Successful trading is primarily an internal battle against one's own thoughts and emotions, requiring discipline, a focus on process over chasing opportunities, and learning from inevitable losses.
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If your trading has you questioning
whether you should continue, if you're
struggling, if you're unprofitable, if
you're losing money, if you feel like
quitting, then this video is for you.
Trading is a big you versus you game.
It's an internal battle with the
thoughts that go on in our head. So, for
us to start seeing any success, we have
to conquer the inner dialogue that is
constantly talking in our own minds. And
in this video, I'm going to give you all
a few different quotes that I came up
with. I'm going to break down each
quote. That way, if you implement the
advice I'm going to provide, I'm very
confident you're going to see a major
difference in your trading. The first
quote is you have to go through it to
get through it. Losses, draw down,
losing streaks, frustration,
disappointment, taking bad trades,
feeling like you want to quit. This is
all part of the process. You have to go
through it to get through it. You're not
a bad trader if you're struggling right
now. Every trader when they first
started out has gone through a problem
that made them feel like quitting. The
best traders have to go through it in
order to get through it. This period of
frustration, disappointment, anxiety,
draw down, losses, feeling like you want
to quit is more concerning if you don't
go through that and you skip that stage
because these stages will provide the
greatest foundation and the greatest
lessons that are just going to amplify
your trading results. It doesn't mean
you're a bad trader. We all have this
phase. But the best traders go through
it and when they get through it, they
see a complete difference in their
trading. And this is so crucial for
anybody that is not seeing any light
through the tunnel right now. It's
coming. Focus on the process and know
you have to go through this in order to
get through it. The next quote is that
there are no missed opportunities if we
did not have a plan to trade it. Trading
is not chasing every move. Trading is
not trading the market moving up or down
for the sake of it being open. The
market moving in a direction is not a
valid reason to put a trade on. What
happens is, and this is human nature,
the market's open, numbers are flashing,
colors green, red are on our screens,
and we instantly think we need to act
because we're seeing a lot of movement
in terms of the colors on our charts or
the numbers of our P&L going up and
down. When we stop chasing and we let
the market come to us, this is when
we're going to see the market a lot
clearer. Chasing every move in the
market is just going to create stress.
It's going to create opportunities that
we should not be taking. And I look at
the market as my job is to not catch
every single move. If it's open, my job
is not to trade it. My job is to look
for my opportunities. And when I see an
opportunity, that's when I act. So if
the market moves without me and I did
not have a plan to trade it, that means
I didn't see an opportunity. And when we
compare ourselves to others, we see
other people making money, we look in
other chat rooms, we see it on social
media, then we get this comparison and
we start questioning how come he saw
that opportunity but I didn't.
Everybody's going to define
opportunities different. If we have an
opportunity, we trade it. But I never
look at me missing a move if I did not
have a plan for it. Stop chasing and let
the market come to you. Focus on your
own process and your own system. And
this is going to bring me into my next
point, which knowing when not to trade,
I think, is more important than knowing
when to trade. Because if we know when
not to trade, our setups that we should
be taking are going to stand out.
They're going to be an outlier. They're
going to be more visible. They're going
to be more obvious in front of our
faces. So, knowing when not to trade, in
my opinion, if you can clean up your
trading, and I say I tell members in the
investor trade community this all the
time, is everybody in there has all the
tools, they have all the knowledge, they
have all the lessons to be successful.
They have all the playbooks, they have
my rules set, they have every type of
information needed to have success. But
knowing when not to trade is what will
make the difference. You can have all
the knowledge in the markets. You could
have all the knowledge about the best
systems, the best playbooks, but if
you're taking these irrelevant setups
off of forced trades by you chasing the
market, knowing when not to trade is way
more important than knowing when to
trade. Trying to find the holy grail or
a new trading strategy is not going to
fix any execution issues. Execution
comes from consistently repeating the
same trades over and over again, week by
week, month by month. And that's when
trading gets very boring. It's me
sitting in front of my computers, right?
The market may be moving. Even the day
I'm recording this video, the market
absolutely tanked. And I did not
participate on that market moving down
because I didn't see any setups and I
didn't have any playbooks and I didn't
find opportunity there. But instead, I
waited. It was very boring seeing the
market move down and seeing other
traders make money. But again, never
compare. Never look at other traders.
Focus on your own process. And I waited
and waited and waited and I took a very
late afternoon long setup and catching
the mer the market to the reversal to
the upside as that was part of my
system. My system didn't call for the
market selling off but my system called
for the market bouncing. And yes, I may
have missed a downside move that was
easy money classified by a lot of
traders. But when my setup appeared, I
took it without hesitating because I
didn't chase and I knew this was my
opportunity based off my edge that's
going to give me my positive expectancy
over the long run. This discipline is
crucial. You need to instill this
consciously that you do not need to
trade every single move. You need to
take the trades that are based off your
system. Anything else that is not part
of your system is a trade that you
should not be taking. Knowing when not
to trade is more important than knowing
when to trade. Now, as a trader, we
don't need to be perfect. Our job as
traders is to be imperfectly perfect.
