Chris "CJ" Johnson, Lead Host & Senior Analyst, Monument Traders Alliance Publisher's Note: With all the market volatility recently, things aren't what they seem. Join trading legend Jon Najarian, Nate Bear, and Ryan Fitzwater on January 28 @ 2 p.m. ET as they break down SIX bullish charts flying under-the-radar. Jon made $1 billion selling his companies to Wall Street. Nate turned $37K into $2.7M from home. It's a free masterclass... with legendary traders. Don't miss it! ⇒RSVP HERE - Stephen Prior, Publisher
Dear Reader, Well... he was walking down the street. In Paris. Yes, seriously. The guy is out there strolling near Saint-Germain-des-Prés like he's in a movie, while casually dropping 45 minutes of trading truth that most investors ignore until it costs them real money. And that's the funny part about markets... it's amazing what you can learn walking down the street... or when someone else is walking down the street and you're trying to keep up. Just pay attention! Here's How It Went Down Jon and I are both "old dogs" in this business. We've seen the pits. We've seen the screens. We've seen the same mistakes repeated by smart people who swear they're "disciplined" right up until the moment they aren't. So, when Jon started hammering three simple rules, rules that sound obvious, I knew where things were going, fast. Most traders will bend these rules. Then they'll wonder why their results don't tighten up. Write These Down NOW. Put them on a sticky note on your monitor. Keep them on a pad next to your trading station. Tell your buddy. Tell your dog. Get a tattoo... scratch that, no tattoos. My point is: rules are rules for a reason. And the rules Jon dropped on you while wandering the streets of Paris will absolutely make you a better trader... with results to prove it. Here Are the Rules Rule #1: Discipline Dictates Action (DDA) Before you enter a trade, you must know exactly what you'll do if you're right and if you're wrong. No winging it. No "I'll decide later." No "let's see what happens." That last one is the most expensive sentence in trading. Because the market doesn't reward vibes. It rewards plans. And when you don't have a plan, your emotions write one for you, in real time, right when volatility spikes and your brain starts doing math it never learned. Rule #2: Cut Losses Fast, Scale Profits Jon's framework is clean and brutal-in a good way: - Cut at -50%
- Take profits at +100% (a double)
- Scale out (sell half, let the rest run)
The point is simple: never let one trade turn into a portfolio problem. You can be "right" on a great idea and still lose money if you let a small loss become a big one. And you can be "wrong" on plenty of trades and still win over time if your process is consistent. This rule also fixes the most common psychological glitch traders have: they take profits too early because they're scared... and they hold losers too long because they're hopeful. Hope is not a strategy. Scaling is. Rule #3: Execute With Intent - Take the Offer / Hit the Bid This one made me smile because it's so simple it hurts. If you need in, pay up. Take the offer. If you need out, don't get cute. Hit the bid. Pride over a penny is how traders miss fills and turn winners into losers. You sit there trying to "split the spread" like you're negotiating a used car, while the market moves without you. Then you chase. Then you overpay. Then you're immediately down on the trade and wondering why your "edge" isn't working. Think about it... how many trades have you chased higher because you wanted the "deal"? STOP! Your job is not to win the negotiation. Your job is to win the trade. Put these three rules together, and you get something powerful: a detailed plan for when and how you open and close trades with targeted precision. That tightens your results, and it builds confidence, because confidence doesn't come from winning one trade. Confidence comes from knowing exactly what you're going to do next. | 
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