The passion to make money here and now, constant stress and uncertainty in the markets, a downturn in trading, negative financial results, a lack of understanding of what to do next ... Has this happened to you?
We don't want to discuss “magic pills” that will make you wealthy and we will not discuss the experience of other successful businessmen. We just want to highlight a few habits that will improve your performance in the financial markets and help you avoid severe depression in case of failure.
1. Always be aware of the market events
How many times has it happened: you need to look at the calendar of events, analytics, read company reports, reviews, but instead you turn on Youtube and say to yourself: “one more video”, “another episode of the series”, “one more…”.
As a result, instead of paying enough attention to the information, you jump to the top, sometimes cutting off details that are not important at first glance.
Every trader should be comfortable in a stream of constant information. You should track not only economic, but also political news, study company reports, view analytics, understand the impact of certain events on the market and 𝐦𝐚𝐤𝐞 𝐲𝐨𝐮𝐫 𝐨𝐰𝐧 𝐨𝐩𝐢𝐧𝐢𝐨𝐧.
2. "Nobody can lead us astray - we don't care where to go"
Only clear financial goals and an adequate trading plan will allow you to draw up the right trading strategy. And these are not some abstract goals like “I want to make a million”. A million of what? How long does it take? What is the initial capital?
Any goal should be as specific as possible with reference to real time, to financial capabilities and to a trading plan.
3. Everything went wrong ...
Financial markets carry a fairly large percentage of uncertainty. Yes, of course, you need to be able to predict the market, build your trading strategy according to your forecasts and vision of the market, BUT !!! You always need to keep in mind, or better on paper, 𝐲𝐨𝐮𝐫 𝐩𝐥𝐚𝐧 𝐁.
As many “forex gurus” write: you can tell an amateur from a professional by the presence of several trading strategies within one trading plan. Only such an integrated approach gives experienced traders the opportunity to continue earning even if the market has changed dramatically and everything went wrong.
4. “Mythical” millionaire traders
The most important postulate is that you do not need to compare yourself with other traders, especially in moments of despair or viewing photos of the “beautiful life” on Instagram.
Nobody knows whether this “happy blogger-trader-millionaire” who looks at you from the screen has made profit or lost. All this may turn out to be a myth. There are no professionals who would not lose, but only increase their deposits. Everyone went through losses!
And, if you have a trading crisis and you have closed a series of negative trades - calm down, sit down and analyze what was done wrong and how you should have done the right thing! Make adjustments to your strategy and remember what Nietzsche said: "What doesn't kill us makes us stronger."
5. Take a break from trading
Working as a trader is highly demanding mental work. Constantly reading and analyzing events, following a trading plan, making changes to a trading strategy, waiting for a market entry point, determining your risk management, constantly making decisions and at the same time being in a permanent state of uncertainty - isn't this stress for the body?
Therefore, everyone needs rest, and especially traders. And we are not talking about 2-3 hours away from a monitor screen, but a good kind of rest, when your brain takes a break, relaxes and can continue to work more efficiently.
Every trader can become successful, but not everyone comes to this success. Get rid of your blocking habits and develop healthy ones - this will be your growth point.
We wish all to have success in trading and great profit!