"It has been said, and Iíve found this to be true, the key to profitably trading the stock market is risk management. But risk come in all shapes, size and forms. From biased news reports, creative accounting, market rumours, strikes, director dealings, dodgy charts, how much to trade, when to sell, itís all there, every day. Its fair comment to say that the deck is stacked against us. No wonder some report that 90% of traders fail.
My 1st step in reducing risk is accurate charting with the actual Open, High, Low and Close prices, and Volume. One error and all trends, indicators, Buy / Sell levels, and even my stoploss can be wrong. Mistakes in the market are costly. Thatís why I heavily rely on Investor Data for Metastock and Amibroker End of Day pricing. Theyíre accurate, reliable, provide rock solid support and cost a lot less than you think. In my experience, itís the free charts that have been very expensive."
Channel Trader @channel_logic (Twitter)