Trading Discipline – The Art of Success

Trading Discipline

One of the hardest challenges that faces any trader is the art of staying disciplined.

 

This seemingly simple rule can be one of the most confusing and complex trait a winning trader will need to learn.

 

You see, trading discipline can be somewhat contradictory.

 

You may need the trading discipline to do nothing most of the time. Or the trading discipline to only do something once every day or any set number of times in a day or month.

 

If actually buying stock in a company, do you have the discipline to hold on to the stock for years no questions asked? Or drop it instantly and accept a loss if it starts losing money?

 

All the above scenarios are quite realistic, they are also all quite different… and all require cast iron discipline.

 

It makes little difference what style of trader you are or are trying to become; the winning traders all have the same thing in common… discipline.

 

I have seen many traders move from one type of trading system to another and another without learning the fundamentals of how to trade profitably at any time during their trading experience.

 

If I could give any advice to new traders, it is without a doubt to learn to do the same thing that works over and over again and compound profits as you go.

 

Trading Discipline  

Every trading system will have a set of rules that are designed to give you an edge in selecting a winning trade.

Once a trade is selected and opened, then the rest of the profitability is done by waiting, and compounding the results, not by using the system.

 

The system that you are using to give you an edge actually has very little to do with your wealth after that initial use [selecting and opening a trade].

 

So therefore, time and discipline are actually greater components to winning at trading than actually finding a winning trading system.

 

Vince Stanzione

 

Vince Stanzione is far wealthier than most of us, but he is not far more intelligent or talented.

 

The saying “nothing is more common than unsuccessful men with talent”. therefore, holds some truth.

 

There are obviously many more talented men than Vince, but certainly not richer.

 

So how did Vince Stanzione manage to make so much more money than far more intelligent men? Vince just found something that worked most of the time he used it and done it over and over again. He then compounded his profits over time. It is as beautiful as it is simple.

 

All that Vince had to do after finding a formula was stay disciplined in its use.

 

Most People Quit to Soon.

 

trading systemMost people that start a business of any description quit before they are ahead. They don’t understand that profit and loss doesn’t happen in straight lines up or down.

 

When I first started trying to make money on ebay, I started out with £100 worth of stock. I forget how many units I actually had but my product was teeth whitening kits. I didn’t start it with enough money to get a big discount and I was actually losing money in the beginning.

But even though this may have looked grim to others, I kept going. I persisted because I could see the possibilities.

 

“Nothing in this world can take the place of persistence. Talent will not: nothing is more common than unsuccessful men with talent. Genius will not; unrewarded genius is almost a proverb. Education will not: the world is full of educated derelicts. Persistence and determination alone are omnipotent”.

Calvin Coolidge

 

Roll on 18 months and that £100 was over £30,000 turnover. The secret to that income? I didn’t quit in the beginning, even though it wasn’t profitable.

 

When I did start to make the smallest of profits, I then reinvested those profits and bought more stock. Stock that I could now buy cheaper.

 

Nothing remotely complex to the results, and I’m know more intelligent than the next person.

 

It is this up and down, ebb and flow, in any business but especially trading that tends to destroy traders crossing the bridge into profit.

 

These videos by Peter Webb from Bet Angel explain the concept brilliantly.

So in conclusion, don’t quit to soon, compound your profits over time and the slightest of edge can turn into something spectacular.

Trading Bank Size Binary Options

I have had a lot of emails regarding trading bank size needed for trading binary markets.

You do NOT need a big bank to start making money from trading on binary.com

Yesterday I had the briefest of opportunities to trade using one of the strategies from my course.

It is designed to make the most points profit possible with the smallest of banks. It is also designed for those that wish to be actively trading throughout the day.

I used £5 stakes in this example over the space of 25 minutes.

Trading Bank Size Binary Options

Trading Bank Size Binary Options

As you can see, just using £5 stakes I managed to make 5 winning trades on the trot.

If you were using a conservative 5% of your bank to trade, then all you’d need is £100 to get started.

