How to Trade Stocks in 2010?

We are standing on the threshold of another newyou will become an independent trader in 2010. This
year. Buy and hold style of stock investing may bemeans that you will make your independent
dead. To invest successfully in today's markets, youjudgement about what stocks to invest in. You are
need to have a trading plan. You should start yournot going to watch CNBC or Bloomberg and buy on
2010 with a trading plan that can give you 7 figures.someone's recommendation. Well, you will hear what
What you need is a new trading plan for 2010! Call itothers say but you will make your own judgement.
Trading Plan 2010. What worked in 2009, may notYou will learn those chart patterns that can help you
work in 2010. You need to take a fresh look at yourin judging what is the best time to enter the market
performance in 2009. Start the new trading plan byand what is the best time to get out of the market.
taking a fresh look at what type of an investor orYour motto should be you will only trade when you
for that matter trader you really are. Try toare dead sure that you are about to make a winning
introspect and ask what type of an investor you are.trade. No more confused and half hearted trades.
Are you an investor or a trader? Are you a longYou are going to stay out of the market if you are
term investor that believes in buy and hold or younot sure!
are a short term investor who wants to make aYou need to make it clear to yourself that you are
quick killing in the market. Ask these questionsnot trading the stock market, you are only trading
seriously. Determine the best investment time horizonthe stocks. This means that the market sentiment is
that has worked for you in the past and you believeirrelevant to you. Once you have identified a stock,
will work in the future.think what will be the best strategy. Should you go
Start writing your trading plan. Take out a piece oflong, for how long? Should you go short and for how
paper and pencil and start writing step by step whatlong? Make a trading plan that does not depend on
are your goals for 2010. Start by making a clearthe market direction. This trading plan should work
financial goal for yourself. Do you want a 7 figure infor both the bulls and the bears.
2010. Be clear! What are the financial resources atThe last and the most important resolution that you
your disposal. Be realistic! What type of tradingshould make for 2010 is that you will never trade
strategies are best suited to help you achieve yourwithout first putting the stops. You will only buy at
financial goals in 2010. Down down the details in athe support or withing 5-10% of the support and sell
neat and clear format. Ponder over them, rethink andat the resistance or withing 5-10% of the resistance.
start again. This trading plan should be your blueprintYou will learn those chart patterns that can tell with
of success in 2010!deadly accuracy when the market is at it's lowest
Make an important resolution in the trading plan thatand your downside risk is minimal.