Words of wisdom to be sure Techie. Thanks for sharing. Perhaps one of the worst things that can happen to a new trader is when they break their trading rules and then have a successful trade as a result. This short term gain can cause them to abandon their trading rules only to experience much less satisfactory results in the future.

I would rather incur a small loss while following my rules, than a win by breaking them. Why? Because if I begin abandoning my rules then I will have no way to guage when I will, or will not trade. The markets will do what the markets will do, regardless of the news, fundamentals, etc. In my opinion the only chance we have as traders is to enter and exit the markets at "reliable" points, and to me this translates into support and resistance.

The smaller your account, the more reliable your entry and exit need to be and the more critical capital perservation becomes.

Erich
http://www.tradershelpingtraders.net
http://www.supportandresistance.com