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The Reality of Day Trading

By Edited Nov 13, 2013 0 0

Trading as a Career

Can I trade for a living? If you’ve never asked yourself that question then you probably have never done a trade in your life. Just the idea of trading for an actual monthly income can induce a variety of different feelings in anyone because trading is simple; you buy a warrant, stock or futures contract and sell it for a profit or loss. That’s all it takes to complete a trade and this can be done without years of study.

The rather obvious Rewards of Trading

  • Financial Stability. This goal is shared by probably 99% of the world’s population and you probably thought about it today, I certainly have. Just remember that regardless of how big your bank balance is, there are still things more important. For me they are my faith and family but for you they may be different as long as we always remember what our priorities are. 
  • Time. Our most precious resource by far, trading allows you to spend it however you please.
  • Freedom.  The trading environment is filled with possibility, you can basically trade any way you want. You can buy and sell at any time, use any indicator and trade just about any trading instrument out there. The possibilities are endless and You get to decide on everything which is uncommon in our world.

 Sounds good right? But before you run off and make your first million there are a few things I want to share

The fine print your broker forgot to mention

  • Trading is filled with uncertainty. How you deal with that uncertainty will affect results in a big way because as traders we have to prepare our trade well but ultimately it can fail or be a success, there is no 100% certainty. Accepting that uncertainty will keep you from many trading errors such as revenge trading etc.
  • Can be stressful. Especially if you do not accept uncertainty every day in every trade. A stressful person cannot operate at his or her best and as a trader that could lead you to make decisions that are not in your best interest.
  • Requires work and effort. You will have to educate yourself properly to get results, this may entail reading books, getting a coach or mentor or signing up for courses. You can give yourself some credit for signing up for this course ;) but please use the information provided.

These are just a few points to consider, especially if you want to trade full time. Trading can be hard but it can be fun, not to mention rewarding, the key is to stay in the correct frame of mind. I have a test I do to check if my mind is in the right state to trade well and it’s very simple. 

At the end of the trading day, I check if anything in my mood has changed. If I feel better after trading then I know that my trading mindset is currently not correct and that I’m under stress. I would then read a good trading book or article just to realign my mind. Self awareness thats all

So start learning, trading is a vast field and there is always something new to discover.



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