How To Become Successful Trader
A successful trader is always all eyes, ears, and emotionally balanced. How they plan their trade, and trade following that plan as well as minimizing the losses is all that matters. Now without much ado, let us look at the 10 Rules for a successful trader.
Have a Trade Plan
Trading is a game, and each game has its own set of rules. Therefore, to be successful, a trader should be disciplined to follow the rules. Before executing a plan do a backtest.
Be Prepared For Any Eventuality
Setting goals on how to achieve certain results is essential. Accepting that loss is part of the game important. Even if, profits or losses are made, you should not be distracted in any way but should remain focused on the result.
Understand When the Plan Does Not Work
It is important to be realistic and accept when your plan hits a snag or the rules of the game change. When this happens, STOP the trade immediately.
Put the Risk Limit
Otherwise known as Stop Loss is a good gesture on how far you can accommodate losses. Do not keep on pushing or trading without a stopper. It can be fixed on a certain amount or percentage. This limits your exposure as you trade.
Your Business is Trading
Stop treating trading as an employment or hobby, because it is your business. Research, strategize and implement. Otherwise, you will be frustrated if you do not get down into serious business.
Use Every Technology Available
As previously, said trading is a game therefore all available skills should be used to win. To remain competitive make use of all available resources.
Safeguard Your Trading Capital
Please, do not take unnecessary risks if you want to safeguard your trading capital.
Keep on Reading
Each day invest your time and resources to learn a new thing on trading. This enables you to understand the markets.
Do Not Divert Trading Capital To Other Headcount
Not until the business starts making profits, and can account for every expense do not use the PROCEEDS for other expenses.
Make Decisions Based on Facts
Do not allow emotions to guide you as you make important business decisions, instead be guided by facts.
If you understand and follow these rules, you will be able to establish a successful business.
Written by Yusna Yusman – Partnership Manager Xsocio Markets