Traders are not investors..... Note to Self.
When you fully comprehend this then you will be successful with your trades.
All ego aside, I know most if not all my trades are going to be losers. So, having a optimistic point of view makes no difference. I’m trading to make money so I’m not too focus on weather I am right or wrong. Most trades are going to first net losses before they make gains.
I always tell myself, I know, I am wrong about this entire trade, the entry, the trailing stop loss and the exit. Now, I have to figure out why I am wrong about the trade or trades before I set my limit buy in. You are a trader you’re not an investor. Do not care about companies, only care about the gains those companies can make us. Hence, being right or wrong is complete nonsense.
Mainly, because either be prepared to lose all emotions or be squeezed out of your position or Evaporate from the trade or market all together. Note, the worst place to have emotions is in the stock and crypto market. Because we are humans and we humans typically panic which triggers our fight or flight response mechanism. Most of not all the time we mostly make incorrect decisions pertaining to our trades. Subsequently this leaves room for you to get squeeze out of your position or even worst, Wrecked.
So, I learned to leave my emotions at the door when I enter my apartment. Before checking my charts I cleared my mind. Then I check my chart making sure I use my indicators, RSI, EMA, Rubber band, Fibonacci retracement and SMA. In this market you have to be a Contrarian to succeed. Make it very simple and easy, stupid, I tell myself. The chart does not have to be overly complex for you to know the resistance and support and the overall market sentiment. Use macro to get the underline reasons for up or down trend.
My lessons, I learned from school about swing trading and real life trading in the market. Probabilities is your friend so if you Leverage 1 dollar you should expect 2-8 dollars after hitting your targets or using Trailing stop loss. If not you are completely wasting your time and energy in the market. You would be better off working for a company because you going to lose all your money. Remember, emotions is not your friend in the market, as long as you have self control there is no reason why you shouldn’t be successful in a bull market, which is trending up with high Yield and ROI.
However a wise man once stated, “it’s easy to think you are a GENIUS in a bull market-because price keeps going higher. But even a 8 year old could do this.” Are you telling me a 8 year old is smarter than you? I hope that’s not the case. In a bear market only the skillful individuals who do their Complete due diligence to research each company and Separate the good from the bad will succeed at the end.
Happy trading
This is by no means Financial Advice