THE ESSENTIAL TRAITS FOR BECOMING SUCCESSFUL
An important aspect about being a trader which I enjoy the most is that it teaches us some essential life lessons and virtues very easily. Though this process is not as complicated as neurosurgery, it requires some personal modifications at an individual level to enjoy success. In my years of trading and mentoring experience, I have understood that one aspect which altered the outcome of their trading results is the concerned individual themselves.
. It is because we are brought up in such a way that we have fixed a time for learning, it is limited to schools and colleges, after that it is just a repetition of mundane tasks to earn our daily bread. Life teaches us a lot of lessons, failing to learn which will push us into deep troubles. Likewise, we should always be open to learn from the markets. I tell you, one who is ready to learn from the market will earn f rom the markets. In this post, we will discuss some traits to develop to win in the world of financial markets.
- Patience: most of us would have come across Warren Buffett’s quote that goes like, “Stock market is a device which transfers wealth from the impatient to the patient”. Now we should know when to be patient and when to act fast. How do you know that? Simple. If you know what is happening, you will not be restless. Knowledge about what is going to happen next is crucial. Warren Buffet for all the success he has had, will not invest blindly. He will enter into a scrip only after thorough analysis. He can now choose to wait and see how his analysis play out. Simply said, patience is waiting for the market to either validate or reject your analysis.
Focus: unlike other businesses, in trading, rewards come directly in the form of money and the journey is not a smooth curve either. It is not like an average 9-5 job, where you work time. In trading success depends on being able to take correct decision continuously. This requires a lot of focus.
It may be looking out for profitable trading setups across assets, holding tight when market moves against you ( if you have a proper analysis). Above all, focus should be on the process rather than profits to make money. As it is said, right steps lead to right results, bad steps to bad results.
Discipline: one more way the market tests you is by letting you win, a wise man’s quote goes like, “to test a man’s character, give him power”. It is how you take your profitable trades that matter here the most. Some people become greedy, they would want to extract more out of the market, they became examples of penny wise, pound foolish, they know how to earn money but not how to keep it. Even worse, some take their profits into their heads, making them tread away from their analysis. Of all the behaviors, markets punish the undisciplined the most.
All these traits are necessary not only for success in trading but in life as a whole. So learn to develop these traits and make both your trading career and life better.