Avoid Overtrading

 Too many traders feel that they must trade every day. Let’s face it; some traders are addicted to trading. A day without a trade is like a day without a meal to them. The face is that some days offer few if any trading opportunities. The trader who wishes to minimize loss and preserve capital should understand that it is not necessary to trade everyday. There will be days when no trades are indicated.

One of the telltale signs of the futures traders about to go astray is the searching for a good trade syndrome. Have you ever found yourself sitting at the computer or quotation screen, bored because there were no trades that day? Ave you ever found your fingers idly rambling over the key board as you searched chart after chart for market to trade? This is the first sign of trouble. If you ever find yourself in this position, do yourself a favor stop looking? Good trading does not occur every day.

Set standards as to which markets you will trade. I there are no trades in these markets do not allow you to endlessly search for trades in obscure or thinly traded markets. This may work occasionally, but the odds of success are slim. The successful trader will specialize only in a handful of markets and will do well at these. Do not attempt to spread yourself too thin by looking for trading opportunities where they do not exist.

Source :  Market  Masters written by Jake Bernstein