Modeling successful traders is probably one of the easiest ways to help aspiring traders become successful themselves! Click here or in the video below to learn more from episode 38 of the Trading Performance Podcast about modeling.
Most people think that “modeling” means to do exactly what the person does. But that is not what we are suggesting.
Let’s use Warren Buffett as an example.
It might be very difficult for the aspiring trader to do exactly what Warren Buffett does. The trader may not have access to the capital, knowledge, or resources that Warren Buffett does.
However, an aspiring trader can learn to think the way Warren Buffett thinks and have the emotions that he has. You might ask, How do I do that?
We will use the Thought Model to analyze Warren Buffett to give us the answers!
His initial circumstance was a net worth of $20,000 at 21 years old.
His result was a net worth of $85,000,000,000 at 83 years old.
That is quite a result! How does he get that result?
Warren Buffett got those results from methodically taking actions. These actions included taking calculated risks based on probabilities and then patiently allowing the required probabilities to play out and work in his favor.
To be able to take those types of actions requires certain types of emotions. Emotions like feeling secure, abundant, worthy, and confident allow a trader to take these types of calculated risks and allow them to play out giving him the opportunity to experience amazing results like these.
In order to get these emotions, what kind of thoughts do you think Warren Buffet has? We can look at the many, many books that he has written.
Here is an example of a quote that will help to demonstrate his thoughts.
“I always knew I was going to be rich. I don’t think I ever doubted it for a minute.”
Interviewer asks, “What’s different now that you’re rich?”
“Well, I can buy anything I want, but come to think of it, I have always felt that way.”
Do you have these kinds of thoughts? Give modeling successful traders a try! You might just get results like Warren Buffett! Or like some of the successful traders we highlight. Click here to learn some of their successful trading practices…