Winning At The Trading Mind Game
No matter what you think about it, trading (especially day trading) is a mind game. Psychology plays a huge part in the ultimate success of a trader. That’s why I think practicing, like doing your own trading journal (read more about it here) every day as well as exercising mindfulness through practices like meditation can help you becoming more aware of the present moment, which will prepare your mind to react to the surrounding market conditions rather than trying to force any trade.
So, in order to be successful in trading (and quite frankly, in all the other aspects of life too) it’s very important to have your mind and your body in a healthy state, so that they can help you perform at your highest level possible. You should be thinking to yourself like an athlete does before a big competition. The only way to express your fullest potential would be to have done intensive training as well as be present at the time of the competition with the best possible health state.
For trading, it’s exactly the same. Everything starts with the best possible education, transitioning it into practicing in a simulated environment. After having gained consistent success, the switch to live real-money trading will be much less difficult. In any case, maintaining the body and the mind in the best possible healthy state is important and it’s a daily commitment every trader should take.
Two Ways To Release You From The Pressure
With that said, if you’re considering to switch your career into trading full-time, please continue to read this. Since I’m one of those who decided to quit my job to fully focus on trading, here I am to give you my best piece of advice in what helped me overcome the first months of unsuccessful trading into generating consistent income from day trading. In particular, these are the two most important ways to relieve traders from the pressures of trading and having to make money while learning (especially as a beginner, this can be a costly mistake):
- Look at getting another source of income. Be creative, anything starting from having a part-time job during non-market hours to renting a room of your home can be a temporary solution. Especially if you’re young and committed enough to be a winner at this game, just realize you need time to become consistently profitable. In the meanwhile, it is ok to welcome any other ways to make some extra money;
- Reducing your expenses in order to have the lowest amount of overhead. Especially if you don’t have a family to provide for, there are a million ways to reduce them to a minimum amount. Just review your latest bank statement and I’m sure you’ll immediately find something you may live without for a while.
Sometimes you just need to show to the universe that you’re capable of sacrificing the comforts you’re living with in order to start brand new and to ultimately achieve the life of your dream.
“Formula One is a mind game, no question. You have to think so hard sometimes smoke comes out your ears! And if you don’t keep your head in gear the car will overtake you” – Mika Hakkinen
See you in the chat room.