Are you trading on Luck or trading Skills ?

By | May 27, 2015

Some describe trading as purely based on “LUCK” , “Tukka marna” as we call it in Hindi, but from my perceptive trading is all about “Skills” . Skills take time to develop. Take an Example of Engineer, To get an Engineering degree a student has to study for 6 years ( 2 Years for entrance preparation and 4 Years as formal engineering degree). Doctor has to study much more. So Skills take some time to develop.

But when it come to trading, Traders want to earn money instantly. “Get Rich Quickly”, As per my experience Stock market is best place to loose money instantly but most difficult place to make money. So let me discussion difference between Luck and Skills. Luck favors the brave and Skill favors the knowledgeable

 

 

 

  • You are trading based on Luck if 3 months you earn 20% and in 4 month loose it all. Traders having skills will look for consistent profits.
  • Luck is picking the right stock and riding it up for great profits, skill is knowing when to get out and lock in profits.
  • If you made money in 2007 Bull Run and losses it all in 2008 crash, You were trading on Luck But if you made money in both 2007 Bull Run and 2008 Bear Run you are having trading skills.
  • Luck is having one big bet pay off for huge profits, skill is surviving 200 straight trades and not blowing up your account.
  • Luck is surviving the market while not knowing what you are doing, skill is acquired after you have done your homework.

 

So, do you have skills as a trader or have you just been lucky  So far………

8 thoughts on “Are you trading on Luck or trading Skills ?

  1. Surendra philem

    I am neither lucky nor skillful…quite in confusion…a long long way to go…but m not giving up…m gonna learn whatever it takes

  2. aajdaz

    bramesh
    do you think it is luck if one may make profits of 20 to 25% per month on a small capital of 10000. (in option trading)?

  3. Sunil

    Sir,
    Rightly said. Stock market is the best place for a trader to lose money fast than to make money.

  4. mohitjain

    this mkt is tukka mkt aftr breckdown stock jump nd aftr breckdown stock goes up

  5. ruchir

    Hi Bramesh Sir, very nice writeup a great new insight with many examples is helpful to all of us “)

  6. rajveer

    Yes great points, i think discipline is the key, no matter how much the skill or luck. If you are indisciplined you are toast.

Leave a Reply