Don’t miss this webinar from ActivTrades, on 4th December With a professional private financial trader with great experience.
Stop losses and take profit levels are used by traders to protect them from unnecessary financial risk and also to ensure that profits are taken for successful trades.
Stop losses and take profit levels are important in helping to remove the necessity to make emotional decisions during real-time trading.
Guest Speakers: Paul Wallace
If you aim to improve your skills, I HIGHLY recommend you check this out: click here
Don’t miss this webinar from ActivTrades, on November 6th, by Malte Kaub, Managing Director at the Traders’ Leadership Council in London. Achieve sustainable success trading the NASDAQ Stock Market.
Guest Speakers: Malte Kaub
If you aim to improve your skills to pick the best trading opportunities, I HIGHLY recommend you check this out:
NASDAQ Equities: The Traders’ Champions League
For many “neo-traders”, trading in order to generate consistent profitability is an insurmountable challenge .
The knowledge and skills required to achieve consistent performance are very broad, so the relevant experience and achievement of sufficient aptitude, becomes very difficult, especially when such experience does not always result in financial returns at the beginning of your career . However, perseverance and resilient search of your own “Edge”, the self-discipline of the daily advance planning approach and its implementation, will tip the balance in your favor.
Results will not come quickly, and if that happens, they tend not to last. A disciplined approach to trading is an investment in your future that will allow you to reap consistent and enduring rewards if you have the strength of character to implement it.
The relevance of Discipline and Self-Control
The essence of the success of this highly effective approach to maximize your “Edge” is the individual discipline in the face of apparently high profit opportunities. Only the repeated practice of self regulated discipline can reduce the tendency to act on impulse. For those who are not prepared to solve this problem, this tendency will never disappear and consistency will remain unreachable. So for the vast majority who were not born with the gift of self control, a powerful technique is to written record in the form of a daily trading plan which clearly define the goals and objectives. A disciplined routine analysis before the markets open, and the structuring of the trading day, are essential to avoid the temptation to trade on impulse. We intend to develop the instincts of profitable trading, that must be present during the selected trading period, so, with advance planning, we eliminate the need to decide on the spur of the moment, and this will previously allow us to know how, when and why shall we place a trade. For example, the decision to trade on the release of an economic indicator, or the immediate move at the futures market close should not be a spur of the moment, but rather, these strategic decisions must be made in advance with a clear mind, with purpose and objectivity. Only this approach will enhance your “Trading Edge”.
Knowledge and involvement: Preservation Of Capital
Even if you have identified your “Edge”, one shouldn’t forget is competing in the global financial markets against other participants which can move the markets significantly (Ex: Central Banks, Primary Dealers, hedge funds, pension funds).
Commonly, inexperienced traders adopt an aggressive stance, attracted by the “potential” reward such behavior allegedly provides. In these cases, remaining out of the market, or if you have the knowledge, aligning with these larger “entities” rather than challenging them, will improve the chances of achieving a truly exceptional consistency, which will then increase your talent in the effective implementation of your “trading tools”. It is also recommended to be very cautious with extreme volatility. A “neo-trader” who is trading on the basis of his identified “Edge” has his chances drastically reduced in times of high volatility.