Traders trading without a trading plan and not having proper discipline are bound to loose in stock market, as they are unable to change the sides quickly end up being a loser. As per Stats only 5% traders are able to make money on “consistent” basis in the market in long run. So what makes… Read More »
Amateur retail traders tend to think that the professional trader or Institutional investor have some sort of secret knowledge/system that enables them to make huge profit in trading. However, the difference between a retail traders trying to make consistent profit and a professional traders zeros down to the trading mindset and trading psychology.The difference between… Read More »
1.Knowledge Knowledge about yourself, Your reaction when price goes in your favor, against you. Knowledge about your trading system and risk and money management. 2. Information You cannot trade without information. Information is required to evaluate any unforeseen influence entering in market. Knowing about results of company/Election results/Central Bankers meet. 3. Confidence With Confidence trader… Read More »
Source Dr. Van K. Tharp is a professional psychologist and trader coach who has come up with a very interesting set of trader personality types that novice traders can use to help assess their psychological suitability for the trading arena. Each of the fifteen trader types identified by Dr. Tharp conforms to a certain trading… Read More »
Larry Hite While the speculator doesn’t have the product knowledge or speed, he does have the advantage of not having to play. The speculator can choose to only bet when the odds are in his favor. That is an important positional advantage. In the above quote, Larry is referring to the fact that smaller retail… Read More »
As a trader we need to do constant improvement, as trading is an evolving filed and we need to adjust ourself based on changing market conditions. To be best we just need to avoid doing mistakes, the more we minimize our mistake better we will become. Below we have listed few mistakes which if avoided… Read More »
Source One of the most basic of human instincts is to avoid pain and to seek comfort. This makes sense. No one wants to experience pain; we prefer pleasure and comfort. In trading, however, pursuing what’s comfortable is frequently not a good idea. Trading for Comfort There are many examples of trading decisions that are… Read More »
I have an opportunity to Interact with lot of trades as part of my blog and my training classes which has been a great learning experience for me over the years. I’ve witnessed most of new traders falls in 2 category Traders want ready made tips and advisory services Traders focused on developing a “… Read More »
Trading and Masterful Inactivity Learning to be masterfully inactive doesn’t come easily, but it pays. The master himself said: “The desire for constant action irrespective of underlying conditions is responsible for many losses in Wall Street even among the professionals, who feel that they must take home some money every day, as though they were… Read More »
Livermore’s views on hope and fear lie at the heart of successful trading. He describes how traders fail when they allow hope of recovery to prevent them cutting their losses and fear of losing a small profit to make them sell prematurely, when more profit would have been available if only they had the nerve… Read More »