TRADING RULES

Never cancel a stop loss order after you have placed it!

Place the stop at the time you make your trade.

Never get into the market because you are anxious because of waiting.

Avoid getting in or out of the market too often

Losses make the trader studious – not profits. Take advantage of every loss to improve your knowledge of market action.

The most difficult task in speculation is not prediction but self-control. Successful trading is difficult and frustrating. You are the most important element in the equation for success.

Always discipline yourself by following a pre-determined set of rules

Remember that a bear market will give back in one month what a bull market has taken three months to build.

GOOD TRADERS HABITS

1. Plan your trades.

2. Trade your plan.

3. Keep records of your trading results.

4. Keep a positive attitude, no matter how much you lose.

5. Don’t take the market home. Continually set higher trading goals.

6. Successful traders buy into bad news and sell into good news.

7. Successful traders are not afraid to buy high and sell low.

8. Successful traders have a well-scheduled planned time for studying the markets.

10. Continually strive for patience, perseverance, determination, and rational action. 11 Limit your losses – use stops! 12 Never cancel a stop loss order after you have placed it! 13 Place the stop at the time you make your trade. 14 Never get into the market because you are anxious because of waiting. 15 Losses make the trader studious – not profits. Take advantage of every loss to improve your knowledge of market action. 16 The most difficult task in speculation is not prediction but self-control. Successful trading is difficult and frustrating. You are the most important element in the equation for success. 17 Always discipline yourself by following a pre-determined set of rules

US DOLLAR INDEX

US Dollar Index

The US Dollar Index is consolidating between 79 and 81.50. Upward breakout is more likely, especially considering that Twiggs Momentum(21-day) is holding above zero. Breakout would signal a primary advance with a medium-term target of 84*, while reversal below 79 would test primary support at 76.

* Target calculation: 79 + ( 81 - 76 ) = 84