"Our mission at Voodoo Trading is to provide you with the tools required to develop a profitable trading strategy that will accelerate your quest for financial freedom."
Successful trading is simple but it is not easy. In order to be a profitable trader you need to follow these steps:
1. Find a stock that is trending.
2. Determine a suitable entry point.
3. Enter a buy order, along with a stop loss that controls the amount of money you are willing to lose.
4. Hold on to the stock until the trend ends, at which time you sell and bank your profits.
If this is all that is required to be a successful trader, then why do over 90% of traders lose money in the stock market?:
1. They do not have a written, systematic, rules- based, trading strategy that has been backtested to confirm that the strategy has a positive expectancy and will make money.
2. Once they have a backtested the trading strategy, they become too emotional and do not consistently execute their trading plan day-in and day-out.
Your trading strategy must clearly identify the following:
1. Market trend
2. Potential trade setups
3. How to enter the trade
4. The initial stop loss exit
5. How much money to risk on the trade
6. The profit stop exit
Watch our video "Developing a Systematic Trading Strategy".
STEP-BY-STEP GUIDE TO BUILDING A SYSTEMATIC, RULES-BASED, TRADING STRATEGY
TRADING RULE #1 – Market Trend
The beauty of trend-following trading is that it works on any trending market, whether it be futures, currencies, exchange traded funds (ETFs), or stocks. Although trend........ read more
TRADING RULE #2 – Identify Potential Trade Set-ups
With trend-following trading, you want to identify and trade the strongest stocks in the market you are following. This goes against the conventional investing advice of buy low, sell high....... read more
TRADING RULE #3 - Entering the Trade
Most new traders assume that the key to a successful trading strategy is knowing when to buy a specific stock. In reality, entries are not that important. Money management positioning sizing, exits....read more
TRADING RULE #4 - The Stop Loss Exit
Before you enter any trade, you need to define the price in which you will get out if the trade does not go as originally planned. You need to accept the reality that with trend-following trading you....read more
TRADING RULE #5 - Money Management
Money management is the most important component of your trading strategy. Money management defines, before you enter the trade, how much money you are willing to lose if.....read more
TRADING RULE #6 - The Profit Stop Exit
By following your entry rules, your portfolio now includes a number of active trades. For these active trades, you have placed stop loss orders based on your money management rules..... read more
FREE STEP-BY-STEP GUIDE ON HOW TO CREATE A PROFITABLE TRADING STRATEGY
Everything you need to know to build a Systematic, Rules-Based, Trading Strategy