Saturday, December 22, 2007

Who is the best trader?

What characteristics have the best traders? You want to be successful in investing, so you must know the characteristics of a successful trader, and then try to achieve those characteristics.

They are independent, consult whit other traders but finally decide by themselves. They control their emotions; don't allow fear and greed affect on their decisions. They understand the market, know it is impossible to be winner in all trades but try to improve the winning per losing trade's ratio. They stay in the present and view events truthfully, they aren't regretful, review the past only to improve their performance in the future.

There are many characteristics, but it doesn't mean that you must have all of them to become a successful trader.

How to become a successful trader

Successful traders set an objective; they set an amount of money they want to make in a certain time. Many traders say: “how can we set a goal when we don't know where the market goes.” They said that because they don't know how market has potential to make much amount of money.

The point for setting an objective is that it must be achievable; in other word you most set it depend to your ability and when achieve that set a new objective.

You must try and put time to know about yourself, you must learn how to change your behavior an attitudes and make them consistent with your trading objectives.

You have to get used to being wrong, because you are going to be wrong most of the time. The key is to keep your emotions under control, and try to get rid of losers.

A practical way is to write some rules and follow them: Rules for Trading

Source : stockinvestingideas.com

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