Hi guys! First of all thanks to everyone for read me and support my blog!
Today I want to talk about the most important skills that every trader should be working on to become in a successful trader.
#1 Develop a plan: Having your own plan will give you a great advantage to be ready for future trades. You need to start thinking in the different directions or movements that the market will be taking in the following days or weeks, and how this movements will affect your trades. Like a chess master, you need to plan your next moves and calculate what you're gonna do when the market start moving.
#2 Be Logical, NOT Emotional: IF you have developed a plan before start trading, embrace it! One of the most common psychological mistakes in trading is to be emotional instead of logical. Emotions can destroy your most trusted trades so, you need to learn how to manage your emotions and make them play in your favour. IF you want to be successful in this business, You need to be very logical and follow your own trading rules.
#3 When in Doubt, Get Out (or Stay Out)!! IF you are having trouble analysing the market and not sure what the trend is, the best strategy you can adopt is to stay out until things become clearer and an entry point presents itself. Remember, cash is a position too!
The most important part of trading is that you feel comfortable and in control. If you are in a position where you are not comfortable and in control, you need to step aside.
Remember, cash is a position too!
#4 Risk Management: Risk management is one of the most important aspect of your trading plan. Is the process used to protect your account from the danger of losing all your balance. Setting stop-lose and taking-profit points will make you feel more comfortable with your tradings and will protect you if a the markets come down.
#5 Maintain a Trading Journal: Keeping a trading journal should be a part of a well-designed trading plan. It will provide valuable information about your performance, entry and exit prices, direction and size of your trades. Maintaining a trading journal can help to reveal your trading mistakes and learn from them. In addition, you will be able to identify patterns in your trading that led to a losing trade.
That's all for now folks. I hope you've enjoyed the information and start using some of them for your daily trades!
See you next time 👍