The importance of constantly assessing your trading positions

A trading position is a strategic decision that involves buying, selling or holding a financial instrument, such as a stock or currency, with the expectation of profiting from future price movements.

Traders will select when to enter and exit positions based on research and in-depth analysis to maximise potential returns.

Why traders should keep a lookout for market dislocations

Temporary misalignments in asset prices, commonly known as market dislocations, present opportunities for traders to earn a profit.

These events typically occur in situations where financial markets deviate from their normal functioning and fail to accurately price assets, which usually happens under stressful or atypical market conditions.

5 Steps to master trading psychology

Beyond the technical analysis, fundamental research and strategy formulation, do-it-yourself (DIY) investors and traders must also master their emotions to execute their plan and avoid making rash or impulsive decisions that can increase losses or miss out on opportunities.

Diversification strategies for DIY investors

Putting all your eggs in one basket by investing in single stocks increases the risk of potential losses, which is why professional and experienced do-it-yourself (DIY) investors believe that diversification is a fundamental element required in every considered investment strategy.