My last Dow trade was a loser – and I’m happy

Your trading system shouldn't just be about bringing in profits, says John C Burford - it should also protect you against heavy losses.

You may be thinking: Is this guy nuts? He has taken a loss and he's happy?

The reality of trading in the real world is that everyone takes losses. There is no such thing as a risk-free trade. That applies to buying gold, shares, houses, art, and even unmade beds ( la Emin). Losses are inevitable in life.

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John is is a British-born lapsed PhD physicist, who previously worked for Nasa on the Mars exploration team. He is a former commodity trading advisor with the US Commodities Futures Trading Commission, and worked in a boutique futures house in California in the 1980s.

 

He was a partner in one of the first futures newsletter advisory services, based in Washington DC, specialising in pork bellies and currencies. John is primarily a chart-reading trader, having cut his trading teeth in the days before PCs.

 

As well as his work in the financial world, he has launched, run and sold several 'real' businesses producing 'real' products.