This is a guest post from Tino @tradersreality. This article originally appeared on tradersreality.com and is reposted here by request.
Everyone knows, the goal of a trader is to make money. Although this is the general consensus, having this frame of mind usually leads you to frustration and loss of money.
So how do we not just focus on the money, when all along we are trying to achieve the objective of making money?
This probably will play with your mind in a sense, how do you not focus on making money when your number one goal is to make it?
It’s really that simple. If you are too engrossed in the desire of what trading can bring to you, whether it be financial freedom, quality of life, away from the 9 – 5 routine, being your own boss, whatever it is, then money alone as your priority will prevent you from fulfilling, or even coming close to the reality of being a trader.
As with anything in life, humans seek confirmation from others, in the sense of achievement, we look to our friends and family to receive recognition for our efforts. Whether it be hitting a milestone in your life, starting a family, new job, first home. All these factors have emotional responses attached. Meaning, we have a deep rooted desire to achieve these goals so that we can say “ Yeah, I did It”.
The problem is too many people focus on the end result. They fail to pay attention to the PROCESS of achievement.
How does this relate to trading?
Well, if you are to judge your success on becoming a trader by simply thinking about the Lamborghini that you would like parked outside your house then you will probably be setting yourself up for the wrong focus and motivations
Trading is systematic. You have to become so involved with the process of trading and not think about the end result.
This is how you become a master at anything in life. You must create awareness to the importance of your desire to trade well. Not focus on making the money, but to trade well. Great traders are not phased by the money. A great trader will celebrate the fact that he cut his losses and preserved his capital before any big win. Because that’s the problem, a big win doesn’t mean anything other than you got your money in a high probabilistic event. So what more do you expect, if you enter a trade that carries a high probability and you win, why would you celebrate? The process of finding the high probability trade carries more prestige than the actual payout. Why? Because it’s the beauty of the skill behind being able to find the same high probability trade that leads to the big money win. Not the win itself.
There’s an old saying: Feed a man a fish and he will eat for a day, teach him to fish and he will eat for a lifetime.
Trading is just like that…
Nowhere will you find anyone’s success in trading was purely based on the fact that they got paid on a massive trade. IF anything they would celebrate the process behind the victory of the trade.
So going into 2019, aim to become one with the process of trading, look to see where you can improve your ability to select trades. FORGET the money, the money will come and go. The process of extracting money from the markets is where the desire to learn needs to be placed. Focus on how to be at the most efficient and systematic and objective level so that you can repeat the process over and over. The only time money really is important is when you make the decision to withdraw. Too many traders are thinking about the money they can withdraw before a trade is placed. a recipe for disaster.
Trade Well My Friends
You can follow Tino on twitter at @Tradersreality and visit his website at tradersreality.com.