Blog Details

Are you anxious to understand how the Stressless Trading Method works? Don’t worry, we’ll dig into the mathematical formulas soon. For now, let's start with the basics. The Stressless Trading Method offers a clear plan for buying and selling stocks, requiring you to consider broad characteristics of stock price behaviors. This information helps develop a strategy for buying and selling fixed numbers of shares at specific price points. It's logical, simple, and beautiful. But how easy is it to apply this method in real life? Let's explore the workflow, and you can decide for yourself.

First, pick your stocks and analyze long-term trends to determine your low and high-end targets for each stock. For example, if TSL has a current price of $47.28, it usually rises by 250 to 350%, say from $5 to $18 or $25 to $50. After each rise, it will typically drop by 50 to 60%, correcting for overextensions. At $50, you can set a high target of $200 to be optimistic and a low target of $0 to be conservative. Most likely, the price will see a significant drawdown before hitting $200 and is unlikely to drop below $10.

Next, determine your total investment. Reserve 15 to 25% of your cash for buying the stock as prices fall, and use 75 to 85% to buy stocks that you will sell as prices rise. For instance, if you decide to invest $10,000, you’ll keep $2,500 for buying stocks if prices drop, and use $7,500 to purchase 150 stocks at $50 each.

This step might require a change in mindset. At times, emotions will try to take over, urging you to make impulsive decisions. Remind yourself of the importance of not deviating from the rules of buying and selling, even when fear or greed tries to persuade you otherwise.

Finally, be patient and committed to the plan. Remember, the goal is long-term profit. Each time the price rises by $1, sell one share; each time it drops by $1, buy one share. By the time the stock hits $200, you will have sold all your stocks. This method assumes zero commissions and no gain depreciation due to taxes, which we'll address in future videos.

1. Time: Unlike traditional trading, which can be time-consuming, the Stressless Trading Method requires minimal time investment—eventually reducing to about 15 minutes a day. 2. Research: This method eliminates the need for extensive research and market predictions, saving you time and stress. 3. Emotions: With preset rules, you remove emotional decision-making. You'll know exactly what to do regardless of market conditions. 4. Wealth Building: The method provides a logical approach to building wealth, reducing reliance on luck.

The Stressless Trading Method simplifies investing by providing clear instructions and eliminating confusing advice like "buy low, sell high" or "don't catch a falling knife." For example, if a stock rises from $50 to $54, you sell one share at each dollar increase. If it drops to $50, you buy a share at each dollar decrease. This approach ensures you perform small trades over time, incrementally increasing your wealth without needing prediction skills.

By using a price cost average, the Stressless Trading Method directs you on when to buy and when to sell, without relying on confusing concepts. You'll invest in various stocks using the same mathematical process, making small trades over time. This strategy uses the cash you hold back as a buffer, making it safer to catch "falling knives."

The Stressless Trading Method is a game-changer. It reduces and, in some cases, eliminates many challenges faced by investors. In upcoming videos, we will delve into the mathematical formulas that underpin this strategy, allowing you to see the logic for yourself. Stay tuned to learn more about how this method can transform your trading experience, making it stress-free and profitable. Ready to simplify your trading? Discover the benefits of the Stressless Trading Method with Dozen Diamonds. Join us today and start trading with confidence and ease.