Ask Colin

Can you suggest an Internet broker or CHEAP full service broker who provides a buy/sell on stop service for a trader whose time frame is weeks to months?

If you are trading with a time frame of weeks to months, you should not be worrying about what the market does during the day. The only exception might be if a stock is very near your stop-loss level, in which case you could check it manually on the Internet once or twice during the day.

Can I be blunt with you - you don't need another broker. You need to use the money management I teach, which limits risk. Then do your analysis when the market is closed and place your orders, based on the end of day data.

Remember that some trades - up to half of them - will lose money. The key is to act ruthlessly on anything that hits a stop-loss level, while trying to let your profits build up in the winners.

If you are worrying yourself to death, you may be carrying too much risk. You do not have to trade your whole $XXXk at one time. My rule is to only risk 1-2% of my $XXXk on each trade.

If you trading capital is less than $50k, this will mean you have to take trades with close stop-losses. That may mean a slightly higher ratio of losses, but total risk will be under control.

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