What if we told you that a swing trader who picks the right stock
just 55%-65% can be hugely successful? That is, if just one out of
every two of your swing trades earn money then you can make a lot of
money over time. However, it is also possible to be right 80% or even
90% of the time and still go broke. All it takes is one or two big
losses to wipe out all of your hard-earned gains. The difference
between a successful swing trader and a failed swing trader has as much
to do with how risk is managed as it does in making good stock picks.
In fact, a good swing trade money management, or stop loss strategy is just as important as picking the right stocks.
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