The Key Traits of Successful Traders

By | June 2, 2021 3:30 pm

Trading is a Performance based Activity just like Sports, You are paid when you perform well. Some like the idea of simply being a trader. It seems cool to them. We had heard stories about traders making big  so many traders think they can also reach that stage.  Some would-be traders envision the rich trader lifestyle that they will lead. And this dream can become a reality. But none
of this will happen unless you are willing to pay the price. 

The most beneficial traits for success include focus, passion, commitment, and determination. While these traits are also beneficial for traders who trade the markets, they are not enough to see them through. Traders should know how to leverage their positions to boost returns and manage risk. Successful trading is technical and partly psychological, therefore, a great trader has to have a mix of winning character traits. They include:

  • Maintaing a Detailed Trading Journal for all Trades done
  • Be willing and open to seeking and receiving feedback.
  • Trader Discipline- Discipline is a key trait every trader needs. The market gives you infinite opportunities to trade.Traders require the discipline to do nothing when there are no opportunities present but must still stay alert for potential opportunities. Then, they need the discipline to act instantaneously when trading opportunities occur. Once in a trade, traders require discipline to follow their trade plans.
  • Adaptability–You will never see two trading days that are exactly alike. Traders must be able to implement their strategies in real time, in all market conditions, and know when to stay away. Not adapting to current market conditions will often result in a swift drawdown of capital.
  • Love of Trading and a Competitive Will to Win.
  •  Profitable Traders have learned that their performance when the bell rings is determined by the work that they do before the market opens.
  • Respect for Risk and Uncertainty.
  • Mental Toughness–You could also think of this as being thick-skinned. The market will constantly throw losing trades at you, and you need to bounce back. If you feel discouraged every time you lose a trade, or your strategy fails to produce the result you expect, your life will be miserable.A trader must withstand a continual barrage of punches from the market. Losses are a fact of trading, but it’s how we act after some tough trades that make all the difference. After taking losses, move on, and continue following your trading plan. 

Those new traders who do not work hard do not do so because they do not love trading. And some just are not willing to work hard. There is grunt work that needs to be done every day.Some just do not want to watch some more tape of their trading after the Close. This requires a serious commitment. Some just do not want to go through all of their trades after the bell.

There is so much to do before and after the Close. You will not do all of this work unless you love trading. You just won’t.

The problem is that if you do not do all that the market requires, you will almost certainly fail.Successful traders share positive psychological characteristics that enhance their personal power and the ability to create positive outcomes, including a commitment to physical and mental health and stress management.

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