Sunday, November 21, 2010

Young Passion

Or, Passion for trading in the younger generation. Shabsaf says "If some have passion in any work, he can make money (little or more) but they wouldn’t have to lost any money what they earned." 

Gourav has answered the question of how to keep your passion without losing money "For last many months I havent taken a singl trade but still keping trake as if I have a position in the market.I am not trading because of insufficient funds however guding my friends in trading the NIFTY and i becaome very happy when they make money in my suggestion"

Shabsaf has a fair point. We must have a passion that is sustainable.

Traders can survive only if they do not lose money. We lose money because of indisciplined trading. If we face a loss we may well end up getting out of trading. Therefore, any new trader should have capital preservation as the main, primary objective. Trade in small volumes. Do not increase your volume in your initial years in this buisness.

An equally important point is to maintain consistency in our trading approach. Have a set of rules, then follow the rules. This is much more difficult than not losing money. If you are consistent, you are actually going to make money, even in the starting period as a trader. For example, if you trade using MACD, just use MACD. Remember, with every method, you have to add the examination of price charts. But, please be consistent.

2 comments:

Ketal Master said...

Very true advise. Three years of trading experience has taught me only one thing is descipline and consistancy with prserverance of capitol.

shabsaif said...

Gourav said “For last many months I haven’t taken a single trade……however guiding my friends in trading the NIFTY. I become very happy when they (Friends) make money in my suggestion". Exactly my point was the sources ( Internet , Electronics Media,) are very happy because they are making money by guiding traders, and they don’t have any fear to lose money. I also observed that some one only predicting market with some stop lose, always happy, there prediction also good many times. But who trade, there hard earned money (Or money gain from trading) and time involved in process, some time they gain, some time they lost. Total difference (Gain-lost) and period is very important. In film Munna Bhai MBBS, professor said “If I operate my daughter, my hand will shake….