Experienced vs Beginner Traders - Find Your Independence
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Experienced vs Beginner Traders

Successful traders will stay with winning positions and avoid taking profits too quickly. The best way to learn this discipline and patience is to think through a trade thoroughly before putting it on.
You need to plan your strategies for various possible outcomes. That way, you won’t get influenced by every news item or sudden move that hits the market.

It also helps if you have a target objective that you have planned carefully. You combine that planned target objective with a protective stop that you move as the position goes your way.

Alternatively, you could use a trend-following system to signal when you should get out of the trade with a trailing stop loss instead of taking an outright target. By having thought out your trade objective and having a strategy for getting out in case the market trend changes, you greatly increase the potential for staying in your winning positions longer.

Many new traders over-trade, getting in and out of trades too frequently, which means that they must be right a lot just to cover trading costs.

The most important is discipline— Second, you must have patience; if you have a good trade on, you have to be able to stay with it. Third, you need the courage to go into the market, and courage comes from adequate capital. Fourth, you must have a willingness to lose; that is also related to adequate capital. Fifth, you need a strong desire to win.

You should have the attitude that if a trade loses, you can handle it without any problem and come back to do the next trade without any fear or hesitation. You can’t let a losing trade get to you emotionally.

When you are starting out as a new trader, it is very important not to get too far behind, losing too much money, because it is very difficult to fight back. Most traders tend to take too much risk in the beginning. They are not selective enough when looking for trades.

When playing poker, it is not wise to just play every hand and stay through every card, because if you do, you will have a much higher probability of losing. You should play the good hands and drop out of the poor hands quickly.
If you apply the same principles of poker to your trading, it increases your odds of success. Always try to keep the principle of patience in mind by waiting for the correct trade. If a trade doesn’t look right, you get out and take a small loss, like dropping a poor hand in poker.

On the other hand, when the probabilities seem to be strongly in your favour, you should be aggressive and hold on for dear life.

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