3 Steps to Disciplined Trading

In this article I’m going to show you the path to disciplined trading in 3 simple steps as recommended by a trading expert with 45+ years of market experience.

The path to disciplined trading

Step 1 – Methodology

The 1st step is to find a systematic rule-based approach to trading the markets that has been proven to work, either by computerised backtests or manual testing. This is extremely important because without a validated strategy you will not be able to build confidence in it and will likely just end up losing money and increasing stress.

Make sure you stay away from strategies that do not have clearly defined rules you can program into a computer, the rules should be simple and not require interpretation otherwise the results will be inconsistent. This step must be completed properly, if you do not then the string of losses you will likely experience will make it very difficult to continue following the strategy and you’ll either stop trading or jump to the next strategy and repeat the losing process.

Step 2 – Confidence

The 2nd step is to gain confidence with the strategy by understanding how it works, why does it make money? Really understand the backtest results, know the type of markets it works in best, then either paper-trade it or trade it with a small position size for a while to get a feel for how it behaves.

This process can take some time so don’t rush it. Also, don’t assume you can trade it just because you know the rules and have read the backtest report; there is a large difference between knowing something and doing it, so while you may think you can handle the performance characteristics of the system it can be an entirely different scenario once you’re risking your own money with it.

Step 3 – Discipline

The 3rd step is to gain discipline by following the strategy religiously. This is very important because not following the rules will erode your confidence and invalidate the results.

Make sure you resist the temptation to constantly ‘tweak’ the strategy rules, especially based on the results of a small number of trades. All strategies have winning periods and losing periods and the results are not defined by any one trade, rather you need to apply the strategy over a large number of trades to let the edge work in your favour.

If you find you constantly want to change the strategy or can’t enter or exit trades when the strategy requires it, you lack confidence in the strategy and the only solution is to stop trading it and go back to steps 1 and 2 again.

Post Filing Bankruptcy Course

Bankruptcy is a fairly common occurrence today, a problem afflicting people from all corners of the world. Destructive as bankruptcy might prove to be, your ability to overcome its consequences will depend upon the steps you take to lessen the impact.

There are always approaches you can take to simplify the process of not only filing for bankruptcy but managing it afterward.

+ Post Filing Bankruptcy course

The processes that must be followed to file for bankruptcy will vary from location to location. The key to success lies with locating the best bankruptcy lawyer within your means, whose legal assistance is bound to prove useful in your endeavors.

The best bankruptcy lawyers boast considerable experience in the field, more often than not capable of defending their competency with a record of successful cases in the area of bankruptcy.

Proving just as important as the filing process is the debtor education program; a prerequisite for filing bankruptcy, every individual that encounters bankruptcy must enroll in a post filing bankruptcy course. Not only must one enroll in these courses, they must pass. For a bankruptcy case that has been filed to be complete, a post-bankruptcy certificate is an essential requirement.

Along with credit counseling, only those post filing bankruptcy courses provided by debtor educators approved by the necessary authorities can avail the certification one requires to complete the bankruptcy filing process.

Bankruptcy courses such as this avail a wide variety of information, this including budget development and money management as well as the effective use of credit. Post-bankruptcy courses can be undertaken in a variety of ways: in person, over the phone and even online, with each session lasting two hours or even more.

With the typical course costing no more than $100 per session, those individuals that cannot afford this fee can ask the debt educator in question to waive it.

Those who complete this bankruptcy course will receive a certificate (separate from the certification received after one’s per-bankruptcy course); one must ensure to receive their certificate from an educator approved within the judicial district where one filed for bankruptcy.

With the prevalence of bankruptcy cases, the pervasion of post-filing bankruptcy programs is such that finding one shouldn’t present any major challenge, with the internet proving to be the most effective tool for locating and enrolling in the required bankruptcy course.

Bankruptcy is hardly the end of the world, sometimes proving to be that event required to turn one’s life around; through a bankruptcy course, the right educator can enable you to find your footing in the wake of the phenomenon that is bankruptcy.

Latest Economy Statistics on Bankruptcies, Foreclosures and Jobs

For individuals facing potentially difficult financial circumstances, it’s important to get a sense of what’s happening elsewhere, and what the entire economy is looking like as of late. Here, we’ll showcase some of the latest economy statistics you should be familiar with, touching on subjects including jobs, foreclosures and bankruptcies.

All of those areas are related, of course. As unemployment rates rise, foreclosures and bankruptcies rise in tandem, and the opposite is also true. That’s why it’s worthwhile to look at the entire picture together to get a sense for trends and developments.

According to statistics from RealtyTrac, in July 2015 the United States foreclosure rate was 1 in every 1,057 homes. This is highly variable on your local state, though. For instance, Florida has the highest foreclosure rate in the country, with 1 in every 408, more than double the national average.

According to the Bureau of Labor Statistics, the unemployment rate is 5.3% for July 2015. This is one of the best indicators of the strength of the economy overall, and the news is good.

The 5.3% unemployment rate, the 2nd consecutive month at that level, is the lowest unemployment rate stretching back to April 2008. During that stretch of years, the unemployment at one point nearly doubled the current rate, at 10% in October 2009.

