Focus on the process not the profits.
As we approach the last weeks of the decade now is as good a time as any to reflect on how to better your life going into the next 10 years.
In trading a major reason why people fail and form part of the 90-90-90 rule is that they focus on the outcome, rather than the process and the steps to get to that outcome.
The society we live in now has molded us in a way that makes people want instant results in all parts of our life. Gone are the days when we are taught to work hard, and have patience to reach a level of success.
Maybe that is the problem, we focus so much on the results that if nothing is happening by the time our deadline approaches, we give up or make the wrong decision.
So when it comes to trading why do many of us try to run before we can walk?
The reason = greed
We are so caught up in the potential returns that are possible to make from trading or see people generating huge profits we can only dream about, that we want the same for ourselves.
There is no problem with that but what you will not see is how they got there.
The blown accounts.
The hundreds of trades which have gone wrong.
The doubts in their head wondering if trading is for them.
Every single successful trader will have gone through all of the above and if not more.
And every single successful trader will revert back to their plan to get back on track until they are happy and generating profits.
So by focusing on the process it will allow you to:
- Be more in control of your trading
- Not have unrealistic expectations
- Build confidence when trading
- Appreciate your results a lot more
- Realise the world is not going to end after you have a bad run of results
By working on the above you will achieve a very important step when trading – managing your fear.
Trading is a process oriented skill for those who are serious about becoming a consistently profitable trader.
Mastering any skill arrives by taking it step by step whether you are learning how to drive, learning how to swim, fly a plane etc etc.
You must remain unattached from your trading account and reserve all that energy and focus on what you are doing and how you are doing it.