Stock Trading Success
The ABC’s of Stock Trading Success
Stock trading success…why is it so elusive?
With all the trading information, systems, trading advice and assistance available today, the fact that most people who attempt to profit from trading Stocks lose money seems quite bizarre.
Can you imagine the millions of dollars that must have been spent by countless traders on courses and Stock analysis software, that was wasted because the buyers didn’t understand the key principle of trading success I am about to share with you now.
We aren’t going to need any charts for this lesson…just your ability to comprehend the value of what I am about to share with you and your willingness to take action – right now I want to share with you the ABC’s of trading success.
If trading was an easy business to master and profits were freely available to all, every punter with a computer and a free charting program would be a millionaire and the streets of our cities would be clogged with chauffer driven limousines.
The fact that the majority of the population have no idea how to make a buck from the Stock Market, often after spending large amounts of money on education and trading losses, made me wonder why this is so.
I searched for the answer to profitable trading for years, until I found it in an unexpected place, when I wasn’t looking for it at all.
You may be able to relate to this story, or you might just be starting out and this will help you to reduce the time you spend in your initial learning stages and speed up your path to profits.
Let me tell you about Jim (not his real name…of course). Jim first started trading after answering an ad in the Brisbane Courier Mail for a popular trading education package that cost him around $1000.
Little did he know that the fateful investment in that course would lead him into the abyss of Gann analysis, and that it would eventually cost him thousands of dollars in courses and trading losses to pull himself out the other side.
He read the course, watched the videos, read the course, watched the videos…you get the picture.
Losses, losses, small profit, losses.
He felt that because of his limited knowledge, he had to learn more and more in order to stop the losses and to start profiting from the market. So he spent more and more on courses – and his trading got worse and worse.
The more he learnt, the less he seemed to know and the worse his results became.
Then, he finally learnt about the A, B, C triangle of success, in trading and in every other area of life, from one of his property mentors – John Fitzgerald.
The A, B, C’s stand for –
A – Awareness
B – Belief
C – Conduct
Awareness – He realised that he already did in fact know enough to become a successful trader and investor. He had studied many books and courses on trading and had everything he needed in the way of practical trading information to make a profit.
He was aware of what it took to trade profitably. He could become a good, a great trader, if he could just develop the second factor…
Belief – If he could bring himself to believe that he was a good trader, he would become a good trader.
He didn’t need more knowledge at that time, because he had a firm grasp of the basics. He simply had to believe in himself and his abilities and the profits would follow.
The third leg of the success triangle
Conduct – Was were he was falling down.
He would look at a chart of a Stock or market, and decide on a trading strategy using his understanding of trends – he was calm, detached and unemotional – just like his written trading plan told him to be.
His success rate was good at finding profitable trades – but his conduct was the problem…
He had no trouble placing the trade while the market was closed. He would simply call his Broker and give him the order.
Then, the market would open. His calm, detached, unemotional state would turn into panic.
He would feel physically sick at times, scared in case his analysis was wrong and he lost money on the trade.
He honestly believed that he couldn’t afford to lose any money (the poor mans mindset) so he focused on losing.