One place to look for bankruptcy statistics is via the total number of filings received in U.S. bankruptcy courts, via USCourts.gov. For the 12-month periods ending on June 30th, 2014 and June 30th, 2015, respectively, filings are down 12 percent, with 879,736 comparative to 1,000,083.

Look back farther, and signs of economic relief are even greater and more stark. For instance, in 2010, there were 1,593,097 total bankruptcy filings. That was the highest total of any year during the recent economic crisis and crash, and nearly double the last yearly level.

So what does it all mean? More people are working, less bankruptcies are being filed, and foreclosures are down across the country. That’s good news overall.

Of course, general trends don’t mean that your specific circumstances are magically relieved. If you’re facing a financial crunch, including credit card debts, facing a risk of foreclosure, or thinking about bankruptcy, then it’s important to speak with an experienced attorney in your state who may be able to help.

You are never without options, and certain solutions may provide far superior outcomes than you had anticipated. As always, it’s important to be armed with as much information and assistance as you can get.

Brief Account on the Debtor Education Course

Introduction:

A personal financial assessment session has been made mandatory in most countries for defaulters. The completion of the course on debtor education is compulsory for the discharge of bankruptcy.

Education Course:

The debtor education course is a serious affair and therefore an approved counseling agency must be appointed for the same. Without the completion of this course, the discharge of the consumers from bankruptcy is impossible. However, it must be kept in mind that the satisfaction of the course taker is not guaranteed even by the approved counseling agencies.

Important Points:

Before signing up or enrolling for any debtor education course, one must keep in mind a few important points and check accordingly. These points are mentioned as follows:

1. Availability of the course in written as well as audio format should be preferred over only written or only audio format. Since this particular course could be very long and tiring, the course taker often feels very bored if the mode if teaching is only verbal, or only written. Therefore, one must research well on the counseling agency to know more about their mode of teaching.

2. Hundred percent money back guarantee if the certificate is not provided timely should be provided by the course providers. The consumers must check if this policy is provided by the counseling agency so that their money is not wasted. Very often fake counseling agencies approach people to take the debt education course without money back policy if certificate is not provided. This must be avoided.

3. Quick availability of certificate is another very important thing for this course. All those who avail this course are defaulters and are compelled to do the course by law. Therefore quick receipt of the certificate is absolutely necessary.

4. If a person who does not speak in English is about to do this course then he or she must make sure that the course is done in multilingual format. This will help the course taker to understand the points in a better way.

5. The course should be cost effective. There can be a wide range of money that is taken for the course. One must select the agency that provides the most cost effective course with proper certificates in least possible time.

Conclusion:

After the conclusion of the course on debtor education, the associated lawyers help in doing all the legal paper work very soon. After filing a bankruptcy and before getting a discharge, the doing of this course is mandatory and therefore should be done as soon as possible.

Factors That Affect a Low CIBIL Score

A Credit Information Report (CIR) offers an individual a numeric summary of their credit history. It plays a major role should an individual want to apply for a loan, or a credit card, as all banks and financial institutions run a CIR as part of their loan approval process.

A credit score constitutes a part of the Credit Information Report. Basis the financial information provided by lenders to Credit Information Companies, a score is determined. This score, based on a scale of between 300 and 900, is what is taken into account by a lender prior to offering a loan.

With Credit Information Bureau (India) Limited (CIBIL) a score of 750+ points is considered to be good. For a first time borrower with no previous track record, a score of -1 is displayed.

Different Credit Information Companies however, may have different scoring parameters. Most companies use the definition of ‘bad loan’ as a customer going more than 90 days past in 12 months.

Let us take a look at the factors that can negatively impact your CIBIL score.

Multiple loans and credit cards

Having too many loans and cards can prove detrimental, as it can indicate a high level of borrowing. This would mean that a potential lender may choose not to sanction any further loans as your repayment capacity may already have been maxed, your income. Further, it may get difficult to manage payments between multiple cards, and can lead to your having to stretch your income in order to keep up.

Not using your credit card

Having a credit card with no usage, makes the customer’s file inactive as there is no transactional data. This in turn can negatively impact the score.

No loans at all!

On the other hand, having no loans or no credit cards makes it difficult for a lender to assess your repayment capacity. Hence it may be a good idea to maintain a loan or card well within your means, to set a benchmark for future borrowing.

Delayed and skipped payments

This is typically the case with credit cards, wherein a customer does not make a timely payment owing to the fact that it slipped out of the mind. What would help in this case is to set up payment reminders and ensure that the outstanding dues is paid up as per the payment dues date. Even a single skipped payment can have an adverse impact on your score.

Increased credit limit

While this may have a feel-good factor, it may not have such a positive outcome after all! Constantly increasing your credit limit may again indicate a high level of debt. Instead, keep your card dues to approximately 30% of the assigned limit.

Not using your credit card

Having a credit card with no usage, makes the customer’s file inactive as there is no transactional data. This in turn can negatively impact the credit score.

Too many unsecured loans

Personal loans or an excessive number of credit cards can mean higher payments owing to higher rates of interest, these being unsecured loan products. This can result in a lower score.

Now that we know what can affect your score.

Financial discipline

Timely and full payments on loan and credit card outstanding go a long way in maintaining your CIBIL rating.