Who are you – a trader or a gambler in an online casino? Consider the 5 qualities that distinguish a professional speculator from an adrenaline player. If you do not have these qualities of a real trader, then there is still something to learn.
Having outlined the dates of the Fed meetings on the interest rate in the calendar, learning how to build trend lines and open deals on a demo account, you can start proudly calling yourself a novice trader. But is it really so?
Where is the fine line that distinguishes the trader from the ordinary gambler who does not care where to get his portion of adrenaline – in the casino, sweepstakes or the foreign exchange market?
We believe that these five qualities are inherent in a good trader, distinguishing him from a fan of gambling.
1. CONTINUOUS COMPLIANCE WITH THE RULES OF THEIR TRADING SYSTEM
Perhaps this is the main difference between a successful trader and a gambler.
A good trader has his own rules in trading, which he adheres to constantly!
At the same time, you need to understand that it is not necessary to come up with a bicycle – you can adapt for yourself the rules of one of the successful and well-known traders.
A very important point: a trading strategy is not some kind of unconditional code that should be followed, no matter what. It should have a certain flexibility, allowing the trader to adequately respond to any situation on the market. A good trader everywhere acts according to his pre-established rules, and not chaotically, like a player in search of adrenaline.
2. ORGANIZATION AND COMPOSURE
A good currency and stock trader never turns his pockets in key squeaks and does not break paper on his desk to find the right document. Composure, attentiveness, self-organization – call this quality as you like – without this, a successful trader is simply impossible.
It is impossible to conduct systemically profitable trade, manage capital and trading risks, plan the opening of transactions and accompany them without high concentration and organization. A player can make a sudden bet, relying on his intuition.
A good trader does not have random deals – all his actions are clearly planned.
3. HEALTHY SKEPTICISM
Among gamblers, there are legends about secret systems that allow you to predict the loss of numbers on roulette, count cards in poker and blackjack, always getting a win.
There are also such players in the foreign exchange market. They believe in the existence of the Grail, for each this is something of their own – possession of insider information; a trading indicator that gives extremely profitable signals; a trading adviser that brings constant profit without any human involvement.
A good trader only believes in himself, with a skeptical grin, watching paid seminars of various gurus that no one has ever heard of.
“How to quickly earn a million rubles? A ticket costs a thousand rubles, a thousand seats in the hall. Thank you all, the workshop is over. ”
A successful trader does not believe the expensive indicators with artificial intelligence and super-profitable trading systems developed in the secret laboratories of Wall Street. A smart trader tried a lot of all kinds of systems on which he lost and earned money. He believes only his experience and treats the rest with a healthy share of skepticism.
4. THE ABILITY TO ANALYZE THEIR ACTIONS
It is said that fools learn from the mistakes of others, and smart people learn from the mistakes of others. In part, this is true, but it is precisely their mistakes, their bitter experience that they can teach much better than anything else. For a successful trader, the mistake on which he lost money is the best teacher.
And here the ability to adequately analyze their actions plays a big role. The bad trader is to blame for everything except him – the head of the Fed, the media, bad weather, black cats, the moon phase, a currency broker, etc.
A good trader can see his mistake, understand its cause and, more importantly, never repeat it again. His success is the result of an analysis of the mistakes he once committed.
Patience plays a big role not only for beginners but also for experienced traders.
Do not believe feature films in which a brilliant trader immediately understands the situation on the market, just glancing briefly at the chart. This does not happen in life. Each trader has to spend a lot of time at the monitor. Someone needs more time to analyze the situation, someone less, but one cannot do without a reserve of patience.
For some reason, most novice traders prefer intraday trading to all other types of trading. Perhaps they think that in this way they will be enriched faster. In fact, day trading is one of the most difficult methods of trading on the foreign exchange market, and beginners choose it because of the need to have more patience on older time frames since the transaction lifetime (however, as well as profit) is much longer.
A patient trader plans his deals and waits for the money to “come to him”, and the gambler chases after them, as a rule, being left with nothing.
In fact, the psychological side of trading is so vast that it is more than enough for a whole bunch of scientific dissertations and it is rather difficult to examine them in detail in one article.
Our article is just an occasion for any trader to think, but who is he, a gambler or a trader? And if at least on one point you have doubts, do not hesitate – become a successful trader and change your life for the better.