Trading is a business, serious business! It’s not easy, but it can be profitable if you have the right plan and prepare in advance. The most successful traders establish trading strategies and stick to them over time. They don’t try to “catch a wave” or “get lucky” by trying something new every day. They develop their systems and stick to them—even when things go wrong for a period of time (and they most certainly will).
Trading requires a lot of time, effort, patience and persistence.
Trading is not for the faint of heart. No-sir-ee, it’s a long term process that takes patience and a serious amount of discipline.
Trading is a commitment; you can’t just sit back in your chair and expect things to happen on their own. You need to put in the hours if you want results!
Most traders fail, but some succeed.
If you’re not prepared to fail, don’t start trading.
If you’re not willing to work hard and make sacrifices, don’t start trading.
If you’re not willing to learn from your mistakes, don’t start trading.
Are You Sensitive to Emotional turmoil?
Trading is stressful and mentally challenging. Trading can be profitable if you do it correctly, but let me clear – it’s not a get-rich-quick scheme. You need to be ready for some serious work in order to trade profitably and consistently over the long term.
I’m sure you’ve all seen the seemingly infinite number of so-called traders on YouTube telling you how they ‘make $100,000 a day’ by using this ‘one simple trading strategy!’. Well, I’m sorry to break it to you, they are full of shit, excuse my french.
Trading requires time, effort and persistence. It isn’t something that anyone can learn overnight; it takes years of practice before you become an expert at something like this (and even then there are no guarantees).
You will be wrong, a lot, it’s part of being a trader.
It’s not something to be afraid of, and it doesn’t mean that you are doing anything wrong. It is just the nature of the game.
The biggest hurdle which most struggle with, is dealing with ones own emotions. In order to become a good trader you need to disconnect your emotions from the actions you make as a trader. Making any trade based on emotions is generally a bad idea.
That said, recognizing what your emotions mean, can give an indication of where the market might be heading, paticularly if your current emotions seem to resonante throughout the entire market. But, never just blindly act upon your emotions, very often what you should be doing is the opposite to what your emotions want you to do.
If you cannot overcome the strong urge of your emotions, you will eventually fail in trading, this is an inevitable certainty.
As long as you are taking action on your trades, there will always be some element of risk involved. You will never know everything about every market, there are just to many variables to consdier.
The key is learning the mistakes in order to make better decisions in the future and help avoid repeating them again later on down the road when things get tough (and they most definitely will).
If your goal is to become wealthy through trading then keep in mind that there are no guarantees in life or in any endeavor for that matter.
There are many things that can go wrong with your trades; from getting stopped out on an entry point or being stopped out by market conditions after having put on a trade (this is called whipsawing), all the way up until having everything go according to plan but still losing money because of slippage costs due to high volatility levels during news events such as earnings reports or Fed meetings etc…
The most successful traders have a long-term view of the market.
The most successful traders have a long-term view of the market. They don’t try to trade every day, they don’t chase their losses and they don’t get emotional when their positions move against them. They also understand that trading is not a get rich quick scheme, but instead takes time and patience to become profitable over the long term.
If you want to become successful as a trader then it’s important that you understand this concept from the beginning – because if you’re thinking about making money quickly by doing something like day-trading or scalping then chances are good that those strategies won’t work out for you very well… at all!
Trading can be a great way to build wealth if you do it correctly, but it takes hard work, dedication and perseverance
If you’re looking for a get rich quick scheme or something that will leave your hands free to play golf all day long (or whatever else), trading isn’t for you.
If anything, being a trader requires more effort than most other businesses because the markets move every second of every day – there’s no such thing as an off-season! However, if this sounds like what your goals are then maybe it is time to jump in and learn some more!
If you’re still interested in becoming a trader after reading this article then good luck!