Hello Reader,
In
all the time I have been writing these eBook (PDF) Articles (almost
four years now), I have slowly accumulated a few on the topic of share
market money management, and risk management. And it's now time to focus on them for a month. Especially since I will be doing a presentation to the July meeting of the Melbourne ATAA Chapter
on a closely related topic - Trade Planning (and rather similar to the
trading workshop we did at the May meeting of the BullCharts User Group
in Oakleigh, Melbourne). And it's a few months since I last wrote on
this topic here in the eNews. Don't forget, I now have a recently new eNews email archive
web page in the Toolbox which lists all eNews emails, with a brief
introduction to each month's topic - very useful to new Toolbox Members
who can step through each month's email, and see the relevant reference
materials on each topic. Just a short note to the recently new
Toolbox Members:- These eNews emails always go to Toolbox Members (a
part of the Toolbox service), and to the people who have registered to
receive occasional information about the Share Market. This eNews email
is a monthly email with some pointers and tips on focused topics. You
can see a quick introduction to the eNews emails here. They often include references to specific eBook Articles in my Share Market Toolbox, as well as key web pages in the free area of the Toolbox (eg. on the extensive Share Market web page).
I have been writing the eBook Articles since October 2008 - that's now
more than 3 whole years, and these eNews emails help you to navigate to
related information. Any
non-member who no longer wants to receive this material can simply
unsubscribe from all topics using the SafeUnsubscribe link at the bottom
- or just Update Your Profile to change the interests. Please
remember, anything mentioned here, and in the referred eBook Articles,
is for general education only, and is not advice of any sort.
Please read on....
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This month's focus: Risk and Money Management
This
month's eNews focus includes some invaluable background, and some great
tips, on how to protect your hard earned investment capital, and how to
manage the risks so that it is easier to sleep at night. Specifically,
this includes:
- A FREE 5-page overview on risk and money management in the markets.
- The "Two Percent Rule" for limiting the amount of money "at risk" in the market.
- Risk and reward, and the "Reward to Risk Ratio" - invaluable to help with focusing on the higher potential profit makers.
- Trade
Planning - The steps on how to decide if an investment might be as
profitable as we want, by looking at the placement of the Initial Stop,
the Target Price, and considering the Reward to Risk Ratio.
More details on all of these topics are below, so please read on...
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Recent monthly focus topics
Since
starting this new format for the monthly eNews email in December 2010, I
have accumulated many topic-specific discussions. Rather than list them
all here (as I had been doing), it is best to refer to the latest
detailed list in the eNews email archive in the Toolbox. |
Risk and Money Management - Links...
Links to the
relevant materials this month include the following, some of which have
been revised to align the terminology (they can all be accessed from the Toolbox here): - Article ST-4000, "Risk and Money Management", a new 5 page article to introduce and overview the topic (free to all).
- Article ST-4020, "How to Reduce Risk", an existing 7-page article with tips on how to reduce risk (utilising material from a recent presentation on the topic).
- Article ST-4100, "The 2 Percent Rule", revised this month.
- Article ST-4300, "Risk and Reward", incorporating details and discussion about the "Reward to Risk ratio".
- Article ST-4400, "Position Size and Calculator" (unchanged).
- Article ST-4500, "Stop Loss" (unchanged).
- Article ST-5110, "Trade Planning", a new 5-page article which explains the Trading Work Sheet (download from the Toolbox tools).
- Article ST-5210, "Trading Journal and Diary" (with minor revisions only).
There
are now a total of 121 Articles in this collection of eBook Articles - a
total of 521 pages of information! You can see the Master List of all Articles here (recently new or updated ones are highlighted), and the Detailed Topic Index here. Don't forget to see the updated Table of Contents pages for all articles (see links in the side-bar at right). |
eBook (PDF) Articles - Summary
Over the last three years I have accumulated quite a collection of eBook (PDF) Articles
on three subject areas - Share Trading/Investing, Technical Analysis
and BullCharts software (actually more than 500 pages of material
in more than 115 articles). These Articles are invaluable for both new
and experienced investors and traders. I am now writing brief monthly
notes in this eNews email to highlight specific Articles on targeted
topics. I am also writing new Articles and updating existing ones as
required. For more information see: |
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Article front pages
For any new readers of my Toolbox eBook Articles, there are some useful introductory Articles including an Introduction and an Overview Article for each of the three subject areas. You can see them here:
- Share Trading / Investing:
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Any problems?
What if you have some sort of problem with accessing the
Toolbox and any of these Articles? Or maybe the Username and Password
doesn't work. If there is any problem at all, simply contact me by email
or phone. The best email address for this is: support@robertbrain.com.
Occasionally emails disappear - the system thinks they are spam, or the
ISP might think they are spam. If I don't reply within a day or so,
please contact me by either email address or phone. |
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In Closing
There is nothing secret in this
email, so feel free to forward it to someone if you think they might
benefit from the information, or from being a Toolbox Member. The
easiest way to do this is to use the "Forward Email" link at the bottom. I
am also confident that my Toolbox Members won't be sharing their
username and password with non-members. It is not fair that I spend all
this time preparing the materials, and then my Toolbox Members pay money
to have legitimate access, only to let some people pay nothing to read
and view the details.
Please feel free to email
an individual Article to others as a sample; but if they want online
access to all the materials, it is pretty cheap, so they should
subscribe as a Toolbox Member. There is information about Toolbox Membership in the Quick Links section at right.
Happy to receive feedback, or suggestions for new content or improvements.
Until next month, happy investing or trading,
Robert B. Brain (mobile: 0438 355 910)
ps: watch out for the sharks in the ocean!
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Feedback?
Robert is always very happy to receive feedback about the Toolbox, and the articles and weapons therein.
Please feel free to contact Robert by email or phone.
How to contact - click here. |
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