| What's my tolerance for risk? Traders who stay in positions for several weeks usually give their positions a wider berth. That way, normal volatility doesn't force them to sell too soon. This also means they have to be able to tolerate some moves to the downside. Shorter-term traders take smaller losses, but they need to be able to pull the trigger and take those losses quickly. What strategy makes the most sense for me? Do you like to trade based on earnings reports, volatility, charts, valuation, or news events such as drug approvals? Certain catalysts will lend themselves to shorter- or longer-term trading styles. If you like to trade the markets based on volatility, your trades will likely be short-term. If you love trading stocks based on upcoming catalysts, your trades will have a longer duration. If you're new to trading, start off by asking yourself which style appeals most to you. If you're an experienced trader and you're not achieving the results you want, these questions may help shed some light on whether you're trading in a way that best suits your personality. Good investing, Marc P.S. In May, I launched a new strategy that combines the excitement of trading with teaching investors how to "generate income with limited risk" through both up and down markets. So far, we've closed out nine trades using this strategy... and eight have been winners! Over the past 2 1/2 months, our average trade (both open and closed) has returned 18.9%, beating the relative S&P by an astounding 8X... and that's been during a surging bull market. This has been one of the most thrilling experiences in my more than 20-year career. Click here to learn more. | 
