- Trading is a skill that will require time to develop and with proper planning, discipline, and self-control in trading, you can become a profitable trader for over a long period of time.
- Sometimes, as a trader, you might feel the need to be able to control the market.
- You might sometimes be even doing so without being aware of it.
- This will put your money at risk, and you will end up feeling frustrated and confused.
- To be able to control your trading and your trading mindset, you will have to have a full control on the market.
- As a trader, we trade against some of the sharpest minds in the world, and our possibility of winning is also higher when we are trading with a certain plan.
- We will also do our best to fight against some of the sharpest minds in the world, but we cannot control the factors during this battle; we can only control ourselves.
- Self-control is often considered one of the most important factors in trading as well as in our lives.
- We will have no control over what others think and do.
- All we can do is work on ourselves and adopt good habits that will make us stand apart from the crowd.
- But for this, we will have to be comfortable with the things that are not in our control.
- For some of the traders, this will take a lot of months or even years.
- This mistake will also cost them a lot of money.
Where do you consider yourself in the overall market scenario?
- At any point in time, the market will get affected by thousands of variables.
- There is a lot of information coming in every moment from sources such as economic news releases, as well as traders who are sharing their opinions about the stock market.
- One can never have a huge amount of data, and it is also manually impossible to understand all of it at the same time.
- Analyzing all these factors and trading as per them is quite an impossible thing.
- The only way by which you can trade in the market is by analyzing the behavior of the price.
- A technique that is used to study the behavior of the price is called price action.
- You should understand that there are thousands of traders who are competing with each other, and everyone will just want to be profitable.
- You will not be able to control the market and the competitors in the same.
- Trying to control them is of no use, as they will not know and care about you.
- Thus, the stock market is a place where you will be rewarded when you are right, and you will be punished when you go against the market.
- While we are trading, our primary focus should be to execute our trading plan with an edge and also try to maintain the discipline as much as we can.
- Also, you need to keep in mind that you are only responsible for your profits as well as your losses, and so you are supposed to have self-control in trading.
- Also, you should not waste your time and energy in controlling the things that are not in our control.
Out of all the things, there is only one thing in the market that the traders will have under their control, and that is themselves
- We as human beings are very bad at maintaining self-discipline and self-control, as these are the most difficult things to control.
- As it is very difficult to control themselves, they will tend to control others, and this will make them feel better and will also give them some sort of authority.
- The same thing will take place in trading.
- But here, instead of controlling another person, they will try to control the market, which is not possible and can do much more harm to their trading account.
- While trading, traders will have a constant fear of losing money and when they will start to lose money, they will start to control the market by over-trading or by risking off more money or by moving their targets and stop-losses, etc.
- By doing all these, they think that they have controlled the market, but as soon as the market gives the move against their expectation, they will end up getting frustrated.
Fail to plan or you are planning to fail
- The first step to avoid trying to control the market is to know whether you are doing it.
- If you are losing money, then it is the first sign that you are trying to control the market.
- To be able to become a profitable trader, you will have to be in control of yourself rather than just trying to control the market.
- The next step is to make a trading plan when you are not in front of the charts or not in a live market.
- Once you make your trading plan, it will help you to stay disciplined and in control of yourself.
- Every trader is supposed to make a trading plan every time, so that a trader will not end up doing stupid things while taking a trade.
Things that we can control in trading
Apart from the market, several things are in the control of the trader.
Some of the main things are as follows:
Conclusion
Stock market is an ocean of opportunities and you will have to decide whether you are going to be self-controlled and try to trade with a plan or you are just trying to control the market by risking off more money.
Frequently Asked Questions
Q1) How to improve discipline in trading?
You can improve discipline in trading by having and sticking to a trading plan.
Q2) How do you control yourself in trading?
You can control yourself in trading by making yourself accountable for every trade.
Q3) What is the golden rule in trading?
Never lose money is the golden rule in trading.
Q4) Who is the biggest trader in India?
Radhakrishnan Damani is the biggest trader in India.
Q5) What is the psychology of a good trader?
Control their emotions rather than letting the emotions control them.
About Us
Nifty Trading Academy is our academy where we teach you about the stock market as well as technical analysis. We also provide live trading sessions and upload blogs for the same.