A KISS trader realizes that the most profitable trades are often those that are the simplest to spot. This type of stock trader recognizes that despite its simplicity, it is the smartest type of trade because it produces the greatest profits. The stock trader who adheres to this principle must be aware that it does not mean throwing out all the technical analysis and indicators but to simply as it says keep it simple. Occam's Razor states that one should make no more assumptions than needed.

This principle can be applied to nearly every facet of life and trading, and is positively correlated with experience. The more you know about any subject, the quicker you will be able to find elegant and simple solutions. A KISS trader, therefore, applies the KISS principle to the world of trading and investing.

Complicated trading strategies and technical analysis, although sometimes psychologically appealing, can be very counterproductive to the bottom line. As in most things in life, simple is truly better when it comes to trading strategies. Bear in mind that a strategy is not just about entry points. A good trading strategy includes multiple things such as what and when to buy, where to place stop loss orders and when to take profits, risk management, position sizing, expectancy, etc.

A KISS trader usually has good discipline in regard to selection and application. AAPL - Hourly chart.

As you can see from the hourly chart below, this stock trends very nicely. By simply focusing on price action, support and resistance levels, volume, trend lines and chart patterns, it is quite easy to trade this stock profitably. Prior to this chart there was a breakout to the upside, then a reversal bounce following, which would have provided an earlier excellent point to enter this stock.

Intra-Day Scalp Traders | Investopedia

By using simple deduction and analysis it is easy to locate a low risk entry point for this stock. This chart provides a trade that can last for several months.

The exit point was signaled after a trend line break as outlined on the chart. Markets are made because people have different opinions.

This is how it should be. If everyone thought the same way, believed the same things - there would be no markets. For example, in the futures markets basically a zero sum game - but not quite , for every buyer there is a seller. This means that KISS traders are trading their beliefs against the beliefs of those who disagree with them. They know that, as KISS traders, their beliefs are correct if their position is making money.

The answer is simple. The markets are correct. If KISS traders are underwater in their positions and in the hold and hope mode, they are not listening to the markets.

A KISS trader learns to respond, rather than react. If price is going up, it is going up and that is that. Go with it and continue with it until it stops going up.

If price is going down, go with it until it stops going down, according to the direction of the adopted trading strategy - such as put options.

A professional trader is constantly learning and testing new trading techniques. A good lesson is that the more sophisticated the techniques, the worse the results may be. Using complex fundamental analysis, quantitative algorithms, and many varying technical indicators all at once in their trading methods usually ends with the same result - losing money!

Intraday Strategy for Equity or Futures (touch of KISS) (not a trading setup thread)

This is where KISS traders usually have the advantage and the most profitable trades, as they have the ability to spot the simplest trades.

Dictionary Term Of The Day.

Kiss forex trading strategy » Online Forex Trading South Africa

A measure of what it costs an investment company to operate a mutual fund. Latest Videos PeerStreet Offers New Way to Bet on Housing New to Buying Bitcoin?

This Mistake Could Cost You Guides Stock Basics Economics Basics Options Basics Exam Prep Series 7 Exam CFA Level 1 Series 65 Exam. Sophisticated content for financial advisors around investment strategies, industry trends, and advisor education. KISS Traders By Ian Harvey Share.

Stock Investors' Roles in the Marketplace Decision-Making Methods: Informed, Uninformed, Intuitive Informed Traders: Fundamental Traders, Technical Traders Swing Traders Buy and Hold Traders Value Traders Trend Traders KISS Traders Momentum Traders Range-bound Traders - Break-out Traders - Channel Traders Options Traders Options Seller Traders Day Traders Pattern Day Traders Intra-Day Traders Intra-Day Scalp Traders Contrarian Traders Active and Passive Traders Futures Traders Forex Traders Online Stock Traders Pivot Traders News Traders Noise Traders Sentiment-Oriented Technical Traders Intuitive Traders Price Action Traders Price Traders Detrimental Traders Unsuccessful Types of Stock Traders Conclusion.

KISS is an acronym for the design principle "Keep it simple, Stupid! Applying the principle This principle can be applied to nearly every facet of life and trading, and is positively correlated with experience. An example of a simple trade by a KISS trader Apple Inc. Different opinions help a KISS trader Markets are made because people have different opinions.

The answer is simple for a KISS trader A KISS trader learns to respond, rather than react. Conclusion A professional trader is constantly learning and testing new trading techniques. Contrary to popular opinion, trust funds are not just for the rich. Middle class citizens can set them up, as well. Day trading has many advantages and, while we often hear about these perks, it's important to realize that day trading is hard work.

The much-awaited 'Beauty and the Beast' will have Disney's first-ever openly gay character. Currency trading offers far more flexibility than other markets, but long-term success requires discipline in money management. Discover tips from a long-term strategy that can help you make better short-term trades. Any trading career will have its ups and downs. Find out how to maximize the good times. The currency markets are full of myths that can harm a trader's chances at success. For traders who want a mix of technical analysis with their own control in decisions, price action trading offers the perfect fit.

Here's how it works. Traditionally, historical quotes on stocks and indexes were hard to come by for the general public, but this is no longer You may participate in both a b and a k plan.

However, certain restrictions may apply to the amount you can Generally speaking, the designation of beneficiary form dictates who receives the assets from the individual retirement Content Library Articles Terms Videos Guides Slideshows FAQs Calculators Chart Advisor Stock Analysis Stock Simulator FXtrader Exam Prep Quizzer Net Worth Calculator. Work With Investopedia About Us Advertise With Us Write For Us Contact Us Careers.

Get Free Newsletters Newsletters. All Rights Reserved Terms Of Use Privacy Policy.