Just ………Wait! and Profit from Patience

Just ………Wait! and Profit from Patience

Inspiring Thoughts on Trading

 

Just ………Wait! and Profit from Patience

 

Is there anything more annoying in life than waiting? We often hate to wait. 30 seconds for that deli sandwich? Too long! 20 minutes for a restaurant table? Let’s go somewhere else. Impatience is the fabric of our everyday lives but in trading it can prove deadly.

Armed with the latest computers, the fastest Internet connections and instant news streams, we can all put down a trade in a milli-second, but the key to making those trades successful is the ability to choose the proper time to execute them.

What is the most difficult part of trading? Technical analysis? Hardly. You can learn chart patterns in a week. Fundamental knowledge? Not at all. A month’s worth of watching CNBC Europe will make you an instant expert on macro-economics. Ask anyone who has traded for a while and the universal answer you’ll get is that patience is by far the most difficult skill that a trader must master.

No one is more guilty of being impatient than I. Being the hyper kinetic that I am, I hate to wait for anything. If given a choice to rule the world I would eliminate cash completely so that we never have to fish for change again. Yet when it comes to trading I’ve learned the hard way that a trade rushed is a trade lost.

Take a look at any long series of losses in your account. What’s the one unifying factor to those losing runs? Usually it’s overtrading. And what is overtrading but simply lack of patience and discipline to wait for the proper set up.

 

We rush trades for a myriad of reasons. We are excited about the news that just hit screen. We want to get back the loser just made. And my very own personal favorite: we are bored and just want some market action – its rallying on the 1 minute chart – let s buy ’em!

 

The truth is that there isn’t a single good idea for a trade amongst all those reasons listed above. The old saying in Vegas is that if you are sitting at a poker table and can’t figure out who the sucker is, that sucker is you. The market loves nothing more than to make suckers of us all and there is no easier way for it achieve this task than by forcing you to rush a trade,

 

As speculators we have only one advantage in the market. We can choose to stand down. In fact the longer I trade the more I am convinced that a trade passed is much better than a trade rushed. Think about it. It takes two winning trades to overcome a loss, but only one winning trade to go to positive from neutral. Trading at its core is not so much a game of winning as the art of not losing.

 

For someone like me who loves to be in the flow, the lesson of patience was a very difficult one to learn, but for anyone who wants to succeed in speculation it’s what separates winners from losers.

 

Rudy – Professional Forex Trader

One-on-one live trading mentor

https://www.forextradingacademy.co.za/
info@forextradingacademy.co.za

+27 82 926 6855

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