Imagine that you have easy to understand and use system. You will spend no more than half of the month on the market, and in that time you will earn enough not only to cover your monthly expenses but you will also be able to put more capital into further trades and into increasing positions. You spend up to 2 weeks a month trading. The rest of the time you can use whatever you want eg. relaxation, visiting the family and friend, what you are interested in…
The majority of novice traders who I have met want to learn the system which will allow them to make money as soon as possible. The best very quickly and very much. BUT instead of reaching their goal, they become capital providers to the market. This is because of this approach.
I want you to realize that there is a whole industry: books, system providers, analysts, media – which knows how to allure the novice to the market and take money from them. To do this, they use simple tricks – they aim at your greed: “you can earn a lot of money, very quick, here is a recipe, here is a magical indicator, fantastic system which will make you rich very quickly, Holy Grail”… and so on.
I will talk more about this next time. Now I want you to realize that novice traders are being allured into a trap by the fact that someone used the way their mind sets the goals to manipulate them.
Today we will use a similar mechanism of mind but for a completely different purpose.
We have started this lesson by describing the perfect situation. It may surprise you, but it is the right and “the only right” approach! For me, it is a starting point to explain you what system you need. It is very important – by this you will become very resistant to primitive manipulations.
Let’s break it down:
You work two weeks a month, which gives you 10 trading days, the rest you allocate for the other activates.
Your total monthly costs are… (X)
Let’s assume you want to “make your living” which means to cover monthly costs but also save some money and increase your trading capital (X).
So, by simple calculation we learn, that you should monthly gain from the market (W): W = X + Y
Consider now, how much for you is ‘X’ and ‘Y’? That will be a subject of today`s task at the end of the lesson.
The amount of the money marked as ‘W’ will be our reference point: you need a system that will give you exactly
‘W’ or more per month. You need the system which will allow you to do it within 10 trading days or less (as we planned).
Let`s continue:10 trading days can be done 20-30 transactions (at max). 3 transactions per day is really a lot! It is important that they are good, well prepared – then they have a chance to bring you the expected result. No matter what the system, probably/average 10-12 of them will be profitable, the rest will be lost or come to break even or close to it. Most of traders after making this simple calculations:
- change the way of seeing their system, change the perspective, it means that they start to see the system as what it should be: a good tool for achieving their own goals.
- They calm down, know what they looking for and know that have the basis for creating a realistic plan for achieving their goals.
- They are less susceptible to primitive manipulations derived from greed – to which we are susceptible until we are grownups.
- The basis for changing the look of profits – as a necessary result of actions and looses – as non-removable effect of the system.
Get even more from this!
This is a small excerpt taken from one of the lessons of the comprehensive trader training course "Lessons from Forex Market Masters".
- You will learn what makes up a successful trading in the context of key factors: system, discipline, decision-making.
- You will find out how Best Traders, Market Master, International Champion, World Trade Masters think and make their trading decisions.
- You can learn techniques and methods of working with your psyche, building self-confidence and professionalism as a trader.
- The course will help you focus on the best paying setups.
- During the course you can develop self-discipline and self-insight that are essential to long-term profitability.
- You will learn some tested exercises to control your emotions and stress levels. If you have ever made an ill-informed decision under the influence of emotion or stress, then imagine that after this course you will achieve unparalleled levels of self-control in the most difficult trading and life situations.