This Is Easy

"Easy" is a matter of perception.

What I'm learning is that if I truly understand something, it really is quite easy. It's for lack of understanding that things are not "easy".

How does someone become a profitable, successful trader - make a living at this?

1. Let go of your ego.
2. Go with the flow.

That's really what it boils down to. If you can do those 2 things very successfully, you can make trading phenomenally profitable.

How are some ways people do NOT let go of their egos?

1. I just KNOW it's going to do this.
2. Hope
3. It'll come back. I know it will.

What does going with the flow mean? Well, if the stock is going up and you're trading directionally, you go with the stock. If it stops going up and going down, you get out of your up position and go down. You manage your risk.

No one KNOWS what's going to happen with a stock. I'm finding contingencies to be great, which allows the stock to tell you which direction it wants to take. Set stops based upon how that particular stock trades. Some may require tighter stops, others looser. This is all relative.

Sometimes stocks trade patterns, but what if it decides to do something different? Then you do what that different is.

There are things I must daily keep in mind with my own trades.
2 Responses
  1. Hey Doris....well said. I especially liked this part:
    "Sometimes stocks trade patterns, but what if it decides to do something different? Then you do what that different is."

    Perfect!! I am making a note to always be open to "doing what different is".

    Great stuff. :-)


    CHEERS!

    D


  2. Doris Says:

    You're welcome.

    It's all in part of going with the flow.


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