Professional Trading and Being more Consistent Brings more Power

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Best Choice!
    Free Trading Education!
    Free Demo Account!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Good Choice For Experienced Traders!!!

Professional Trading and Being more Consistent Brings more Power

A doctor has a very skilled profession that many of us may seem very sophisticated. However, to any medical doctor treating the sick or doing surgery, it is nothing but a serious routine that they do almost every day and it might be something that they have done for a hundred times. This also applies to pilots and other highly skilled professions that look very difficult to you. This brings you to the next point; to other people, professional traders can also be very skilled individuals who execute something that outside observers don’t have a clue about. What do these individuals have in common? The answer is Consistency.

You may already know that habits can be key factors to success especially in trading. Nonetheless, there is minimal information out there that teaches you how to attain these habits of success. In this article, you will know more about the power of efficient trading habits and getting to know them so that you can have a profitable trading.

INCREASING YOUR TRADING ACCOUNT IS LIKE INCREASING MUSCLE POWER

When you exercise every day or consistently go to the gym even when you do not feel like exercising, can bring you better physical and mental health. When you consistently eat healthy food you can be a healthier person both mentally and physically. For an out of shape person, someone who does not exercise and has bad eating habits, it can be quite hard and rough for them to begin constantly eating and exercising right. This hardship is probably because they have negative habits and are so lazy to do what is right. However, healthy people basically find eating right and exercising right enjoyable because they have been consistently doing it and it has become part of their daily routine. Being healthy has shaped their lives.

This also goes true to going to school, waking up early in the morning, eating breakfast, and prepping up. On the other hand, if you regularly stay up late at night, you will know that this then transforms into a habit and waking up earlier can be very hard on your part. In general, sleeping early and waking up earlier can allow you to be more productive. This goes to show that when you take advantage of the power of consistency for your habit formation you can be very productive.

Constantly education yourself can help you become more knowledgeable, someone who will most likely earn more money and become more successful as compared to someone without constant education. The point here is that in all professional and personal aspects, consistency can build habits which can typically define who we are. To quote famous motivational speaker, Napoleon Hill “We are what we think about and do.” This means that whatever you think and do consistently you can make it into a habit and you can then have the power to make positive or negative decisions based on what you consistently think and do. For example, if you smoke cigarettes regularly you most likely have a smoking habit which is obviously very bad. Moreover, if you have consistent market risk management and stick to a good trading strategy without over trading then you can have a positive and strong trading habit that can help you become a successful trader.

YOUR HABITS ARE BUILT WITH CONSISTENCY

It is hard to decide if your strategy works or not until you try out something new for a certain time span and in a constant manner. How can effectiveness be measured if you do not consistently perform what you are measuring? Typically, six months prior to judging if it’s a failure or success, you can have fresh processes and structures. Minor changes are sometimes more ideal than major ones.

You can master your personal trading strategy when you are consistent in sticking to efficient trading methods such as price action. This can also allow you to identify if your own strategy is really worth it or not. However, your trading results can be generally bad when you switch between trading or methods and when you do not have an edge that is present. How will you know if you have a strategy that actually works if you do not give it a chance to prove itself? Try to be consistent for months to promote discipline and promote strength.

Risk management consistency is the key. When you ensure the consistency of your dollar risk for every trade you can actually control your losses and your emotions as well. If you differentiate your trade from one trade to another, you will most likely fall from a roller coaster trading ride which then results to giving all trading profits back and eventually blow your account. Hand risk consistency after a loss or win is the answer and this will probably be one of the most vital differences between professional and amateur traders.

Track your trades consistently by recording on a journal. By doing so you can develop a healthy trading habit. If you were lost in your path, you can get back on track by recording everything you do related to trading on a journal. It may be a tedious task to do but it actually works in helping you succeed. You have to put in mind that your business growth needs a track record of its success. If you shift gears a lot then it would be hard for you to track what is going on.

