Are you Loss Making Trader?

By | March 2, 2016

Its an well known  adage in Stock market “90% of trader lose money, 5% are at breakeven and only 5% are highly profitable trader”.
So trading seems to be highly profitable profession if you are in top 5%  but its a loss making profession for remaing 95%.

So let me discuss few characteristic of Bad traders

  • A Bad trader will always be a forecaster of market tops and bottom, You will speculate that market cannot go above the certain level or cannot go down below certain level. You will involve bias in your trading and when market starts going against you , you will talk of all kind of conspiracy theories market is rigged, Operator are making stop losses hit etc.

“Don’t try to buy at the bottom and sell at the top. It can’t be done except by liars.” -Bernard Baruch

  • A sure way of analyzing yourself is Ask yourself the following question, the recent run up Nifty saw from 5970 to 6194 did u make money or lost money fighting the trend. Do not give excuse to yourself, just answer Yes or NO. if you lost money means you are a BAD trader and need to improve on your trading.

“Cardinal Rule #1 is to sell short only during what you believe is a developing bear market, not a bull market.” -William O’Neil

  • You are bad trader if you have no risk management and few bad trades can ruin your trading account.

By risking 1%, I am indifferent to any individual trade. Keeping your risk small and constant is absolutely critical.”Larry Hite

“Trading is not about being right. It is about putting money into the account. That’s it. Everything else is secondary.” -Ned Davis

  • You are bad traders if your keep shorting the leaders and keep buying the the weaker stocks ie. stock in downtrend. Many traders are shorting S&P 500 or Nikkie Japanese Stocks thinking they are overvalued but its rule of trading to be with leaders till you get reversal sign.

“What seems too high in price and risky to the majority usually goes higher and what seems low and cheap usually goes lower.” -William O’Neil

If you have the above characteristic of BAD trader and you have been repeating from past many years its high time to stop trading, Either learn the tricks of trade via reading books or get yourself a mentor who can guide you. Stop losing your hard earned money.

11 thoughts on “Are you Loss Making Trader?

  1. Bramesh Post author

    Very very happy for u .. My teaching are making way to profits.. what more a mentor requires 🙂

  2. Bramesh Post author

    Thanks a lot sirji.. I am grateful to all of my beloved readers who keeps me encouraging to work hard and give the best.

  3. RAJMOHAN

    IT IS EQUALLY TRUE THAT 95% MENTORS ARE UNFIT TRAINERS IN THE TRADERS MARKET & BRAMESHJI FALLS IN THE BALANCE 5% MASTER CLASS DUE TO SINCERITY / PURE DEVOTION TO PROFESSION.

    WE ARE GRATEFUL TO BRAMESHJI

  4. Karn

    Thanks sirji one more thing is there any difference between Dema & Ema or both r same

  5. Bramesh Post author

    Double Bottom is a Bullish pattern.. Bullish market only on weekly close above 200 DMA.

  6. rishikesh vaidya

    “D” for Discipline.I believe in the long run this D must be the difference between 5% and other 95%
    Thank you Brameshji for emphasizing on this factor during the training.It has started making difference in my trading now
    Regards

  7. Karn

    Sirji ge does double bottom indicates starting of bull market or it is a indication of trap

  8. kashinath

    I was doing the same things what u explained above for 6 years but after getting trained by you I am doing consistent profits in Markets from last 1 year .You are my best Mentor for life Salute you….

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