New Trader Rich Trader

New Trader Rich Trader

Review New Trader, Rich Trader: How to Make Money in the Stock Market

by STEVE BURNS

Description

In author Steve Burns’ “New Trader, Rich Trader: How to Make Money in the Stock Market,” he uncovers the common mistakes and practices that most novice (or losing) investors commit when trading in the market and explains how to avoid them. Providing his point through examples simplified and embodied by two groups categorized as ‘New Traders’ and ‘Rich Traders,’ Burns’ book debunks the common misconceptions about trading in the market as well as how to buy and sell assets. Furthermore, “New Trader, Rich Trader” expounds upon how investors and traders think and act in general once they have entered the market and after they have exited. “New Trader, Rich Trader” is an essential guide that is sure to be an eye-opener to traders and always keep them ahead of the others when secure, consistent profits. 

About the Author

Steve Burns has been investing and trading in the stock market successfully for over 20 years. He is the author of seventeen books about the stock market. He is one of Amazon’s top reviewers for books about trading and investing, having read and reviewed several hundred books. He has been featured as a top Darvas System trader on DarvasTrader.com and interviewed for the Wall Street Journal blog, Trader’s Magazine, Chat with Traders, and Michael Covel. He has also been a contributor to “Trader’s Planet,” “Trader’s Magazine,” and SeeitMarket.com. He lives in Nashville, TN with his wife and business partner, Holly, a Boston Terrier, Chihuahua, and a cat.

Table of Contents

  • Introduction
  • Foreword
    • PART ONE – Psychology
      • 1 – New Traders are greedy and have unrealistic expectations; Rich Traders are realistic about their returns
      • 2 –New Traders make the wrong decisions because of stress; Rich Traders are able to manage stress
      • 3 – New Traders are impatient and look for constant action; Rich Traders are patient 
      • 4 – New Traders trade because they are influenced by their own greed and fear; Good Traders use a trading plan
      • 5 –New Traders are unsuccessful when they stop learning; Rich Traders never stop learning about the market
    • PART TWO – Risk
      • 6 – New Traders act like gamblers; Rich Traders operate like businesspeople
      • 7 – New Traders bet the farm; Rich Traders carefully control the trading size
      • 8 – For New Traders, huge profits are the #1 priority; for Rich Traders, managing risk in the #1 priority
      • 9 – New Traders try to prove they are right; Rich Traders admit they are wrong
      • 10 – New Traders give back profits by not having an exit strategy; Rich Traders lock in profits while they are there
    • PART THREE – Methodology
      • 11 – New Traders quit; Rich Traders persevere in the market until they are successful 
      • 12 – New Traders hop from system to system the moment they suffer a loss; Rich Traders stick with a winning system even when it’s losing
      • 13 – New Traders place trades based on opinions; Rich Traders place trades based on probabilities
      • 14 – New Traders try to predict; Rich Traders follow what the market is telling them
      • 15 – New Traders trade against the trend; Rich Traders follow the market trend
      • 16 – New Traders follow their emotions, putting them at a disadvantage; Rich Traders follow systems which give them an advantage
      • 17 – New Traders do not know when to cut losses or lock in gains; Rich Traders have an exit plan
      • 18 – New Traders cut profits short and let losses run; Rich Traders let profits run and cut losses short
  • Appendix A: Resources
  • Appendix B: Author trading/investing results 2003-2010
  • Appendix C: My Recommendations: The Top Twenty Trading Books
  • Appendix D: My Top Ten Trading Book Recommendations to Make You a Rich Trader
  • Appendix E: My Top Ten Book Recommendations for Success in Life and Trading
  • About the Author
  • Acknowledgments