You can be a consistent trader but you can NEVER achieve consistent consecutive wins.This I promise you.Why? Because the name of the game is this: At its most fundamental level, trading is a random distribution between wins and losers.What you want to see is a steady inclination equity curve with minor draw downs in your portfolio. You can be the world best analyst,economist or trader and I can bet that you will face a couple of losers in your trading record.Why am I so adamant on this point? It is because in the stock market,there are infinite amount of unseen variables influencing the movement of the prices.There has been countless times where the news and sentiments has been bullish but the market went spiraling down.Why? Unseen variables at work! Now,you might say,ok dude,we accept your point,so how do we become a Consistent trader with overall positive expectancy? Simple,I'll make it short and sweet.
1.Understand and apply a trading methodology that will give you the highest probability of a win.
2.Cut your losses the moment you realize the probability of a win has been thrown out of the window when you see the direction going against you.
3.Let your profits run and cut your losses short
4.Stick to your trading strategy.It is OK to fine tune your strategy but don't be like novices who always change their strategy whenever they face a loss.Your objective must always be focus on the long term.
5.React to the price movement,don't be opinionated just because the news or "experts" said this or that. The market don't give a damn what you or the experts thought.
6.If only trading is as easy as having to adhere to only 5 points. Not quite my friends, but this pointers are basically the main ones. There are so much more to trading than just 5 simple points. But don't worry,just keep on learning...even I still do.Always trying to get my hands on trading materials whenever I can.
Do drop me questions or share your ideas if you have any yea? =)
Cheers
Hyzel
"Once we realize that imperfect understanding is the human condition there is no shame in being wrong, only in failing to correct our mistakes."
George Soros
1.Understand and apply a trading methodology that will give you the highest probability of a win.
2.Cut your losses the moment you realize the probability of a win has been thrown out of the window when you see the direction going against you.
3.Let your profits run and cut your losses short
4.Stick to your trading strategy.It is OK to fine tune your strategy but don't be like novices who always change their strategy whenever they face a loss.Your objective must always be focus on the long term.
5.React to the price movement,don't be opinionated just because the news or "experts" said this or that. The market don't give a damn what you or the experts thought.
6.If only trading is as easy as having to adhere to only 5 points. Not quite my friends, but this pointers are basically the main ones. There are so much more to trading than just 5 simple points. But don't worry,just keep on learning...even I still do.Always trying to get my hands on trading materials whenever I can.
Do drop me questions or share your ideas if you have any yea? =)
Cheers
Hyzel
"Once we realize that imperfect understanding is the human condition there is no shame in being wrong, only in failing to correct our mistakes."
George Soros
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