One of the hardest truths about trading is that if you want to be consistently profitable, you have to think and act like yourself before you do.
Aspiring traders should follow and imitate the mental traits, attitudes, belief systems and trading processes of past successful traders and investors. This may sound obvious and relatively easy, but there’s a reason so few people actually succeed in trading. I really need some insight and help on what I need to change and do if I want to start making money in the market..
The main reason most people fail in trading is that people generally don’t like doing things that are somewhat ‘boring’ or ‘unpleasant’ consistently. For example, even when it comes to important things like health and fitness, most people know what to do, but they don’t do it on purpose, even if they are aware of the consequences.
When these ‘consequences’ seem ‘far away’ or ‘for a long time’, we begin to loosen our dedication to the discipline necessary to succeed. must be Then you will begin to place more value on doing what it takes to achieve what you want.
So what do billionaire traders value?
- They value abundance and opportunity
Want to know the fastest way to lose all your money trading? Trade like you’re desperate. Or, if you really want to lose money quickly, trade desperately without even knowing what you’re doing!
What does it mean to “trade desperately”?
Trading like desperate essentially means being “desperate” to make as much money as quickly as possible, and ironically, this is how most traders actually make money. If you trade when you don’t have an edge, increase your position size beyond what you know you can afford to lose, or deviate from your trading plan, it’s as if you’re “desperately” trying to make money. You are trading as if money. If you want to think and trade like a millionaire, you have to stop this.
Billionaires act from an abundance mindset. They don’t want to make money, not just because they are millionaires. That’s because they see endless opportunities in the market and elsewhere in business. So you don’t have to rush to pick up what comes next. Instead, they feel they should wait patiently for the most obvious trade set-up, or perhaps a low-risk opportunity, to come along.
This is one of my favorite quotes about not making deals that are “hopeless.”
Just wait for the money to be in the corner and go there to pick it up. do nothing in the meantime. Even people who have lost money in the market say, “I lost my money and I have to do something to get it back.” No you don’t. It should sit there until something is found. – Jim Rogers
It may sound difficult and clichéd, but honestly, if you want to be a successful trader, you have to start trading like you’re already a pro. The habits and mindset of a losing trader (desperate to make money) will never lead to consistently making money in the market. So even if he has a $200 trading account, he should trade as if he doesn’t want to grow it too fast.
- Billionaire Traders Focus on Market Performance
One of the biggest differences between successful and losing traders is that the former focus on performance while the latter focus primarily on money. Evaluating your real trading performance in the market will help you focus on all the right things and develop good trading habits to keep your performance positive. When you value only money, you start forgetting all the things you need to do properly to improve your performance.trading plans, etc., Be disciplined, don’t overtrade or risk on every trade, hold trades longer, and keep your stops farther away. You value what it takes to see the equity curve rise consistently.
As you can see, it is impossible to measure trading performance, but it is also impossible to measure good processes and habits that can confirm an improvement in trading performance. But when you start to value money alone, it’s easy to forget that it’s not just about “making money”, it’s about making money slowly over time. Because when you try to make “fast money” you always end up losing money.
Focus on performance, the actual trading “game” and doing it well, not money.
The goal of any successful trader is to make the best trades. Money is secondary. – Alexander Elder
- Billionaire traders value themselves and their abilities
Self-doubt doesn’t help most of the time. However, time and time again, traders see perfectly good price movement signals and for some reason are afraid and therefore do not take trades. They doubt themselves and are unsure of their trading abilities. Sometimes this is due to not really knowing what your trading edge really is (professional trading courses can help), but it can also be due to overthinking. Often.
One thing you should start doing right away is to think and act with more confidence in your trading abilities. As in life and business, confident players usually come out on top. This is the same in trading. I’m not saying you have to be an “extroverted thug”, but if you want to make money trading, you should at least have a strong sense of yourself and your abilities. Fear, anxiety, and hesitation are not attractive qualities in relationships, business, or dealings. They don’t attract people or money, so find a way to drop them quickly.
This quote by renowned trading educator Dr. Van K. Tharp explains how to build confidence in your trading. First, learn and research the market, then develop a sophisticated trading strategy and practice it until you believe it.
The top traders I have worked with started their careers by studying the market extensively. They developed and refined a trading method model. They extensively mentally rehearsed what they wanted to do until they were sure they were going to win. At this point they had both the confidence and commitment needed to achieve success. – Dr. Van K. Tharp
Side note: being a “confident” trader does not mean being a “cheeky” trader, there is a big difference. Cheeky traders take ridiculous risks, but they are too many. Confident traders stick to their plans and execute their trading strategies when they see their signals present. He doesn’t hesitate, but he is neither stupid nor careless. Hopefully you can see the difference.
I have written many lessons discussing trader psychology and behavior and how important it is to have the right trading mindset. Check out my article on the psychology of forex trading. please give me, you can know more.
How do millionaire traders behave?
Knowing how millionaire traders think about trading is only half the equation, the other half is how they behave in the market. As you may know, knowing something is one thing, but doing it and actually doing it is one thing. So, don’t read this lesson and think you “know it all”, but actually implement it in your trading.
- Billionaire traders trade less than you.
If you’ve been following me for hours, you’ve probably read one of my lessons on all-day trading and why you should do it and how powerful it is. But let me repeat here. End of day trading is how most billionaire traders trade. How do I know this you ask? It’s easy. There aren’t enough high-probability trading opportunities in the daily, weekly, or monthly markets for most traders to be truly successful in day trading. Additionally, day trading often triggers people to overtrade, take risks, and do everything else wrong. If you don’t believe me, it’s only a matter of time before you find out through trial and error.
This Jim Rogers quote is one of my favorites about overtrading.
One of the best rules anyone can learn about investing is don’t do anything unless you have something to do. Most people say I’m not better than most people, but I need to be playing all the time. they always have to do something. they exaggerate.Then they have to rush out and do something else with that money. They can’t just sit there and wait for something new to be developed. – Jim Rogers
- Billionaire Trader Carefully Manages Risk
Controlling your position size is actually one of the overall keys to successful trading. If the position size is checked it will go a long way in calming your mind and getting you into a proper trading mindset. It’s a great example of how to trade from an abundance and opportunity mindset instead. Keeping your position size at the dollar risk level and knowing that you can lose on every trade means staying calm, being okay with whatever the outcome is, and knowing you’re not trying to make “fast money”. I mean you are not desperate
As the following quote from trading great Paul Tudor Jones emphasizes, you need to focus more on protecting your capital than on “making money”.
“I always think about losing money, not making money. Don’t focus on making money, focus on protecting what you have.” Paul Tudor Jones
Conclusion
Close your eyes and imagine that you are already where you want to be in trading. You’ve been consistently profitable in the market for a year, you have a plan to get here, and you’re happy with the risk per trade. As long as you stick to your plan, you don’t have a problem with losses because you know the wins will eventually make up for them. Now, every time you sit down and look at your chart, before you turn on your computer, do this same or similar exercise.
Ultimately, do what you think most about, whether that thought is positive or negative, harmful, or helpful to your goals. So all this, successful trading, etc. starts in your head as a thought. It may sound cliche, but it’s true that “thoughts become reality”, so be very careful what you focus on when thinking about trading. Are you thinking about the “dollar sign,” the money, and all the things you buy with it? Or are you thinking about your own trading performance? Are you thinking about the stock curve that rises consistently over time? Are you thinking about becoming a more sober and self-controlled person? Start implementing positive trading habits and effective trading strategies. Fill your mind with positive yet realistic expectations of what is possible in the market and embark on a journey of self-discovery and improving your IS trading. Never look back.
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