Your choice: A 5.6% Loss or an 81.2% Wait?

No trader can expect all of their trades will be consistently profitable, so losses will inevitably occur at some stage. The key is to have more profits than losses and for the size of losses to be kept low, compared with the size of profitable trades. 

That’s why, before buying a stock, it is important to know where you will exit the trade if it does not perform the way you expect. 

To do this, Jim Berg places an Initial Stop to protect his trading capital. Importantly, the Price level is determined and set before buying the share. 

In today’s article, we look at an extract of one of the 5 stocks detailed each week in the Newsletter as complete educational tutorials and compare the results of two typical scenarios .......

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