investing vs. trading

Investor or Trader?Adam Wham

What’s this about?

Why are you here

Trading on your own

Create opportunities

Active participation

What this is NOT about

Finance/economics/news

See and forget

Gambling

Investing

Buy and hold mentality

Fundamental analysis

Ignore short-term loss

Mutual fund & unit trusts

Trading

Anything profitable

Price charts and technical analysis

Readily cuts losses

Proprietary trader, hedge fund manager

Types of investing

Income investing

Value investing

Growth investing

Types of trading

Day trading

Swing trading

Positional trading

Which works?

Warren Buffet

Jesse Livermore

Risk management

Now what?

Find what style suits your personality

Develop a trading strategy

Develop risk management

Develop trading psychology through practice

Technical analysis

Study of historical price data to forecast future price movements

Mass psychology

Works well in liquid markets

Risk management

Being the casino

A game of probabilities

Capital preservation

Trading psychology

Talk and read about it

MUST take action and learn the hard way

My style

Swing trading

Trend-follower

Cut losses quickly

Perfecting trading psychology

What happens next

Set up platform

Necessities in technical analysis

Trading strategy

Risk management

Common mistakes

Active participation

Weekly trading discussions

Members to present

Portfolio track record

Journals

Forum

Excuses

“Passion” for the financial markets

Too busy

Lack of experience

I’ll get to it... after my exams

No money

New

Downloadable platform

Techniques learned from mentors

Risk management by profitable traders

Real-time trading

New lifestyle

Resources

• Babypips www.babypips.com

• Price Action Trading www.learntotradethemarket.com

• “How to make money trading” by Lex Van Dam