Many traders miss out learning the trading discipline process. People typically get into trading because they want to make money and they believe that trading is the easiest way available to them in order to do so. This being the case, most people enter trading with the expectation of finding an indicator or strategy where all they need to follow the instructions and then sit back and collect the cash. Those with this expectation soon find out that trading is much more challenging than originally thought. That said, from a mechanical standpoint, making money in the market can be quite simple, however from a mental perspective, consistently winning take a tremendous amount of self-discipline and self-trust. In this episode, we uncover the most common missing component necessary for success in the markets.
Click here or in the video below to learn more about the trading discipline process.
Here are the key points of the episode but don’t let this list take the place of listening because the context is imperative!
- The very first step involves being disciplined. That will develop your self-trust and self-confidence.
- Buy and trade a simple trading system with well defined entry and exit points.
- Make a commitment to trade the system exactly according to the rules.
- Naturally with any trading system you will want to make money. SAVE THAT FOR LATER.
- Gain the discipline to execute trades according to your trading plan.
- Find a trading system that meets YOUR risk tolerance.
- Accept that uncertainty is part of trading.
- Learn the skill of flawless execution.
- Incorporate the belief into your mental system about the nature of probable outcomes.
- What’s most probable? What’s most probable? What’s most probable?
- The trading strategy you use doesn’t have to be difficult or complex.
- Create the belief that you can make money in the long run with your trading system.
- The key to everything is being able to execute what you set out to do.
Anybody can get lucky trading for a while without discipline. But if you are someone who plans to consistently trade long-term, this process is a must! If you haven’t gone through this process yet, start today!