Most importantly, more so than any other firm I have worked at, is the emphasis you must put on yourself. You are totally in control of the gain and losses in your trading. You need to be extremely goal oriented. This entails choosing a time of the day to trade where your concentration level should be 100%. No family distractions or day to day activities. You have to commence with the idea that been committed to trading is been carried out when your environment is serene, basically a calm and silent time.
From the bases powerful strategy and focus, this six-stage mechanism is put forward. These are; discipline, routine, principles, rules, control, and patience.
Discipline is the most important feature. Discipline covers all other five mechanisms, which simply means once you fumble in any of the other strategy mechanisms, failure is not farfetched. You have to build a system that suits you where there are consequences for not maintaining discipline in any area. This, of course, is a personal choice; notwithstanding, if you do not possess the right consequences for indiscipline. For instance such as to quit trading for the day or let’s say a week or perhaps delay in giving yourself a treat, then you may lose focus and your judgment could become cloudy. Working single-handedly as a trader means there is no boss to keep you in check, so you need to be disciplined mentally. Personally, I do not have a consequence system to keep me disciplined but I have a trader just like my self; we keep each other in check. I always stay disciplined cause I wouldn’t want to have to narrate my conduct for not abiding by my rules of engagement after trading poorly.
As you go through this you will possibly see all these mechanisms trickle down from the entire area of trading straight into hitting the button to trade. As routine is mandatory, your total approach including carrying out a trade will form the platform for an organized routine. Your routine is a safety measure which is connected to the discipline which makes you abide by your everyday routine. If you trade beyond your trading plan, it most likely will be a wrong trade, a stunt you have embarked on without proper evaluation and yes you may achieve something big. But consistently as time unfolds, you will realize the importance of trading within your routine, you will not engage in trading and you will not enjoy the privilege of being free.
It is necessary to have principles in place. I love principles as they permit you to apply general laws to certain instances you see in the world. The principles you get through trial and error as well as experience gives you the idea to carry out well-detailed trades that have the possible chance of succeeding and if they do not, you will make a proper analysis of trade pattern, which will help you grow and develop for the next opportunity when you see a similar setup. There are rudimental errors on how you want things to work out. They issue out the dominant principle on which your trading life is built on. And these will bring forth success as they are created from your beliefs which will propagate you for long-term success.
These principles are in line with certain rules within trading. They emanate from learning apparently rules like, not to pursue a trade, or repeatedly trade to a stop loss, to rules you create during the extra time, let’s say on a mistake sheet that you add up to extra time. But they are all generated out of your principles to control the right conduct when trading. All areas are necessary but rules must be kept because when you don’t abide by these rules it will result in huge losses because you are now aware that they are set in place to safeguard you from dangerous market moves and most especially yourself. But you have to be committed to not disobeying them or trading beyond your trading plan.
It is not an easy task to take charge/control your behavior when you are sitting in front of your computer screen. You must take charge because you might be enticed into the world of gambling. Trading is interesting, the money you are getting, the banter on conferences or the grizzle you have in your ear. But if you have an excited feeling about individual trades, then you are on the wrong side of the game. It is not a crime to get a kick out of trading. When trading, it is only right that you are happy but that is so because you are excited about ending the trade when you have been in total control of all your rules, principles and have settled for a profit. Feeling excited when your analysis went right even though your trade fails, sounds capricious, however, if you have abided by all your principles and rules then you are starting to behave like a professional trader. And a professional trader is always ready to take a loss as long as it is within the limits of their rules of money/risk management because you can then live to trade for another day and be sure to succeed another time. Control presents you with the feeling of calmness and the knowledge that you are making frantic efforts to give yourself the best possible chance to make steady wins and gather up those pips so your dreams of financial freedom can be fulfilled.
Lastly, patience. Patience is the most difficult aspect to get, trading is a long game and it will definitely take a while to master, patience is needed all the way during the tragedy. You have to allow your process to unfold. Your principles will guide and protect you; however, patience would prevent you from tinkering and hovering over the mouse and not allowing your profits run. Do not be hesitant and remember this, think properly based on your principles and rules and when you are within your trading plan and want to commence the trade take a break and re-access. This will make sure you are certain all is in place and you are dedicated to bringing your plan into reality. The lesson to tranquillity and patience will accumulate pips.
There is no safe way in trading, been consistent is the only way to success, to carefully and surely create an attitude of discipline and take charge to present yourself with the opportunity to accumulate pips. This will rekindle your mindset of winning which will assist you to form a habit that will make your rules involuntary and this will bring about consistency and all freedoms you can ever think of. Put more to the lifestyle change you want to achieve. Get away from this and it leads to swings of big gains to big losses which result in tiredness and failure. Therefore heed to the direction of consistency and debunk all marketing ranting that is prevalent in this industry and stick to that which will direct you to believe in yourself, to choose the correct information and knowledge, all this will enable you to achieve success.