Hi Ajay,
Unlike a lot of other brokers our highest priority is not to generate brokerage, the idea is to create an ideal environment where traders can profit. A place where the odds are not skewed towards the house but towards the traders.
Trading like a lot of other skilled jobs in life shouldn't be aped. A person with average intelligence should be able to make money off the markets, provided he is disciplined. You might have read the same things before, but I will share a few things that I think is important for a good trader.
Someone smart had said that Discipline is the bridge between goals and accomplishment.
Discipline is what can convert your talent to ability. When I say disciplined, I am not just talking about your stop losses, sticking to a trading system etc... These things you have probably read a lot already. What is important is to be disciplined in every aspect of your life. You can't be disciplined in trading and indisciplined in everything else, life doesn't work like this.....
One of the main reasons why there are a lot more professional traders in the US than in India. How many of you stick to your resolutions of dieting or quitting drinking?? Stick to an exercise routine?? meet people at right times?? etc... etc... Might seem unrelated but they are... It is important that you are disciplined about everything that you are doing in life, it will automatically make you a disciplined trader.....
Any average joe should be able to make money if he is disciplined, but it takes talent to take it to the next level. Trading is an art and not everyone can learn it. A satriani teaching you guitar doesn't guarantee you that you will become a good guitarist, forget good, it doesn't even guarantee that you will learn how to play a guitar..... Similarly to become a good trader, you need to be born with it, you as a person will understand if you are made for it or not in a few years of trading..... It is very important to put stop losses on trades, but more important is to put a stop loss on trading itself. A lot of people loose the plot and get egoistic about this, but a stop loss point on trading is extremely important otherwise time will go by fast and you will realize you haven't developed a skillset that can be used in everday life... Might sound pessimistic, but important that you keep this in mind... Not the thing you would hear ever from a broker I suppose...
...
Trading size-Leverage, After looking at traders over the last 5 to 7 years I can guarantee you that this is the biggest WMD made. Good traders ruin their trading career because of this. Assume you are driving in a car race and assume it is a street race. Do you go at maximum speeds throughout the race??? Don't you slow down at corners or when it gets crowded? Don't you know what is the maximum speed your car can manage and then plan the speeds at which you will drive??/ What will happen if you drive at max speed in all the places?? same thing happens innumerable times to a lot of traders everday....
Similarly in trading, extra leverage should be used only when you see long straight roads with clear visibility and no traffic.... Use smaller positions, when you are at corners, don't know what is happening around.... Your broker will encourage you to take extra leverage, coz he is making money of you, but you have to know what is right....
How do you know what is the right trading size?? Can you take a position and not worry what is happening in the market??? Switch off CNBC, terminal and go out for a coffee??? This is your right trading size for 80% of your trades.... The remaining 20%, you have to push the metal on pedal, when you see long clear stretches( which will keep coming up if you have patience), cause these are probably the trades which will make you money....
As far as trading ideas are concerned, it is a vast discussion, probably will take me 6 months to share all that I have learnt, both good and bad and as I told you before doesn't guarantee that you will make money, actually doesn't even guarantee if I can make money following the same...........
But if you can follow what I mentioned, small changes to your life and trades, it will be a good start.
Be disciplined and trade the right size.
I am not going to proof read it, so don't even know if any of this made any sense to you.... ...
Best of luck with your trades...
Cheers...
Unlike a lot of other brokers our highest priority is not to generate brokerage, the idea is to create an ideal environment where traders can profit. A place where the odds are not skewed towards the house but towards the traders.
Trading like a lot of other skilled jobs in life shouldn't be aped. A person with average intelligence should be able to make money off the markets, provided he is disciplined. You might have read the same things before, but I will share a few things that I think is important for a good trader.
Someone smart had said that Discipline is the bridge between goals and accomplishment.
Discipline is what can convert your talent to ability. When I say disciplined, I am not just talking about your stop losses, sticking to a trading system etc... These things you have probably read a lot already. What is important is to be disciplined in every aspect of your life. You can't be disciplined in trading and indisciplined in everything else, life doesn't work like this.....
One of the main reasons why there are a lot more professional traders in the US than in India. How many of you stick to your resolutions of dieting or quitting drinking?? Stick to an exercise routine?? meet people at right times?? etc... etc... Might seem unrelated but they are... It is important that you are disciplined about everything that you are doing in life, it will automatically make you a disciplined trader.....
Any average joe should be able to make money if he is disciplined, but it takes talent to take it to the next level. Trading is an art and not everyone can learn it. A satriani teaching you guitar doesn't guarantee you that you will become a good guitarist, forget good, it doesn't even guarantee that you will learn how to play a guitar..... Similarly to become a good trader, you need to be born with it, you as a person will understand if you are made for it or not in a few years of trading..... It is very important to put stop losses on trades, but more important is to put a stop loss on trading itself. A lot of people loose the plot and get egoistic about this, but a stop loss point on trading is extremely important otherwise time will go by fast and you will realize you haven't developed a skillset that can be used in everday life... Might sound pessimistic, but important that you keep this in mind... Not the thing you would hear ever from a broker I suppose...
... Trading size-Leverage, After looking at traders over the last 5 to 7 years I can guarantee you that this is the biggest WMD made. Good traders ruin their trading career because of this. Assume you are driving in a car race and assume it is a street race. Do you go at maximum speeds throughout the race??? Don't you slow down at corners or when it gets crowded? Don't you know what is the maximum speed your car can manage and then plan the speeds at which you will drive??/ What will happen if you drive at max speed in all the places?? same thing happens innumerable times to a lot of traders everday....
Similarly in trading, extra leverage should be used only when you see long straight roads with clear visibility and no traffic.... Use smaller positions, when you are at corners, don't know what is happening around.... Your broker will encourage you to take extra leverage, coz he is making money of you, but you have to know what is right....
How do you know what is the right trading size?? Can you take a position and not worry what is happening in the market??? Switch off CNBC, terminal and go out for a coffee??? This is your right trading size for 80% of your trades.... The remaining 20%, you have to push the metal on pedal, when you see long clear stretches( which will keep coming up if you have patience), cause these are probably the trades which will make you money....
As far as trading ideas are concerned, it is a vast discussion, probably will take me 6 months to share all that I have learnt, both good and bad and as I told you before doesn't guarantee that you will make money, actually doesn't even guarantee if I can make money following the same...
........ But if you can follow what I mentioned, small changes to your life and trades, it will be a good start.
Be disciplined and trade the right size.
I am not going to proof read it, so don't even know if any of this made any sense to you....
... Best of luck with your trades...
Cheers...
