10 KEY TRADING WISDOM
1) THE MARKET DOES NOT KNOW WHO YOU ARE.ITS NOT OUT TO GET US.
All traders expect to run into losses. Traders may understand losses are inevitable, from time to time, but not always easy to understand.
2) PSYCHOLOGY,RISK, AND STRATEGY: INGREDIENTS FOR SUCCESSFUL TRADE.
Psychology approach of your trade when the outcome is a profit and loss, can help you stick to your trading strategy. Having a correct Risk Management is the second ingredient for a successful trade.
3) TRADING SHOULD BE A HOBBY THAT YOU TREAT LIKE A BUSINESS.
95% of work is done before you enter the live market. Seeing Trading as a pleasurable hobby, if we treat it in a business-way, like potentially make money.
4) TRADERS SHOULD HAVE A SAMPLE TRADING PLAN.
(a) The instrument I intend to trade.
(b) The hour you trade.
(c) The plans and set-ups i take.
(d) Why and when you should keep your trades open or close.Are we looking for
some technical signals.
(e) Risk Management
(f) Trading Goals
(g) Performance report sheet
5) TREAT THE MARKET WITH RESPECT AND IT WILL RETURN THAT RESPECT TO YOU.
Ill Disciplined Traders is at large risk of having unprofitable trades. Markets should always be treated with respect.
6) TRADE WHAT IS THERE, NOT WHAT WE WANT TO BE THERE.
Traders might me hoping and praying for winning trades.Keenness to get into trade ca often make us see what is not there result into accumulating losses.
7) TRADING IS KNOWLEDGE ACCUMULATED PROCESS WHICH IS DELEGATED INTO AN ART FORM
When we are Educated, no doubt you will follow what have been taught like, buy low, sell high, and make profit.
8) GREAT TRADERS ARE BUILT NOT BORN
By only going through hard work, experience, and persistence, your talent and abilities turn into a useful assets.
9) GREED,FEAR & EGO COULD BE DRIVERS FOR YOUR TRADING LOSSES.
10) TRADING DIARIES WHICH CAN BE YOUR GREATEST TEACHER
Each trade strategy, plan should be recorded for you to access where you went right and wrong. These diary acts as your mirror which will reflect your mistakes and profitable trades for you to improve.