Ten Ingredients That Make A Great Trader

Ten Ingredients That Make A Great Trader

Ten Ingredients That Make A Great Trader

                                                                                                                                                                                                                                                                                                          Here are ten things I believe are needed to be a great trader. It will surprise some that predicting, stubbornness, reading a balance sheet, or stock picking is not on here. It is all a game of risk management, mind, and a robust system. Everything else is just noise. 

  1. Passion for trading, only passion can fuel the work ethic needed to do the hard work that leads to success.

  2. Goal oriented traders succeed, if you know why you are trading and where it leads you may just get there.

  3. Perseverance: It is hard to lose if you never quit.

  4. Resiliency: The ability to come back from losses may be the secret to trading success.

  5. Back testing systems and methods before trading them speeds up the learning curve and side steps a lot of learning through real losses.

  6. Understanding your edge and trading only with that edge is crucial to out performing the traders that lose money.

  7. Great traders understand that a winning system has to have either bigger wins than losses or a high winning percentage with controlled losses.

  8. Keeping losing trades as small as possible is essential for profitable trading along with leaving profitable trades unlimited to the upside when possible.

  9. Flexibility allows a trader to take what the market is giving while sticking to opinions can lead to huge losses.

  10. Disciplined use of a trading plan instead of emotions for trading is crucial for great trading.