Trading As A Business: The Methods And Rules I'... May 2026

Diamond’s signature "80/20" method refers to trade setups that he believes offer an 80% chance of success. His technical approach often includes:

: He advocates for taking profits while momentum is still favorable rather than waiting for a market reversal, famously stating it is better to "sell too soon than too late". The Pillars of Emotional Discipline Trading as a Business: The Methods and Rules I'...

: Diamond uses extremely tight protective stops, often just two ticks away from his entry price, to ensure losses remain negligible. Diamond’s signature "80/20" method refers to trade setups

In his book, legendary trader Dick Diamond details how he achieved consistent success by treating trading with the rigor of a professional enterprise rather than a speculative hobby. Diamond’s philosophy centers on the idea that sustainable profits come from emotional discipline , conservative risk management , and a high-probability methodology known as the 80/20 strategy . The Core Methodology: The 80/20 Strategy In his book, legendary trader Dick Diamond details

: Rather than relying on a single signal, Diamond waits for three to five different technical indicators to align in the same direction before entering a position.

: He primarily executes trades on very short-term charts to capitalize on quick market momentum.