We like to look at why people fail. Because this is the right channel to learn from others mistakes. Like what Jack Ma always say, there can be millions reasons for a person to be successful, but a few reasons that they fail.
So studying the success stories is mot going to help you to success. What you really need is how to handle problems when you are on the way to success.
Here is one of the reason why many traders fail. We are not going to talk about strategy and trading method here. Because the main key to unlock the door of success is our psychology, emotional control, ego control, confident control.
One of the common situation I see in the financial market for public is that. They are not fixed with 1 financial instrument, before they master 1 financial instrument, they start to jump into other instrument.
The main reason they jump around is because 1 is not working, then they hear others talking about other instrument can make more profit, so they jump ship.
For example : they started in stock market, then they find they make losses in stock market and cannot handle the stress of losing money and start to blame the market is very volatile, very hard to trade, no volume and all sorts of reasoning that make them feel better as if is the failure is not because of themself.
Then they start to jump into other instrument such as forex, indices, futures or the current hot topic, crypto currency. All just because it has bigger potential to earn more.
1 should not simply jump into any financial instrument just because of the potential profit. Traders or investors must look at how well do you know these financial instrument. Do you know the main participants? Do you know who are the parties affecting the price?
If you never look into this, basically you are no different compare to a rat who jump into a trap because it only see the cheese.
This makes them not able to master in one instrument and they give up on trying. Because what their focus is profit, not how to make the profit.
Financial market is never easy, but if you know how, is a very simple rule. Follow the big boys.
Before going into understanding the big boys, first thing is control yourself, your inner greed and ego.
Once you master This, you are 50% success. Another 10% is the strategy and 40% is practice. Practice until you trade like a robot, no emotion and expectation in your trade, purely the facts from the market tells you what to do.
Find out more about how we track big boys effectively in our Facebook and YouTube Channel or Join our Weekly Market Webinar Session :
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This blog is for educational purpose only. It is not and advice or recommendation to buy or sell financial instrument. Viewers and readers are responsible on your own trading decision. The author of this blog are not liable for any losses incur by any investment or trading.