Personal Finance

Good Morning,

Today i want to talk about personal finance. This is a tight subject to alot of people, but a very important one. It would make your brake you in any market, expecially the forex or stock market.

The number one rule i have is to never use credit cards. Alot of people tell me, but what about my credit score? Well What about it? I am building my own home and i have a paid for vehicle and im building my home with cash. Everybody can do what i do financially. It just takes a bit more work and dedication.

The reason i say not to use credit cards is because. Without monthly payments that are not required to keep food on your table and the lights on, you'll have alot more room to breath.

Make sure you always have 3-6 months of expenses in your savings account. and put 15% of your annual income into long term investments roths, mutual funds, ETF's ect ect. You don't want to leverage all of your trading portfolio with short term investments. Its the same thing as having a job with no retirement account.

Don't EVER EVER EVER EVER leverage more then 10% of your trading account. as far as taking out profit for income. Some people take out half of what they earn. Personally i don't like that, because that don't leave you alot of wiggle room. For beginners i say don't take ANY profit until you made 5 grand in your account. Then for every 500 dollars you earn you withdraw 500 dollars. So basically you take out 10%. That is an extra 24 grand a year. Remember that number will always go up as long as you keep profiting from trades.

the last and more important. Make a plan and trade your plan.....With good money management and following a plan you will succeed.