Many newcomers enter the field of stock trading attracted by its "glamour" and "excitement"
and very soon are disappointed to find that there is neither of these in there!
Atleast not in the sense it is thought to be by the new entrants!
Gambling is exciting, Trading is boring!
It is boring because you are not allowed to experiment after you have reached a particular level of training!!
You are required to have a trading method and keep on following it like a machine,
without emotions,
strict rule of when to enter,
strict rule of when to exit,
strict stop loss.
You are not allowed to enter till the signal appears.
You are not allowed to exit till the signal appears.
It is almost automatic and mechanical.
No doubt, it is boring.
But that is precisely why and when it is profitable!!!
Quantity of trades is not important, quality of trades is!
Remember, you make 80% of your profits from just 20% of your trades!
Rest just add to cost and are the root cause of the losses!
Don't fall for the glamorous ads of trading terminals!
Many trading platforms are designed to encourage you to execute more trades.
Let’s not forget how brokers make their money.
The trouble is the new trader thinks that 'being busy' is 'being a businessman'!
The trouble is the new trader mistakes 'action' as 'profit'
He listens to stories all around him about "big profits" and "overnight riches" from futures and options and is easily swayed by them!
One story of extraordinary profits overshadows hundreds of stories of bankruptcy!
Trading is a business.
You are in business to make a profit, not get a cheap thrill.
Sure it is fun and stimulating but the actual act of trading is and should be boring.
If you are bored while trading, you are on the right path.
You have a method and are following it, sans emotions!
If you feel bored, congratulations, you have mastered your emotions and are trading like a pro!
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