CONSISTENCY CAN LEAD TO TRADING SUCCESS

A doctor started learning how to treat people inside a classroom and then moved to the hospital setting and finally after years of studying and training, began treating an operating people. Similarly, a professional trader will take the same course- education, train, practice in a demo account, and then trade using real money. The catalyst that can drive you to improve in any career is consistency. Even if you are working at the smallest company doing simple tasks, you have to start at a smaller setting where you learn first and then apply later. Master the formula towards trading success which is consistency equals habit equals good results, and then you will surely succeed at your trading goals.

Professional Trading and Being more Consistent Brings more Power

Throughout my career, I’ve strived to stay consistent about consistency. Even the best business plans will fail without a dedication to consistency.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Best Choice!
    Free Trading Education!
    Free Demo Account!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Good Choice For Experienced Traders!!!

If I say I’m going to do something, I do it. If I say I’m going to be somewhere, I’m there. If I initiate a new business process or initiative, I follow through. In my experience, consistency is a must as you build and grow your business.

1. Consistency allows for measurement.

Until you have tried something new for a period of time and in a consistent manner, you can’t decide if it works or not. How do you measure effectiveness if what you are measuring isn’t performed consistently?

I typically give new initiatives, processes, and organizational structures at least six months before judging them a success or failure. It’s often minor tweaking instead of major overhauls that make the difference.

2. Consistency creates accountability.

I ask my employees to be accountable for their deliverables and goals. They should expect the same in return from my leadership. I put a priority on making time for and being available to my team. I work to establish consistent and recurring meetings when a project or aspect of the business requires attention.

The simple fact that there is a set time to report on progress is often the catalyst that moves an initiative along to a successful end.

3. Consistency establishes your reputation.

Business growth requires a track record of success. You can’t establish a track record if you are constantly shifting gears or trying new tactics. Many efforts fail before they get to the finish line, but not because the tactic was flawed or goals weren’t clear. The problem is often that the team simply didn’t stay the course to achieve the objective.

4. Consistency makes you relevant.

Your employees and your customers need a predictable flow of information from you. All too often I see businesses, both small and large, adopt a campaign or initiative only to end it before it gains traction. It’s effective to run many advertisements, numerous blog entries, weekly newsletters, or continual process changes throughout a year.

5. Consistency maintains your message.

Your team pays as much or more attention to what you do as to what you say. Consistency in your leadership serves as a model for how they will behave. If you treat a meeting as unimportant, don’t be surprised when you find they are doing the same to fellow teammates or even customers.

When something doesn’t work, I look back at what happened and ask some serious questions. Did we shift gears too quickly? Did part of the team not deliver on a commitment? Or was the expected outcome off base from the start? Most of the time, the reason tracks back to lack of consistency.

How to Become a Professional Trader

Take Your Trading to the Next Level

To become a professional trader, you must learn trading basics and advanced basics. Once these are mastered, you can learn proven strategies and gain experience in implementing them.

Also, it’s important to be realistic about this profession. There is no perfect method of trading that consistently produces only winning results. However, if you practice learning to discriminate accurate information from that which is incorrect or misleading, you can spend most of your time focusing on information that will make you a more efficient and profitable trader.

Trading Basics

One of the most efficient methods for learning to trade is learning market and trading basics. A solid understanding of the basics provides the foundation that will support your entire career. This first level of knowledge is required before more advanced trading information can be successfully implemented.

Books on trading found at your local bookstore or reputable trading websites can provide you with all the trading basics you need at a relatively low cost or no cost. The basics include all of the factual information about trading, such as:

  • What markets to trade
  • How prices move (bid and ask prices)
  • Order types and how to place them
  • Risk management
  • Trading hours
  • How to monitor trading performance
  • How much capital is required to trade efficiently

Trading basics are typically factual in nature, and there isn’t much subjectivity. One information source may say to start currency or forex trading with at least $500, while another source may say to start with at least $1,000. One source isn’t necessarily right or wrong. The information from multiple sources is indicating that you should definitely start with at least $500 and ideally with $1,000 or more.