This is what can make binary options a great way to test if trading financials may be your thing.

You have the opportunity to get involved in the markets but also limit your risk drastically and also your start-up capital. This type of approach to trading can really be a great stepping stone for new traders.

There is no point starting to trade binary options with £2000 even if you feel you can afford it. If you are going to make mistakes why lose £100 when you can limit it to £5, especially while you are learning the ropes?

Even though it is very easy to trade binary options, you will more than likely make the odd error here and there. That’s normal and to be expected. But realistically, if you can make 10% on your bank every day, even with the odd slip up here and there, you are doing very well.

Using the above results, I could more than double my £100 starting bank in a week. From there you can just aim to reach a level where you can withdraw winnings daily or weekly.

Keep it simple… start small and learn well.

You can read more about my binary trading system here.

 

Day Trading Course Launch

day trading course

Day Trading Course

My day trading course launched last night. I have been really excited [and a bit nervous] about it… but it has gone down really well.

The system is really easy to use. There are no complicated chart features or long winded tutorials.

There is however a really thorough guide with lots of trading examples and videos that will help you learn to trade profitably.

As I have already mentioned in previous posts, my system uses fixed odds binary bets. This means that you know exactly how much you stand to win or lose. There are no scary price movements that can leave you with an empty bank.

Also, you really don’t need a big bank to start trading. £100 can see you learn and profit as you go… and within no time you can be making a couple of £50 trades a day.

day trading binary system

There are no dodgy staking plans either. Level stakes works great.

You don’t need any expensive charting packages to trade my system. The free charts at binary or IG are fine.

All you need to do is follow the rules that the system gives you and stay disciplined.

I know it sounds easy… but it is, and that’s the idea. Don’t think that because it is easy that it is not profitable though… You’d be totally mistaken.

Thanks…

In saying all this, I couldn’t have created such a great course without my partner… He has really helped me stay confident… not about trading or the quality of the course… rather he helped me believe that I could indeed help others to learn how to trade.

As well as doing the videos, hours of discussing the traders v gamblers mind-set and spotting areas that needed addressing to help day traders win long term.

You can read more about my new day trading course here.

Or you can order here

Why I don’t like doing Trading Videos

Trading Videos

Trading Videos

I’m often asked why I don’t do more trading videos. The truth is that I had a bad experience when doing them and that sort of put me off.

I enjoy running the blog and doing the updates, but when I first started doing videos I had some weird guy leaving comments like “another slag trying her hand at internet marketing” and all sorts of other BS. That is one of the main reasons don’t do more trading videos.

Another reason is that I’m not actively trying to market and sell anything. If I had been over these last 6 years then maybe I’d have thought about giving it another go.

And another thing that puts me off doing videos even more; truth is I hate seeing myself on video and even hearing myself. It’s just not my thing. I cringe at it.

Video’s for My New Day Trading Course

My partner has camtasia studio, and he is doing some video’s for my new course. He doesn’t mind doing them like I do but always moans that he sounds, er… different… LOL… he actually says he sounds like something else… I’m sure you can imagine.

Anyway, I will do some of the video’s for the course as they are going to be for members only.

Some of the other videos that we are doing just have captions added to them. They actually work really well. And as the objective is to teach you how to trade, I am happy to use them as they are clear and will indeed help.

The course and website content will be ready in the next couple of days and it will launch on the 27th February.

If you are on my email list then you will get a notification with a discount code or button that will save you £50.

Pay for Trading Charts? Do You Need to?

do you pay for trading charts

Pay for Trading Charts?

Do you need to pay for trading charts? I get asked that a lot.

I do and it suits me. But you really do not need to pay for charting packages… especially when you are starting out.

As I have been writing the final draft of my new trading system, I realised how good some of the free charts out there really are. A lot of the images I have used in the course are from my sharepad subscription.