We're not going to catch every single
move from the bottom to the high. We're
not going to get the best price possible
and sell at the highest price possible.
We're going to adjust our plan on the
fly, and that that might not be the
right decision. Or maybe we're going to
sell early to play a little bit more of
a defensive mode, and then the market
does exactly what we want it to do. What
we have control over is following our
plan and managing our risk. And being a
perfect trader means just that. Follow
our plan and manage our risk while
repeating our system. When we try to be
a perfect trader, meaning we try to
catch every move, we try to catch from
the low to the high. We recognize a
mistake and that eats at us and it kills
us and it affects our future trades.
Everything in the market comes down to
repeatability. Repeatability brings
consistency. Consistency is going to
build profitability. So everything comes
down to repeating things. What are
things that we can repeat? We can repeat
following our plan and managing our
risk. And if we do this, we are
classified as a perfect trader. And that
is what we should strive for in being
perfect. Being perfect is not defined by
catching every market's move when it's
moving up or down and trading every
single day. Now, despite us being
perfect by following our plan and
managing our risk, we're still going to
have losses along the way. Losses are
just completely inevitable. Nobody could
avoid them. In fact, I lose more than I
win. Yet, I still come out green. Now, I
look at the market as a loss isn't a
failure if we learn something from that.
Losses will be the greatest wins. It may
not be a monetary win losing money, but
it'll be a greatest win because losses
provide feedback. If it wasn't for my
losses, I wouldn't know what not to do.
If it wasn't for me blowing up accounts
when I first started, if it wasn't for
me losing when market conditions change,
I wouldn't know how to adjust and adapt
properly. Losses, you can consider
tuition, but losses also provide
feedback that will provide wins in the
future if we can use them as an
information piece to adjust and adapt
properly. Maybe I'm not adjusting proper
to market conditions. Maybe my stop
losses are too tight. Well, I take a
setup, I lose on it, and that loss just
now made me realize that I need to have
wider stop losses. I'm just spitting out
a random example here. Losses provide
feedback. The issue here is that after a
loss, traders shut down. They take a
loss, they take two losses, and they go
completely emotional. They shut down
their computer, they slam their desk.
How many of you have ever gone through
this? You slam your desk, you slam your
door when you walk out of the office.
That frustration builds and it never
enables us to learn from our losses. The
greatest traders can look at their
losses and say, "All right, this is
where I messed up. This is where I need
to improve on." Losses provide data.
Losses provide information. The best
traders become very good losers. The
best winners have to become really good
losers. And if you can take a loss,
learn from it, right? I losses stink.
Nobody likes taking them. But if I
followed my system and I followed my
plan and I managed my risk properly, as
as easy it is for me to say it sucks
losing, but you enjoy losing a little
better when you follow your plan and you
manage your risk properly because you
know it's inevitable. You know every
trade you're going to take is not always
going to be a win. So when you have the
system and you follow it and you take a
loss from it, it helps make losing
become a little easier, I guess you
could say. versus if I act emotionally
when I enter without a plan and I lose
on it, that's the most frustrating loss.
So losses are part of the game. They
don't define you. But how you build from
your losses, it's going to make a
complete difference in your trading. A
loss only becomes a failure if you don't
learn from it. A loss could be a win if
you take an important lesson out of it.
Trading can change your life if you
stick with it and you never give up when
things get tough. It's an emotional
battle. There's still some days to this
day where I get very emotional. I get
very frustrated in my own decisions. And
the best traders will never give up.
Just know that the possibilities are
endless. The opportunities are infinite.
There's so many opportunities that can
come from the market. It changed my life
and I'm very confident it could change
your life. Never compare yourself. Focus
on your own process and your own journey
and never compare. It is a skill that we
will never master. We will only just get
better at. I get better week after week,
month after month, year after year. I
never consider myself making it or I
never consider myself, you know, to to
master this profession. It's a constant
journey of self-improvement. It's a
constant journey of oneupping ourselves
and it's a constant journey of adapting,
tweaking, and adjusting. Just know that
the possibilities are endless. And when
you want to give up, that means you are
very close to your breakthrough. Never
give up. Never throw in the towel. Just
use it to wipe your sweat off. When
things get tough, when you get
frustrated, when you get angry and you
start sweating and you start fearing or
questioning your ability to make this as
a trader, take the towel, never throw it
in. Just use it to wipe the sweat off
and focus on the process. The
possibilities are endless. Again, it
changed my life. I'm very confident
everybody watching this has the ability.
you have the knowledge and you have all
the resources to be successful and take
money out of the markets on a consistent
basis. If you liked this video, kind of
just like a raw talk of me just spitting
out whatever comes to my mind, let me
know in the comments. Drop a like on
this video if you learned anything and
check out the links in the description
of this video. But other than that, I'm
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