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5 Reasons why others trade VS why I tradeIn the last 20 years, I always love asking this one question. “Why do you want to trade?” Have you ever written down the reasons why you want to become a trader and what your true motivations are? When you answer this question, only then you’ll become more clear with the goals you wish to achieve and how to achieve them. Here’s one clichéd answer, I don’t want you to write down… “I want to make money”. This answer is lazy, impersonal and it tells you and me nothing about who you are truly, deeply and emotionally. If you think trading only teaches you one aspect of your life… I believe your eyes are still yet to be opened with the incredible possibilities that trading will bring you. And so, in this article I’m going to share a few reasons for why people want to trade. And then, I’ll share a few reasons why I trade… Here are 5 reasons why people want to trade… Reason #1: Diversification “I want to diverse my portfolio with different asset classes. This way I can produce a stream of income through long-term investing via stocks and property, short term trading with Premium MATI Trader and medium term investing through index ETFs.” Reason #2: Hobby “I have spare time and money. And what better way than to spend my time trading and making an extra income while doing something I love?” Reason #3: Monetizing my ‘down-time’ “I’ve earned the same income for the last seven years and now I want to earn an extra income during my off-hours too. For the first time in my life, trading has helped me make money while I’m watching Netflix and spending time with my wife”. Reason #4: Invest for my family and kids “Most people depend on portfolio managers and hedge funds to invest their money for their family. I’ve decided to trade the funds I have for my kids instead and take control of the growth of their inheritance through trading.” Reason #5: Keeps me sharp and well-informed “Trading might not be making me super rich yet, but I got to tell you this. It is keeping my brain sharp, well-informed and helps with my skills with decision making.” These are some of the reasons I’ve heard, which have stuck. Now I want to share with you five extra reasons why I trade… 5 Reasons why I trade! My reason #1: FREEDOM – Earn your own income when you want I want the freedom to trade and build an income stream on my own terms, times and conditions. My reason #2: Independence – Be your own boss Trading gives me the platform where I am responsible for my own trading results. This gives me full independence where I take pride with my own financial decisions. It gives me the place where I can grow my portfolio in a way that suits my personality and risk profile to a T. My reason #3: Extremely fun – New career Trading is not a job… This means, you don’t have to do it… But rather it’s an extremely productive and fun hobby to make your free time work for you. This hobby is not like sports or gym where your reward is more on the physical side. Trading is where you gain many different mental skills and bank a consistent income once you get it right. My reason #4: Mind control – Control your emotions Trading well means you have to lose at times. and when you do, you need to be able to cut out the ego and ‘baby tantrum throwing side’ away. You learn to grow up, develop a thicker skin and become a mature trader. This is one of the greatest benefits to learning to trade. It gets to the point where, after you’ve taken hundreds of trades, whether you take a loss or bank a profit, you’ll stay content. You embrace failure with open arms, because you know that it’s one step towards winning. My reason #5: Life skills – You learn risk, rewards and probabilities Once you have mastered the four elements to trading success (Markets, Methods, Money and Mind) you develop a very strong understanding of concepts like: Risk & reward management and probabilities. This won’t only apply to trading but to almost every aspect in your life. You start taking accountability of events into your life. Predictions turn into probabilities. Risk evolves into calculated acceptance. And you start to see things as they are, rather than what you want them to be… SO WHY DO YOU WANT TO TRADE?
JSE:J200Education
by Timonrosso
1
20 Checklist Items in 2023 for YOUR TradingI wish you all the health and happiness, this year has to offer. To kick you off this year on a strong note, I’ve prepared a quick 20 item checklist which you can use for your trading. Save this as a guide for 2023. Let’s go… 1. Save and deposit a portion of your money every month, into your trading account to grow it faster. 2. Cut down on social media and save 15 minutes of no distractions a day to trade. 3. Re-look and evaluate your watchlist, which fits your strategy. 4. Don’t let the news, your friends or anyone interfere with your trading signals. 5. Never extend your stop loss in a trade where you can lose more money. 6. Be more mindful and accept when market trends change. 7. Never miss a trading idea that lines up according to your strategy 8. Celebrate taking each trade that lines up according to your proven strategy. 9. Ask trading questions so you’re never left in wonder. 10. Journal and jot down every trade that comes your way to build your trading track record. 11. Screenshot and save every trading setup, to remind you on how your strategy works live. 12. Find the best time that suits your trading personality and system. 13. Stop overthinking everything, once you’re in your trade. Let it be. 14. Watch every reputable trading stream and lesson on TradingView you can, to boost your knowledge. 15. Don’t fall for scams, get-rich-quick schemes and sensationalised marketing copy or posts on social media. 16. Trust and enjoy the process, week by week. 17. Persist and persevere through your own trading time-line and don’t compare yourself to others. 18. Only take trades when your trading strategy gives you signals 19. Only do what you love and love what you do – don’t waste your time on anything else. 20. Remember to say this when you’re feeling down. “YOU CAN ONLY GET BETTER”. I trust these resolutions will help you through the year.
