The search for the "Best Trading Strategy" has become the most challenging question. Many investors are looking for some unreal strategy of the investing that would deliver huge profits, without any trading risk and worries and without dedicating a lot of work into it. The right way is to build the trading strategy or trading system by yourself or at least to find a working strategy and then adjust it to the personal trading style and risk tolerance.Basically, for each individual investor the best trading strategy would be unique and it completely depends on the selected market (equates, options, currencies...), personal trading style and the risk an investor is ready to take.It's totally logical that various markets would require utilizing various trading strategies. The trading strategy that delivers good profit in the equity market could be a financial suicide in futures or options markets because of the expiration. The trading strategy that works well in the currency market could not always be applied in mutual funds investing, simply because mutual funds could be traded once a day while currency almost 24/7. There are number of factors that would influence a trading strategy in different markets. Example could be the fact that holding an option trade opened for more than a month could result in the negative trade even if the underlying security moves in the favor of the position. At the same time you may keep uncovered options position much longer. It would be incorrect to state that the "Best Trading Strategy" should perform well in any trading market. If you made a decision to become an options investor, it would be logical to search for a trading strategy that performs well in options market instead of applying the trading strategy that was used for equities without any changes. Different markets require implementing different trading strategies. Each investor has a personal style and each investor has a different portfolio size. An investor with a big portfolio size has the ability to diversify, use dollar cost averaging. This investor can play on less than 1% trades without worrying about commissions. At the same time an investor with small portfolio size would be able to invest in one stock only, could be willing to use margin trading and very often has to spend up to several percents from the profit for commissions and other fees. Each investor manages the personal investments in unique way and there is no doubt that the trading strategy has to fit the personal trading style. The trading Strategy that works well for $100,000 portfolio could be a complete failure for an investor with $5,000 in the pocket.Each investor would define and build the "Best Trading Strategy" in a personal and a unique way, simply because a lot of personal factors affect it. The "Best Trading Strategy" is the Strategy that best fits to the selected trading vehicle, personal trading style and risk tolerance. Every investor should build his own "Best Trading Strategy" or at least find the one that works well in the chosen market and adjust it to the personal trading style, portfolio size and risk tolerance.
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