I’m amazed at the number of traders that have an excited, almost euphoric rush in their voice when talking about trading.
When the markets open it’s like they’re entering a casino. With all the noise and excitement of slot machines, roulette tables and flashing lights. An alluring party atmosphere.
Yet let me tell you one cold hard fact about trading. If you view it like a casino or a theme park full of roller coasters and sugar hits, then you’re destined for the scrap heap pretty quickly.
It’s easy to see why people get caught up in the hype. They react to the second-by-second price ticks as stock valuations change and evolve in the blink of an eye.
Yet a strategy based around excitement rather than meticulous planning, will empty your pockets quickly. Leaving you with only enough money to buy a hot dog on the way out!
Here’s the thing. Most experienced and successful traders will tell you that trading is boring. It is a business loaded with structure, discipline and monotonous routine.
This is especially the case for those with a systematic approach. Or End of Day traders who enter positions on the open, lock in stops, then go off to enjoy other life pursuits.
They are not lined up at the theme park ready to go on the Big Dipper. And they are not at the Casino throwing money at a slot machine fingers crossed and living in hope.
Gamblers seek excitement. Professional traders seek consistent profitability. Generally through a well-executed plan that is followed day in and day out without fail. No distractions, no noise, no short-lived adrenaline rushes.
Good trading is boring. The day it became boring for me was the day I stopped the behaviours that were consistently losing me money. There's your holy grail on a platter!
So if you want to be a trader for the long haul, you need to understand that a boring approach is key. Find excitement elsewhere. Your trading account will love you for it.