Let's go directly to the secret that unlocks the mystery to trading consistently.
The truth is, there are no easy paths, no quick successes to trading. There are dozens of gurus selling snake oil trading systems on the net. There is even an entire website that sells nothing but cheap $50-200 strategies. If these were such good strategies, why would someone sell them for $50?
Trading consistently and successfully is much more than just filling out the forms and opening a brokerage account, putting $5,000 in the account, and then "trading" real time. According to Ms. Ebele Kemery the real key to being a successful trader is, knowing that you don't know. Put your ego aside. When you realize you know that you don't know, you are finally on the path toward becoming successful.
In order to trade successfully, there are two important things stated by Ebele Kemery you need to know. First, you need to know how the market trades. What is the Market's underlying behaviour? What time of day is best for trading? Who trades at that time? What kind of profit target you can expect? What kind of stop loss you need to trade with?
The second point you need to learn, and much more important than the first, is that you need to know yourself. You need to understand your own underlying behaviour when you are trading. Trading is a mental game. Anyone playing the game must overcome their own personal "psychology", their own fears and greed.
Understanding the first point is probably easier than understanding the second. Buying trading education on Market conduct, along with hard work, and trading your portfolio live should help you control the first point. Overcoming the second point, well that's a horse of a different color. By coming to grips with the idea that you know you don't know puts you on a faster track toward controlling your own destiny.
Why is knowing you don't know important? Look at it this way. Someone who spends hours in front of a computer playing games is not necessarily able to build his own computer. He'll need some experience first just to find out which computer parts/operating systems are compatible. If the game player is smart, he'll do some research, talk to some computer geeks, and figure out just what he needs for a hot machine. The same thing applies to a trader. Just funding an account doesn't make you a trader.
One of the key differences between novice traders and seasoned veterans is that the seasoned veteran knows he does not know. Experience has taught him that there are things about trading even seasoned veterans will never know, probably because they are simply unknowable. He'll know he has to do research, figure out how the Market trades, etc.
It is difficult at best to predict future Market direction. Watch the business news channel and you will see pundit after pundit telling you that they know where the Market is going. You see, trading is not a business of predictions. Trading is a business of high probabilities based upon live experience, research, and human reaction. Here's the only trading secret that you can trust. Knowing that you don't what the Market will do makes you a better trader, and chances are, you will be a more cautious trader at that. You will probably trade more conservatively than the trader who thinks he knows best. You will have laid out a conservative plan in case the Market turns against your trade. One thing that every trader does know is that, inevitably, there will be trades that end up being unprofitable.
Knowing you don't know is helpful to your success as a trader, it's not detrimental.
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