Trading might be fun. Trading might be a hobby. Trading might be entertaining. But whatever else it is remember this: trading is not a game. The money that can be won and lost when trading is very much real, which is why this business – because ultimately that’s what trading is – needs to be taken seriously. Here’s how to make sure that sticks in your mind.
Everyone who works from home, as most traders do, really needs their own office workspace. Trading from the kitchen table isn’t going to be comfortable for long, and neither is trading from bed (as much as the idea might appeal). Therefore, you need to find your own space to work from. Set up a desk where you can place your laptop (which ideally should be solely dedicated to trading). Make sure it’s comfortable, so get a good chair too. Separate your working (trading) life from your home and personal life, and you’ll be much more successful because you’ll be trading like you’re a business. After all, trading is not a game, so being professional makes all the difference.
Once your office is ready, you need to work out a trading plan since trading is not a game and needs to be taken extremely seriously. Research the different strategies until you find one that suits your working methods and needs, and then learn everything you can about it. Before you even think about beginning to trade you need to be the master of the Forex trading strategy. Once that’s done, you can begin to formulate your own trading plan. Many traders just jump right in there and get trading without a plan, but because trading is not a game and is a serious business, having a plan is the best way to prevent yourself from losing money – you wouldn’t start a business without a business plan, so don’t start trading without one either.
Spending some time each day in a quiet place (your office, ideally) in order to analyse the markets and get a sense of what’s happening is something else that you must do when you realise that trading is not a game. It means you can keep on top of what’s happening in the world, and it can give you a heads up when it comes down to your decision to trade or not that day. Try to spend at least 15 minutes a day checking the markets; this will give you a great inside view of how it’s all working until trading becomes second nature.
Would you get emotional in a business meeting? Would you get emotional when discussing a business deal? We don’t think so. And because trading is not a game but a business, you shouldn’t get emotional when trading either. In fact, getting emotional can cause you to make unwise choices, and potentially lose a lot of money. Keep focused, keep calm, and keep trading.