1. Stops – You must respect your stops. They compel you to take a minute and focus on where and why you went wrong.
2. Consistency – You must outline your strategy at the beginning and stick to it thereafter. Trust in your research and data.
3. Start small – Focus on big wins and you forget the importance of following the pattern. Over the long run, taking smaller positions will give you greater control. Then you can gradually increase your position size as your confidence grows.
4. Lifestyle – You must find a plan that fits around your lifestyle. Looking at 50 charts when you only have time for 5 is a guaranteed way to waste time and stress. Instead, concentrate on a few very good opportunities.
5. Noise reduction – It’s all too easy to get bogged down in huge volumes of microdata. Breathe for a minute and focus your energy on the overarching picture.
6. Realistic goals – This is one of the best trading secrets. Unrealistic profit targets will quickly lead to reckless decision making. So, set yourself small and realistic goals, particularly to start with.
7. Cutting losses – Going on autopilot and getting out is essential when threatened with big losses. So, prepare mentally and visualise that emergency exit. As Bruce Kovner highlighted.
8. Learn from the best – Pick up books on developing discipline. The Disciplined Trader by Mark Douglas is a great place to start.
9. Trust yourself – Whilst chatrooms and forums can be useful, don’t allow yourself to be overly influenced. Spend too much time on them and you will quickly doubt your strategy when your capital is on the line.
10. Overall picture – Fix your bad habits and practice building that willpower in all aspects of life. You will then find staying neutral when you trade is far easier.
Actually, it's a really cool list. I think it covers the most important steps and recommendations for those who want to be the best trader. And I think that if you take them seriously and keep them in mind like all the time you enter the market, they'll really help. The hardest thing is to remember constantly if you are doing something wrong and to control your actions in the market. Good luck, everybody :)
Buzargas posted: Actually, it's a really cool list. I think it covers the most important steps and recommendations for those who want to be the best trader. And I think that if you take them seriously and keep them in mind like all the time you enter the market, they'll really help. The hardest thing is to remember constantly if you are doing something wrong and to control your actions in the market. Good luck, everybody :)
You are welcome Mate, Those list above keep me succeful for over 10 years.
The thing I liked the most was that you wrote about realistic goals. Because many traders have exaggerated expectations of trading and its profitability. I don't know what it has to do with, unrealistic advertising of trading online, or such human nature. But most traders really don't know what to expect when entering the market, and therefore assume the best of it (which is a little strange). Therefore, the best way to become good in trading is to remain realistic. And so the rest of your advice here turned out to be very cool, thanks, dude)
Successful traders are always mentally healthy. Trading requires human well-being because if you suffer from human problems while trading, you will never become a successful trader. There have been a lot of things that have happened to me. Trading is a game of the mind and if this mind disturbs you, how to make a profit. Every trader should meditate regularly because meditation will keep you mentally fit all the time.