JSE:J200Education
by Timonrosso
53 Important Trading Acronyms and AbbreviationsHere are 53 trading acronyms and abbreviations to remember and apply to your trading. I’ve also listed them in alphabetical order to make it easier to spot! ATH - All Time High ATM – At the Money ATR – Average True Range BB – Bollinger Bands B/O - Breakout Be - Bearish BE - Break even BOS - Break of Structure Bu - Bullish CFD – Contract for Difference DD – Drawdown DMA – Direct Market Access EMA – Exponential Moving Average E/R - Earnings Report ETF – Exchange Traded Fund FA - Fundamental Analysis FOMC – Federal Open Market Committee FOK – Fill Or Kill FX – Foreign Exchange (Forex) GTC – Good ‘Til Cancelled HH - Higher High HL - Higher Low HOD - High of Day HFT – High Frequency Trading HTF - Higher Time Frame ICO – Initial Coin Offering IPO – Initial Public Offering ITM – In the Money JBTD – Just Buy the Dip LH - Lower High LL - Lower Low LOD - Low of Day L/S – Long or Short LTF - Lower Time Frame MA – Moving Average MACD – Moving Average Convergence Divergence MS - Market Structure OI – Open Interest O/N - Overnight OTC – Over the Counter OTM – Out The Money NFP - Non Farm Payrolls P&L – Profit and Loss PIP – Percentage In Point PRE - Pre Market R/R - Risk / Reward RSI – Relative Strength Index S/R - Support and Resistance SL - Stop loss TA - Technical analysis TF - Time Frame TP - Take profit YTD - Year To Date Can you think of anymore? Let me know in the comments. Trade well, live free. Timon (Financial trader since 2003)
JSE:J200Education
by Timonrosso
1
Don't lose a part of yourself when taking a lossLosing a part of yourself with a loss is a common experience for many traders. When you're in a trade it's easy to get caught up with emotions. When it's going your way, you almost feel like you've banked a winner. When it's going against you it feels like you're a failure and have lost already. You got to work on it and stop both feelings from taking over your trading. There is financial loss but more important emotional loss. Take the financial loss as a simple cost of running a business. But NEVER get caught up with the emotional cost of failure. Rather drop your risk per trade even more, until the point of losing or gaining has no significance to your emotions. Achieve that and you'll know your risk profile and where you are right now as a trader. Work on it and it gets easier over time. Trade well, live free. Timon (Financial trader since 2003)
JSE:J200Education
by Timonrosso
1
BEFORE and AFTER Each Trading Day you shouldA game-plan is a must, to see a potential goal, dream or vision. You got to have a proper POA (Plan Of Action) and execute. Whether it’s selling property, building a business, playing a sport or growing your wealth. You need a BEFORE plan and AFTER plan. Same with trading. You need to have a trading plan BEFORE and AFTER each trading day. BEFORE Each Trading Day: 1. Know the main market’s trend direction The first thing I want to know is, what the main market’s trend direction is. Plot the resistance (ceiling) and support (floor) levels, so you know whether they are in an up, down or sideways trend. If up – look for longs (buys) If down – look for shorts (sells) If sideways – look for potential breakout levels. 2. Scan through your watchlist Once you know the main market’s trend direction, have a quick scan through your watch list (markets you trade). Orientate yourself with where the markets are heading and whether trades are lining up. This way, you won’t go into the trading day blindly. 3. Write down high probability trade setups You know the main market’s trend direction, and have an idea of where the markets are heading – now you can plot your trade ideas. Go through the watch list again, and write down any potential trade setups (with your written entry, stop loss, take profit and reasons for entering the trade). 4. Choose your TRADES for the day Just because you have written down trade setups, doesn’t mean you need to take every one of them. Instead, look at which ones which will yield a better probability at working out and has a better chance at winning. All done before the trading day has even begun… AFTER Each Trading Day 1. Journal every trade When the markets’ have closed, and you have time to breathe, go to your trading journal and jot down the trade/s you took for the day. Each entry should have the (Market name, date, type, margin, entry, stop loss, take profit and reason for entry). 2. Outline lessons of the day If you’re just starting out or you’ve been in the markets for less than five years, I suggest this extremely useful step. Write down any market lessons you learn for the day. Here are some lessons you can write down: How the market reacted to a news event How you felt taking a trade or holding onto current trades Mistakes of the day you learnt or made Trading lessons that you want to incorporate into your trading… Write these lessons down, as they will forever be part of your experiences to become a successful trader. 3. Re-check & confirm your open trades This is extremely NB*. Make sure your entry, stop loss and take profit levels are still in the trading platform with all open trades, at the end of the day… Sometimes, brokers have certain glitches in their systems, that can remove your trading levels (automatically). It happens on a continuous basis and it’s our job, to make sure everything is running smoothly and our levels are still in place. 4. Quick scan your watch list & look for potential trades for tomorrow Last action you can take for the day, is preparing for tomorrow. Go through your watch list, look for the next batch of trade setups and write them down. This is so you know what to do for the next day… Trade well, live free. Timon
