Ever notice that trades are kinda like milk? Hold any of them for too long and they turn sour?
If you’re like me, you’ve had this happen to you more than you’d like to admit.
Well, I’m glad to tell you that those days are over!
That’s right! There’s a few simple steps you can take right now to prevent trades from ever turning sour on you again!
Types Of Sour Trades
These are the 3 trades that leave the worst taste in your mouth. They’re so bad, I’ve given each of them a special name…
- Mediocre Employee: Does just enough to keep you holding on but goes nowhere.
- Indian Giver: Runs up quickly, giving you nice gains, and then comes in hard, taking them all back.
- Half Breed: One minute it’s bullish, the next it’s bearish.
You’ve experienced all 3 of these before. Luckily, the solution to kicking them to the curb is simple.
There are 2 primary ways to kick these kind of trades to the curb when they show up in your portfolio. Trailing Stops and Back Stops.
This video gives you the step by step of how to use them.
Michael Lamothe founded MARA in 2018, and his mission is to help traders succeed in the market by focusing on mindset. Michael has helped thousands of traders through his methodology. He is an international speaker, presenting at AAII, Stocktoberfest, Benzinga’s Global Fintech Awards, and more! He’s also been featured on NASDAQ Live.