Online Trading: 7 Success Secrets

Here are some things to consider in preparing to trade:1. What technique/vehicle will you use?A. OptionsB. FuturesC. ForexD. ArbitrageE. Mutual FundsF. StocksG. Penny StocksH. Bonds2. What is your required level of security?A. Almost guaranteed successB. Minimal amount of loss when there is oneC. High risk with high possible returnsD. Moderate risk with moderate rewards3. Determine your current goals.A. Steady immediate income streamB. Find the big up and coming stocksC. Stable Long term/future growthD. Instant big profitsE. Slow but consistent increase4. Determine how much time you will commit.A. A couple of hours daily.B. A couple of hours weeklyC. Have someone else manage your tradesD. A combination of your time and someone else managing a portion of your portfolio.5. How much money will you apply to your online trading?A. 10% of your gross incomeB. 10% of your net incomeC. 10% of your investment fundsD. Other6. How much money will you place in any trade?A. 2% of your total accountB. 10% of your total accountC. $1,000D. $10,000E. $25,000F. Other7. How will you manage your profits?A. Allow all of it to compound?B. Compound 10% of the profit and use the rest for living?C. Compound 50% of the profit and use the rest for living?D. Use all of it for living?E. Other?Defining your plan before you begin online trading will make a huge difference in your results. Once you have defined your plan, stick with it. Discipline yourself to do exactly as you said. Set a certain date when you may revise the plan and then stick with the revised version. It's best not to randomly vary your activity off the set plan.If you want the least risk, learn about options and arbitrage trading. There is fabulous software available these days to make arbitrage trading a cinch. It's a great way to get your feet wet so to speak with the safest form of online trading.Source: Free Articles from ArticlesFactory.com