(1) Emotional and Psychological Discipline
(2) Sound Money Management Strategy
(3) Good Trading Strategy
(4) Strong Passion For Trading and Learning from others mistakes
(5) Strong intuitive ability to think before majority of them
Human beings have emotions , fear , greed, revenge and pride.When these things go out of control we make mistakes.If these emotions are not put into check being a good trader is very very tough.
M Mgmt strategies are a must when one is trading.This is the single most factor which can change desired outcome.For example lets say u have 100 bucks what would be your stop in a trade?
when u loose 10% to break even u need to gain 11%
Loose 30% u need to make 50% to break even
u loose 50% u need to make up 100% to break even
So cut ur losses when something has not gone your way.It also means when ur right try to make the most of it and when your wrong try to minimise how much you loose.
Good trading strategy----Lot of people ask me whats your strategy and what software you use.
Sure software helps but it also depends on how comfy you are with the software.You need to be accurate with ur observations and you should have some non conventional indicators to tell you that u can short or go long .It requires time and practice to achieve this( NOT easy at all).
On top of all of that – don't be so blinking emotional !
- Don't get excited when your pips are mounting.
Don't be proud after closing a great trade.
Don't revenge trade when you lose.
Don't get angry if you miss an opportunity.
Don't anxiously try to earn some money with each trade.
Don't hope for too much and ...
... don't regret too deeply.
Will continue with some more on this topic .......
