22 Trading Rules You Need to Know
1. Ignore Opinions - Price Action Tells You What Matters
2. When the $SPX is above the 8 & 21 day moving averages, be long leading stocks in leading sectors
3. Get Tactical When SPX Breaks the 8 & 21 Day
4. Don’t Hold Stocks Under the 200 Day as Swing Longs
5. Use a Tier System to Scale In and Out of Positions
6. Focus on a Small Number of Stocks You Know Well
7. Take Notice of Stocks That Hold Post-Earnings Gaps
8. Never Short a Growth Stock on Valuation
9. Never Short an Index on a Macro Prediction
10. Only Short When the Price Action Indicates a Drop
11. Don’t Bet on Takeovers or Short Squeezes
12. Only Take Options Into Earnings, Never Stocks
13. Use Post-Earnings Highs/Lows to Find Key Levels
14. Use Day 1 Highs/Lows in IPOs to See FOMO & Fear
15. Don’t Stop Out Based on P&L or Percentages
16. Stop Out When the Trade Changes
17. Turn Losing Trades Into Lessons Learned
18. Let the Trend Be Your Friend Until It Turns on You
19. Hold More Cash in Choppier Tapes
20. Watch the Reaction to News, Not the News Itself
21. Never Revenge Trade - Accept What’s Done Is Done
22. There Is Always a New Setup Around the Corner
If you agree with my philosophy, you'll love this:
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Jul 29, 2025 · 8:06 PM UTC
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