Even though I explain in the course where and how to use the free options available, I thought I’d write a post and give you the heads up of my favourite free charts.

pay for trading charts

IG Charting

I’ve never really used them before I started looking into day trading. But over the last few months I have used them a lot. In fact, for day trading I prefer them to share paid which is £50 a month.

The reasons for this are numerous actually.

  • They are very easy to use, even easier than sharepad.
  • You can change the candle time frames in an instant from the toolbar.
  • You can scroll in using your mouse or pad on your MacBook.
  • Obviously, you can place your trade directly if you are using IG to trade.
  • You can set better alerts, far easier on the IG platform. This is a huge bonus… You can realistically trade on the move.
  • They are free to use even if your account isn’t funded [apparently] I can’t remember if that was the case or not when I opened my account, but that’s what they claim.

Why I like IG charts

I really like the way that you can change the time frame of the candles directly from the trading screen. This is better than having a drop down menu.

Also being able to zoom in to areas of the chart by using your mouse is a big plus. This saves the hassle of having to reset the zoom all the time like you have to on sharepad.

You can also drag the chart. This is useful too if you need to look back at history, trends and patterns.

For me though, the biggest benefit from using them is the alerts that you can set.

You set your alerts when you login to the platform, download the app and get notified to your smart phone and email when your signals are hit.

This saves you from the need to be at your PC or laptop for hours and hours trading… unless you want to be of course…

Trying to do this on sharepad is a complete pain… if not nigh on impossible for a beginner to work out.

Each to their own though, and use whatever charting package you are happy using is all that counts.

But all considered, you won’t get much better than IG free charts, and all you have to do is create an account to use them.

 

Why New Traders Fail so Often

Why new traders fail so often

A common problem when it comes down to making money trading is that new traders find it hard to understand the concept of trading at all. They are ill prepared and ill informed… this is the start of why new traders fail so often.

It’s understandable really, if you consider the high octane films about trading and the way the press draw the picture of professional traders ,it’s no wonder that new traders are delusional.

Why New Traders Fail

New traders think that the royal road to riches as a trader is multi screen set ups, intense trading sessions, Ferrari’s and hookers… OK forget the Ferrari’s. But seriously, many new traders want to be the Wolf of Wall Street.

Trading just isn’t like that at all in reality.

If you are new to trading then I can safely say this, nothing changes the day you start trading.

There’s no transition to a new you. You will not become Wolfy overnight.

You see, once you do become a success at trading and you make consistent money, you’ll hit a limit. The limit is how much of the ebb and flow of money won and lost you can handle.

How Much Can You Handle?

You wont make millions a year trading £2 a point… but you might do trading £100 a point. The reality check will come way before that £100 a point stake though. At some stage and often way before even £20 a point you’ll reach your trading threshold.

You might be able to stomach losing £3000 in a day when the Dow turns against you, but can you handle losing £30000? Can you even imagine it?

Most traders never get off the ground because they lose money from the start and don’t like it. I mean, who does? But they just can’t deal with it.

They lose money because the system the were using didn’t work. It had nothing to do with them staking to much, not following the rules or not closing a losing trade.

why new traders fail

More often than not, new traders lose their confidence. They didn’t cut their losses soon enough and then hoped that their losing trade was going to turn round… It didn’t, so they take a bigger loss to stop the unbearable pain… pain that is being caused by watching their money getting mercilessly wiped out of their accounts and straight into someone else’s.

After the pain stops, and their wounds all but healed… they are left frightened to lose again. Now their trading bank is running on scarred money. It’s all but over for many.

These are just some of the common reasons new traders fail so often.

What Winning Traders Have

Many traders that make it to the absolute top have a hidden weapon… this is that they have built up their wealth from a standstill and compounded everything they made, they have discipline, unwavering courage and the knowing that they will come out on top.

These weapons combine and make one awesome weapon… the awesome weapon is a winner… or in our story, a trader with a winning attitude and system.

The fact that only 6% of traders make any money now seems reasonable, it’s a tough mental challenge to boot is trading.

But the 6% doesn’t tell the full story. Some of those 6% might make £10 a year whilst a few others make millions. Apparently only 1% make big money.

