0 comments on “Where is your focus?”

Where is your focus?

Thousands of years ago, there was an epic tale evolving in a place that is now known as India. In today’s teachings we refer to it as The Mahabharata.

During this time there was a boy called Arjuna, who was one of five brothers & princes, known as the Pandavas. Now one day, the Pandava brothers along with their Kaurava cousins were out in the forest with their combat and military teacher, Drona, who decided that he wanted to test the boys’ level of focus and concentration.

0 comments on “The Cardinal Sin of Trading”

The Cardinal Sin of Trading

If you speak to a wide variety of traders and ask them what their number 1 rule is, adding to losers is probably right near the top. The number one rule is probably cutting losses, which we covered in the previous article. Adding to losers, also known as averaging down, is a key ingredient into the recipe of disaster for traders that is large losses.

The first thing to understand is why traders feel compelled to add to a losing position.

0 comments on “Common Mistakes Traders Make”

Common Mistakes Traders Make

Let’s face it, we all make mistakes.

Whether it is at home or at work, we’re all bound to screw up at some point in time.

However, in most cases, when we make mistakes we tend to study them and figure out a way to not repeat the mistake – essentially, we learn from our mistakes – and on the most part, we do well.

Trading however, is usually a different experience. Many traders will find themselves repeatedly making the same mistakes time and time again.

No matter how many times we say “I will definitely not do THAT again!!!” – a few days, maybe weeks later, guess what happens?

De ja vu anyone?

0 comments on “Perseverance is Key”

Perseverance is Key

Generally, when I speak to Traders, the main motivation for them to enter trading and try to forge it as a career is to make some quick and/or easy money.

The romantic view held within trading, which is perhaps further emphasized from the abundance of modern day ‘twitter traders’ with their photographs of piles of money taken in amazing places with expensive sports cars – is that trading is easy. You can just role out of bed in the morning, turn the laptop on, make a few grand and boom, easy as that you are done, you can sail off into the sunset…..