The following post is from a good trading friend of mine named Rick. About a month ago I discovered his website site and fell in love with what he had to offer. Since then we've been in contact and he's agreed to share some of his knowledge with us. I hope you enjoy this post as much as I did and for much more I highly recommend that that you check out his trading site at http://www.protradenetwork.com/
Ever wonder “What is the most significant trait shared among successful traders?” The answer is preparation. Doing most of the work before the trade occurs. Studying and knowing all of the possibilities before the trade is executed. Being ready to attack, not just react.
Remember the saying “Knowledge is power.” That is not entirely true . . . Knowledge is only potential power and what you do with that knowledge will determine its power.
We must be ready for anything. That means thorough knowledge of our trade plan, market structure and what constitutes a valid signal. All of these must be aligned before we place a trade. All most all of the work required takes place long before we ever enter the market.
Another essential trait successful traders share is the ability to be disciplined. They have the ability to control their trading state (emotions) and their focus. Always remember we cannot control the market, all we can do is control our response.
Why do traders hesitate even when they get a valid signal? The number one reason is they don’t know the probability of the outcome. Why? They have not thoroughly tested their trading system and plan to know the probabilities. If you know your entry, stops and targets beforehand, you can eliminate the emotional investment in any trade.
“Your life will not change when you know what to do; it will change when you do what you know.” – Anonymous
What are you doing every day to arm yourself with the knowledge to conquer the markets? What pain are you avoiding that is holding you back; preventing you from achieving the discipline and control necessary to be successful? What is keeping you from making the commitment to get the work done so you can experience the unlimited upside the market can provide?
The Success Equation:
Preparation = Confidence
Confidence = Execution
Execution = Repetition
Repetition = Habit
Habit = Discipline
Discipline = Serenity
Don’t be another market casualty. Dedicate yourself to winning the battle before it is fought; study, prepare and then attack. Let fear and pain be the other guy’s problem while you enter the markets with a well-crafted plan, relentless approach and a fearless attitude.
Be willing to do what others won’t and you’ll get what others can’t – acquisition of a lucrative skill and the payoff of consistent results that will provide limitless possibilities.
In the trading game, you’re either making money or making excuses.
Decide to start making money.
Pro Trader Network ( http://www.protradenetwork.com/ )