It’s a dog eat dog game is trading.

But You Can Do It

I’m going to try and address these issues that losing traders have in my new trading system.

As much as I’ll be teaching you a system that makes money, I’ll teach you the truths about you and your mentality as a trader. And I’ll point out the things not to do and what you should do along the way. This will hopefully help you master trading, fixed odds and spread betting.

One of the key areas to becoming a success at trading is starting small, with small banks. You then build the bank by doing the same thing that works, over and over again.

It’s not rocket science but it sure makes trading easier. Do what works, again and again

Here’s a video about trading binary options. You can start small with binary options, a £100 or so is all you need.

You can then reinvest profits into longer term trades over at IG Index. Plus you get a wider range of markets to trade at IG so you can spread your risk.

Binary Trading

Binary trading

If you have never tried or considered Binary Trading, then maybe it’s about time you should… but you need to take some caution before you get started.

Binary trading offers a great opportunity to start trading with smaller starting banks and the ability to know exactly how much you stand to win or lose.

Plus, you have access to a great range of currencies, indices and now even individual shares to trade. It’s also very easy to open an account.

Binary Trading Systems

I have mentioned that I have been working diligently over the last 18 months or so trying to find a day trading system that worked that I could offer to my blog readers.

This was a painful and time consuming experience.

All the systems that I reviewed and looked into, had some sort of unreasonable trading condition that I was not keen on.

These conditions ranged from the price of the system and ludicrous staking plans to huge starting banks and just utter garbage… Oh, and everything else in the middle.

Another thing that I often thought was that many of these systems had been designed by marketers or by the binary options companies themselves.

Call me paranoid if you like, but there’s a good reason that this might have been the case in some instances.

Binary trading is worth Billions… and it is not regulated like other trading and betting platforms.

This means that it is and can be open to manipulation. I don’t mean in the movement of prices though. Rather more like how the operators get new clients to their websites.

Binary companies know the profitability in creating “how to guides” to sell and profit from. But they [binary companies] create products with all the whistles, sales pages, bonuses and so on and then give the systems away. Obviously then they can direct buyers of their systems/products to their own websites to start trading.

Regardless of whether the systems they are offering made money long term or not, the whole process is win win for them.

Once customers are on there site testing things out, the money’s in the bank for the binary operators.

I am 100% sure I have seen this going on.

Everything Considered

When considering these issues, it seemed reasonable to approach this conundrum by creating a system from scratch that could then be traded via binary options with a reputable and trusted operator.

This is what I have done.

Profitable Trading Systems

As you will know from reading the blog, I have only ever recommended products to you that I have tested myself with real money.

These have been, Vince Stanzione’s Trading Course, Bonus bagging and Little acorns.

That is all I have recommended to you in over 6 years of blogging. But… all of those systems and courses have proven to be profitable long term.

As you can see, I have been very selective.

Binary trading system

My Binary Trading System

I must say that I’m very proud of the system that I have created. It is incredibly simple to use and amazingly accurate. You can start trading with £50 or £100 and its also pretty stress free… in fact there is really no stress at all in trading my system.

I’ll be keeping you posted of the launch date and soon I’ll add some screen shots and stats to the blog to show you what’s possible.

All readers of the blog will get a huge discount off the purchase price. So make sure that you are on the mailing list as you wont get the discount otherwise. I will only run the discount for a couple of weeks and then put the price up to normal.

Until then, open a binary account and get used to the concept of trading binary options. I am totally recommending Binary.com they can be trusted and I know that they are owned by trusted sources.

You can set up a demo account to get an idea of how it all works. It’s all very simple though.

Subscription Service

I have also considered not selling the actual binary trading system and then just sending alerts via a subscription service.

This may be an option, as then it reduces errors that you could make, but also the amount of time I may need to be giving support.

Another thing is that if I offer an alert service you can then just log straight into to your binary account and make the trade… if you have a smart phone or mobile device you can trade on the go.