Trading and the stock market are 90% head and 10% technique, you cannot allow yourself to know the rules and skip them, you must have a method and follow it to the letter.
1. Be Patient
One of the main problems of the Traders is the over operation, there are not always entries in the market and you have to have enough patience to wait for the right moment to enter.
2. Create your charts
Do not pay attention to what you read in the press, do not pay attention to what your colleague or your cousin or the bank says. Operate according to your way of operating and what your chart is telling you, not what you are reading on twitter, in the press, anywhere.
3. Don’t let your losses run
When you enter an operation you must be very clear about where you leave if you are wrong and where you leave if you are right, as soon as you modify that by letting your losses run, what you are going to do is that a loss that was controlled and assumable becomes a Totally unaffordable loss.
4. Trade what you can afford
Trading should be done only and exclusively with money that you do not need for your day to day, money that you can afford to lose.
5. Be realistic
A movement is not going to be for an infinite time going up or for an infinite time going down. When you have your operation planned and you are clear about where you are going to exit, if you are right you should exit at that point. Do not wait to see if you are lucky and the price continues to rise or continues to fall.
6. Collect benefits
I usually operate with a very small account. As that account grows, I withdraw the benefits so that after a few weeks that account returns to the way it was. This is the way I have to have a kind of salary feeling and share that money that I have earned from the financial markets in real money that I can spend in real life.
Today on the Internet you can find a lot of free material, but by training with professionals you will speed up this learning a lot, with which a process that is already long, which is to become a Trader, will become a somewhat shorter process.