The exchanges themselves provide traders with most of the market basics. For example, the New York Stock Exchange and NASDAQ provide educational resources on how the stock market operates through the main menus on their websites. The Chicago Mercantile Exchange does this for futures and the Chicago Board Options Exchange does the same for those wanting to learn about options trading.

Learning the Advanced Basics

Learning trading basics gives new traders an opportunity to learn about the various markets and the one in which they want to trade.

When learning the basics, traders determine if they want to trade stocks, futures, options or forex trading. Upon making this choice, they can then delve deeper into the trading basics specific to that market.

For example, a new options trader needs to learn about options Greeks, which help determine the price of an option. Those interested in futures trading need to learn about ticks, points, and the various specifications for each futures contract they may want to trade. Stock traders need to learn how to short sell, how dividends work, and the differences between pre-market trading and trading during normal hours. Forex traders need to learn about pip values and daily rollover rates.

Books on trading and instructional websites can offer information and lessons on these and other more advanced basics topics.

Trading Systems and Techniques

The next step is to learn strategies that will produce a profit in whatever market you want to trade. Such strategies are subjective, which means the source of the information matters. Free resources may provide generic strategies that worked at one time, but no longer work.

Finding viable strategies requires much more research and verification than learning trading basics. When learning strategies, review charts and look for examples of the strategy at work. If it seems it could be profitable on your own small real-world test, then continue investing some time in the method. If not, leave the method alone.

The best method of learning a trading technique is to find a professional trader that will teach you their trading technique. Some professional traders offer websites or books highlighting their methods. They may also provide personal mentoring, which is the most direct approach to learning how to trade.

It is also possible to learn a discretionary trading technique without any form of instruction. Self-learning is fine, but it may take longer to come up with a profitable system when compared to learning a system that is already profitable.

Many professional traders develop their own trading methods by continually studying charts, noticing certain patterns or tendencies, and then developing a system that exploits those tendencies. This may take months or even years of testing before the trader finds a viable method that produces profits consistently.

Gain Some Trading Experience

Practice doesn’t make perfect, but in trading at least, perfect practice makes improvements. You’ll never achieve perfect results because not all trades are won, even by professional traders. And that is okay.

You don’t need to win every trade to produce a good living. What is required, though, is implementing your method nearly perfectly. This is within your control, while results are not. If you do the right thing, favorable results are more likely. Doing the right thing is following the methods you have learned and opted to use.

Use Paper Trading for Training

When first learning a trading method it may seem very easy. However, once you begin to implement it, it may be harder in actuality than you had anticipated. Most traders quit at this stage and seek out another strategy. Unfortunately, these types of people rarely become successful. Even a simple trading strategy often requires at least several months of hands-on experience before the method starts producing profitable results.

Many trading platforms offer a paper trading capability, which is trading with “fake” money instead of your own, real dollars. As you develop trading strategies, you can try them out with paper money and real-time market movements. Some platforms also offer historical market data, and many professionals use this to back-test their trading strategies to test whether the trades would work under various known market conditions.

As a trader progresses and gains more experience, they will likely find ways to improve their strategies or notice other market tendencies that can be exploited if another strategy is formulated. A successful trader may also find that a strategy that once worked is no longer performing well. In this way, a trader is always learning from their experiences and trying to find better ways of performing their job. They are simply adapting to changes in the market that may make current strategies obsolete but provides an opportunity for a new strategy to be deployed.

The Balance does not provide tax, investment, or financial services and advice. The information is being presented without consideration of the investment objectives, risk tolerance or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. Investing involves risk including the possible loss of principal.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Best Choice!
    Free Trading Education!
    Free Demo Account!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Good Choice For Experienced Traders!!!

Like this post? Please share to your friends:
Binary Options Trading Guide
Leave a Reply

;-) :| :x :twisted: :smile: :shock: :sad: :roll: :razz: :oops: :o :mrgreen: :lol: :idea: :grin: :evil: :cry: :cool: :arrow: :???: :?: :!: