With the new year just days away, what better time to mentally prepare yourself for better trading? Here are twelve key ideas, if you're having trouble coming up with specific ones of your own. While they can all be implemented as of January 1, 2006, notice there are twelve of them. Why not apply all twelve at the very beginning of the year, and also spend a month of intense focus on each one as well?

The important part for you as a trader is to set self-management rules that you are committed to, and that are acheivable. All twelve of these fit the bill, but don't underestimate the challange that each will bring.

1. I will not trade every day just because I feel as if I have to.

2. I will develop a proven trading system, and realize that one bad trade does not negate the system.

3. I will set profit targets, and will take those profits when they are achieved. I will not change targets in an effort to create "just a little more" profit.

4. I will not let emotions sway my trade decisions.

5. I will approach trading as if it is a business. I will be strategic, and logical.

6. I will learn something every day, no matter how small, that will give me a greater trading edge.

7. I will keep a trading journal, and note when and why my analysis failed and succeeded. I will review this journal weekly.

8. I will not fight the market. I will capitalize on whichever direction the market is going.

9. I will take small losses rather than let them become large losses. I don't have to be correct with every trade.

10. I will become an expert in one area of trading, whether it be options, one certain stock, or an index. I will master every detail particular to those trades.

11. I will invest in my success, whether it be a book, market data, or a trading coach.

12. I will act upon what the market is doing, rather than what I think it "should" be doing.

I wish you a very happy and prosperous New Year, filled with many Big Trends!

Price Headley is the founder and chief analyst of BigTrends.com.