Do not be a trading statistic! Read on ….
Fact is, in life, in every facet of life, we are either an example or a warning. Trading is no acceptation. 95% of uneducated traders actually fail to make money consistently over a long period. This implies that 5% of traders take money off the market almost every trading week and do so with a big smile on their faces. They fail as they do not appreciate the three rules that I want to share with you. Being a trading statistic, the 95% statistic, must not be a great deal of fun and the funny thing is that iit is not difficult to avoid.
Here are 3 of the Golden rules that I have found may make a huge difference to your trading success:
1. Copy a Mentor. Many people start off with a bang but end up exhausted when they realize that being a trader is not a free ride on a gravy train. In order to be successful, you must first define what success means to you. When you know what ‘your success’ is, in terms of percentage return per day, or cash earned per week, then you will be in a position to find a person that has already done what you are trying to. You may agree with me, it seems easier to model another person that is already successful, than it is to go it alone with no example to follow. It is far easier to find and mentor and get ask them what they did to succeed, ask them to take you through every step in their process so you can literally copy it. If you just aimlessly drift from one day to the next with no ”roadmap or guidance” of where you need to be going, it is all too easy to falter, slow down and eventually just give up.
2. Stay with your Plan. One of the most critical steps to becoming a great trader is to have a very detailed plan. With a detailed plan in place, you know exactly what to do and when to do it.
Without a plan, it is very easy to someone like a boss or supervisor breathing down our necks, it’s easy to put things off instead of doing what needs doing when it needs to be done. Make yourself a list of tasks that you need to accomplish every week. Break those tasks down to a daily list if that helps you stay on track. Check each job off the list as you complete it. Keep this list visible and prominently displayed so that you can see it at all times while you are in your home office. As the check marks denoting completed tasks start adding up, the psychological lift you get from knowing you are getting somewhere is often enough to stave off procrastination.
3. Ignore Distractions. This is probably the number one killer of all HBB’s! We all have distractions, so acknowledge they are there, get rid of the ones that pop up constantly (Face book, TV, Twitter, email… etc) and get on with the job of being a great HBB. All of the things that make working from home so nice can also be a death trap for unwary entrepreneurs. Instead, identify your number one daily goal and then divide your day up into segments that compliment your lifestyle and allow you to achieve your goal.
In the trading world, for example, you may choose to trade for 2 hours, from 10 a.m. to 12 a.m. each day…. or 7 p.m. to 9 p.m., whichever suits you. Your target may be 400 Euros profit each day. Once your money is made, you have completed your number one daily goal, and then you are free to get on with the lower priority goals, including some of those excellent distractions like Face Book. Find out what works for you, write it down, then repeat it every day until it is a habit!