By Cam White
Note: Please make sure to read the Disclaimer at the bottom of this blog
Why is it that some traders are successful, while so many others fail? What are the personality traits of traders who consistently make money and what are the habits of traders who constantly struggle? As my journey back into the markets continues, it is becoming more apparent to me what separates successful traders from those who consistently blow out their accounts.
A key part of becoming a successful trader is having the humility to be patient, invest in education and to become a student of the markets. Over the past 6 weeks, I have registered for over two dozen free webinars hosted by TradingPub. The speakers on these webinars cover a multitude of topics on trading the markets, and they all have different trading plans. But the one thing they all have in common is that they made plenty of trading mistakes before they learned how to become consistently successful.
Getting your mind and body prepared for success is a key component to successful trading. Benjamin Lee, founder of Think Trade Think, kicked off a marathon 16-hour Trade-A-Thon hosted by TradingPub with an excellent presentation which spelled out the most common trading mistakes and why they happen. He talked about the personality traits of struggling traders versus winning traders. If you are new to trading the markets or if you're struggling, this presentation is worth its weight in gold.
Getting your mind and body prepared for success is a key component to successful trading. Benjamin Lee, founder of Think Trade Think, kicked off a marathon 16-hour Trade-A-Thon hosted by TradingPub with an excellent presentation which spelled out the most common trading mistakes and why they happen. He talked about the personality traits of struggling traders versus winning traders. If you are new to trading the markets or if you're struggling, this presentation is worth its weight in gold.
When I sat through this presentation, Benjamin clearly pointed out some of the rookie mistakes that I am making, like overtrading and getting out of trades too early. The presentation also provided a road map for psychologically becoming a better trader.
Successful traders have a sense of calm and confidence about them.They have a defined trading plan and time-tested rules that they follow. They don't trade with great frequency, but they know a good trade when they see it. Unsuccessful traders are nervous wrecks who throw money at the markets, over-trade, revenge trade, act on"hot tips" and bleed out their accounts.
The more I immerse myself in education, the more relaxed and confident I am becoming as a newbie trader. New concepts are tested conservatively in simulation, and trading logs are being kept, charting successes and failures, profit and loss, and risk/reward analysis. If a strategy plays out well in test, then it is deployed into my live trading plan.
The Purpose of this Blog
Disclaimer
The opinions expressed in this blog are solely those of the author, and should not be construed as trading advice. I am not a registered or certified financial planner. There is a very high degree of risk involved in trading. Past results are not indicative of future returns. All individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein.
