Discipline and Patience For Trading
Too be a successful trader it does takes a variety of positive characteristics, and you need to decide from the start of your trading journey if you are willing to work on yourself to build these characteristics into your everyday life. Two of the most important characteristics in our opinion is discipline and patience.
The idea of being disciplined sounds simple and a little broad brush but let us explain. If you are trader that is undisciplined, meaning you do not stick to a trading plan or you do not trade using a certain criteria, it becomes a slippery slope to bad habits. It is important to remember that bad habits can be the start off failure.
The idea behind discipline in trading is that in the long run you are protecting both yourself and your investment as best as possible. You can do this by implementing a trading plan of some sort, knowing when to stop and take a break away from trading and not chasing losses, as again those are all methods to quickly lose your investments very quickly. That is why you must be disciplined and patient in waiting for the right opportunity.
Working hand in hand:
Be strict on yourself, by this we mean have a set limit on how much time you spend looking at potential trades or trading itself, alternatively have fix times you like to trade between in order to limit overtrading.
Overtrading can be one of the simplest ways to lose the entirety of your investment, as well as being demotivated and not wanting to trade again. In order to avoid this, you need to begin building and incorporating a trading plan/ trading rules into you trading routine. You want to be patient in finding the right opportunity and a trading pair, and this can be done by sticking to your trading plan.
It was once said that trading is 10% analysis/trading and 90% waiting, this could not be more accurate. Too many people do not have the patience to hold a trade, close it in loss and then it ends up doing what they predicted. Alternatively, some traders do not wait for the ideal setup or price entry and enter too early causing the stop loss too to be hit.
DON’T BE THAT PERSON!