutin shoes outlet Canada Goose Men Jackets Outlet celine Luggage Tote bags Canada Goose Outlet Store canada goose outlet Hermes Birkin Handbags Outlet Sale Celine Handbags Trapeze Outlet Christian Louboutin Shoes Outlet Sale Prada Handbags Clutch Outlet Sale Canada Goose Parka Outlet Sale canada goose mens parkas Christian Louboutin Shoes Outlet Celine Micro Luggage Tote Bags Outlet Canada Goose Jackets Men & Women Outlet Prada Clutch Bags Outlet Hermes Birkin Bags 30Cm Outlet hermes replica bags, cheap celine handbags, replica louis vuitton bags, canada goose outlet toronto factory, Shop Canada Goose Clearance Clothing Online Sale Canada Goose chateau outlet Canada Goose louis vuitton 2015 Moncler judith leiber 2015 Canada Goose moncler 2015 Canada Goose sale online