You can be free i.e. your own boss. You can live and work anywhere in the world. You can be independent from routine and are not answerable to anybody.
This is the life of an successful trader.
Millions of people aspire to become an successful trader but very few succeed. A new trader who is new to the field hears and sees thousands of dollars when new to the business but when he or she reaches out for the money, they lose. They reach out again and lose again. Thus the losses pile up and increase your agony. Traders lose money because the game is hard, they can lose out of ignorance or lack of discipline.
Learning to trade is a long journey with great highs and agonizing lows. Each time a trader loses, he vows never to trade again but such is the addiction of trading and the money that he is back in no time with more money and this leads to more loss.
It is not that all traders lose money. There are many who have made great fortunes from trading. You just need to understand the game, keep learning, have discipline and last but not the least, patience.
If you are looking for short term thrills, then you better go for gambling instead of trading. To become an successful trader, you need to analyze the markets and use this knowledge to take trades and make profits. You will never make 100% profits or in other words, all your trades will never be profitable. But you need to have more successful trades to become an successful trader and at the same time learn to cut your losses early and carry your winning traders to maximize your profits.
If you keep following my blogs, I will learn how to analyze the markets to take profitable trades, avoid wrong trades and build your own trading system.
You may take trades based on fundamental or technical analysis but never take trades based on news. News may at times give you short term profits but in the longer run, you will definitely make losses.Some trade because of hunches about economic or political trends, use insider information to trade or simply trade out of hope.
Remember how you felt the last time you placed an order? Were you anxious to jump in or afraid of losing? Did you procrastinate before punching the trade? When you closed out a trade, did you feel elated or humiliated? The feelings of thousands of traders merge into huge psychological tides that move the markets.
Most of us spend our time looking for good trades but once we are into the trade, we lose control and we are either thrilled or feel depressed depending on which side the trade going. It becomes an emotional roller coaster ride and we start missing the elements of winning and management of our emotions. This inability to manage ourselves leads to poor money management of our accounts.
The most important constituent of market is the crowd psychology. If you are not in line with the mass psychology of crowds and do not understand it, you have no chance of making money. All winners or professional traders know the importance of psychology in trading. All amateurs ignore it.
Focus on reality, on seeing the world the way it is. To live healthy life, you have to live with your eyes open. To be a good trader, you need to trade with your eyes open, recognize real trends and turns, and not waste time or energy on regrets and wishful thinking.