Fast forward 26 years and whilst the majority of my trading students and those opening spread betting accounts are men, I am pleased to see a good number of new female students  achieving excellent results and beating their male counterparts. The ratio of men to women is still around 85% men so there’s still some way to go to reach equality but it’s far more common to see female traders and I encourage more women to take up trading.

The big factor leading to more women trading is the internet and the fact that you can trade without having to speak to an arrogant male dealer and trust me the majority still are which can be very intimidating. The excellent online platforms mean that everything can be done without ever having to pick up the phone.

Women are still in the minority but they have a few tricks to teach the men so for the male readers try to pick up some tips from your female counterparts.

Here are five possible reasons why women do far better at Financial Spread Betting and other areas of trading.

Men hate to be wrong

As a trader we have to realise that many of our trades will be wrong and it’s just part of the business but men hate to be wrong and are more prone to “blind hope” that a trade turns around.  The correct approach is to follow a trading system or strategy, trade a relatively small part of your trading capital and cash in losses quickly rather than stubbornly sticking with a bad trade. Remember you can have more losing trades than winning ones and as long as you keep the losing trades small and the winners big – you’re still ahead.

Women traders are better in a crisis and less emotional

Contrary to popular belief I have found the women to be far more disciplined and less likely to panic then their male counterparts. Detaching the emotional side of trading from decision making is a very desirable trait to have. From my experience the reason men panic more is normally that they have overextended their accounts and allowed little margin for errors so price movements are exaggerated.  My experience with women traders is that they never risk everything on one trade and normally keep higher cash balances/reserves.

Women can say NO

Sometimes the best trades are the ones you do not make, women are more selective and picky with new trading opportunities where as the men are quick to jump in and make a trade just because they want to be part of the action. Doing nothing and waiting for a better opportunity. Also women were happy to let winning trades run longer where as men had to fiddle often causing them to take profits too soon.

Women read the manual!

I produce a 200 page workbook (Making Money from Financial Spread Trading) and two DVDs, yet many of the men never read it or if they do they just go straight to the trading system pages and ignore the rest.

The DVD has a trading quiz and I deliberately placed the answers in a different section of the workbook which would require you to read the workbook or check the contents page, yet many men email to say that the answers are not in “their” copy.

Not only do women read the manual they also email for help and clarification. Women also keep better trading records and keep trading diaries.

Women do more research – Men dive in

Overall women spend more time researching a trade and asking questions and are less likely to trust a news headline or market “guru” tip without doing far more digging before going ahead. Whilst this can mean that sometimes women enter a little late into a trade overall it is better and more profitable to do so and make a little less and play it safe. Men tend to like to learn from experience, often sharing trading war stories on chat forums whereas women will try and find out enough up front to be able to sidestep them.

Summary

Regardless if your trading using Financial Spread Betting, Contracts For Difference, Options, Margined FX or just buying and selling via a broker then if you want to improve your results then maybe it’s time to think more like a woman.

A list of penny stocks is needed to get started in making money. You have to find a reliable source that is published by a legitimate firm that has done their research. See, penny stocks are pretty volatile as they usually represent the small companies across the nation. Many of these companies do not last very long and if you buy penny stocks in these companies you are setting yourself up to losing money as opposed to gaining it. If you are willing to add a little bit of risk into your life, then you can take a chance on good penny stocks to make some money.

I did my homework on these investments and the hardest part about penny stocks trading is the lack of information on the companies offering the stocks. Because these companies are so small they are not researched as thoroughly as large firms, leaving you with only a basic idea of what the company is about and how they are faring. This is frustrating but when you use a list of penny stocks from a reliable source to find companies to invest in you do not have to worry about the lack of information available.

There are plenty of options when it comes to using a penny stocks list to find companies to invest in. Yes, the stock market still has not completely bounced back from the most recent crash and recession, but these stocks are inexpensive and have the potential to become some serious players on the market when it does come back. Take your time finding a penny stocks list and then try a few small investments to see how you do. You may be surprised at the money you earn.

Penny Stock “Formula” reveals Proven Formula for Stock Trading

New Stock Trading Strategy developed by Stock Trading Formula that accurately identifies and profitable stocks trades.

Penny Stock “Formula” reveals Proven Formula for Stock Trading

New Stock Trading Strategy developed by Stock Trading Formula that accurately identifies and profitable stocks trades.

Option Trading

Research should be done prior to purchasing stocks. A stock option contract allows you to have the right but not the obligation to buy (call option) or sell (put option) the underlying stock at the certain specific price, known as the strike price, on or before an expiration date.

Learn about options trading strategies. Options can be used to hedge a stock portfolio and to hypothesize on market price movements. Other strategies are simpler than the rest, for instance, buying call and put options or writing covered calls – selling call options on underlying stock positions – are simpler rather than opening spreads and combinations which includes a lot of option contracts at different strike prices and expiration dates. You have to know by heart the easier strategies first prior to trying the harder ones.

Find out how to trade options. Use your time at the Chicago Board Options Exchange Investor Online Education Center to understand the fundamentals. Enter limit orders for option contracts that do not trade in huge volumes. Understand that the value of options decreases with time which simply means that a buy-and-hold strategy for stocks won’t work with options.

Stock Trading

Once again do your research prior to purchasing it. Read business websites or newspaper to update yourself with the recent economic and corporate news. Review the corporate financial reports o the investor relations section of corporate websites or the US Securities and Exchange Commission’s EDGAR online database. Take note on the accompanying earnings webcasts where senior executives discuss the results and answer the stock analysts’ questions.

Study the order types, two of the most common are market and limit orders. A market order is filled at the best current price; on the other hand, a limit order is executed at a specified price. Utilize the limit orders during volatile markets and for thinly-traded stocks since market orders could be filled at poor price levels.

Learn when the right time to trade is. Investors usually have a disturbing feeling that they are either paying too much or selling too soon. Bear in mind that stocks are so much cheaper when people are stampeding for the exits. Never follow the herd, rather, wait until the fad passes, then go right in and pick up the bargains. Sell a stock if the company’s sales and profit basics have deteriorated or if you badly need the money.

Stock and options trading can be a complicated business and can cost an uneducated investor a whole lot of money. So before your start trading stock options, make sure you have a firm grasp of the market.

To be successful in your stock trading business you can’t control the equity market, all you can do is identify the trend and go with it to profit, that’s not to say that you cant be confident with your trading, but you need to realize early in your career That is perfectly acceptable to be wrong, and as long as you stick to your exits and discipline, you are running a equity business within a large market, you are never truly in control. You can never be reliant on tips or one trade to secure your financial future, nor can you build a trading business using a mechanical autopilot system. You have to continuously work, tweak and evolve with the market, successful traders adapt and maneuver, even after you have developed that strategy, it will require ongoing effort and monitoring.

Successful stock traders know the main part of their trading business is the development of their trading skills. When you have a set of trading rules that suit you and you are happy with what you have, you need only improve your skills to implement them; this will take much of the stress and anxiety out of the equities market. When you begin to remain consistent and disciplined you can then create a dynamic trading business that will help secure your financial future.

Once you have an stock trading strategy that is profitable, try to remain very consistent and subject yourself to the trading opportunities it identifies. Be careful not to over analyze a bad week, make sure when you adapt a strategy there are sound rationales and data that support you change to avoid losing your original hypothesis for which the strategy was original focused. There are many articles out there on the web that you should keep searching for a different  system to improve your trading, and we strongly suggest trying to stick with what you have and see it through, you need to give things a chance to work through variable stock market conditions.

Disciplined Trading

The Equity Scholar Team

http://www.equityscholar.com/