Being a trader is easy. All you have to do is to open an account, deposit some money and then you can start buying and selling currencies, indexes, commodities, stocks and more.
However, when are you ready to become a professional trader and do nothing but to trade all day long?
1. Capital
With less than INR 10,00,000 in your account you are not able to become a professional trader no matter how good your strategy is. It is simply impossible to make money when you don’t have the money to begin with. The money which is required for trading is money which you are not dependent on, ie it should not be borrowed money, If in worst case scenario you bust your trading account it should not effect your lifestyle and your retirement planning. You should have a sound risk and money management strategy
2. Strategy
You need a winning strategy to be able to trade as a professional.Try to develop a price action based strategy and you should be least dependent on Indicators to keep your emotional side under control. This strategy may take years to develop so the sooner you start learning and practicing, the better you will become in a shorter period of time. Someone who cannot make more than 1% every month is not ready to trade as a professional, even if he has millions in his broker account. A good strategy is the one that brings consistent results with a low draw down. Some people are able to make 10% a month, but they can’t do it forever. On the other hand there are people who make just 0.5% a month every month and all they have to do is to double their position size to reach the psychological critical value to become a professional trader.