JSE:J200Education
by Timonrosso
Are you prepared to lose? (and what to do if you are not)A new trader, let's call her Sarah, has just started trading in the crypto market. She has been reading articles and watching videos about trading, but hasn't taken the time to develop a solid trading plan, or to gain a good understanding of the markets and underlying assets she is trading. Sarah sees bitcoin's value is going up, she doesn't do any further research or analysis, she doesn't set a stop loss or take profit level, she just buys bitcoin, with the expectation that she will make a quick profit. Unfortunately, the value of bitcoin doesn't perform as well as Sarah had hoped, and instead of going up, it starts to go down. Sarah gets anxious and starts checking the bitcoin's value frequently, and since she didn't set a stop loss, she watches as her position continues to lose value. Eventually, the bitcoin loses so much value that Sarah is forced to sell it at a large loss. Feeling disheartened, Sarah starts to second-guess herself and her abilities as a trader. She didn't have a plan or a strategy, didn't manage her risk properly, and didn't have a clear understanding of the markets and the underlying asset. She didn't prepare for the possibility of losses and didn't have a plan for exiting losing positions. 😭😖😞Unfortunately, the story above is very common in trading, so how can we prepare for losing trades? ☝🏽 Preparing for the possibility of losses is an important part of risk management and can help traders to minimize the impact of losses on their trading capital. Some ways to prepare for the possibility of losses include: 1️⃣ Setting realistic trading goals: Traders should set realistic goals that take into account the inherent risks of trading and the potential for losses. By setting realistic goals, traders will be better prepared to handle losses when they do occur. 2️⃣ Establishing a risk management plan: This includes determining the appropriate size of each trade, placing stop-loss orders, and evaluating the potential reward relative to the potential risk. This can help to limit potential losses and protect trading capital. 3️⃣ Maintaining a proper risk-reward ratio: This means that the potential reward of a trade should be greater than the potential loss. This helps ensure that the potential reward justifies the potential risk. 4️⃣ Diversifying the portfolio: By spreading capital across a variety of different markets and instruments, traders can reduce overall portfolio risk and minimize the impact of losses in any one market or instrument. 5️⃣ Building a trading cushion: This means keeping a reserve of capital that can be used to absorb losses and maintain the trader's ability to continue trading. This cushion should be large enough to withstand a series of losses, but not so large that it affects the trader's ability to trade effectively. 6️⃣ Emotionally preparing for losses: It's important to remember that losses are a normal part of trading and to not let them affect you emotionally. By preparing emotionally for the possibility of losses, traders will be better able to handle them when they occur. 7️⃣ Have a plan for exiting losing positions: Having a plan for exiting losing positions will help to minimize the impact of losses on the portfolio. This could include setting a stop loss or taking profits at predetermined targets. ⚠️ Remember, it's important to accept that losses are a normal part of trading and that they are not a reflection of the trader's ability. By preparing for the possibility of losses and implementing a solid risk management plan, traders can minimize the impact of losses and increase the chances of long-term success. I hope this has been informative to you, and if it was, please leave a like or a comment below. 👇🏽👇🏽👇🏽 Thanks for your visit!
BITSTAMP:BTCUSDEducation
by Nico.Muselle
34
3Cs of trading - Must readI call it the 3 Cs of trading Trading the financial markets can be a challenging and rewarding endeavor. One of the keys to success in trading is making informed... Choices - Choose the markets you want to trade, the strategy, the time frame, choose your mentor and choose your times and plans... Next you need to take calculated: Chances - Take a chance to execute, to deposit money in your account, to set up your trades and lineups. And then be willing to adapt and make. Changes - Changes to your strategy, journal, system and whatever you need to evolve with the current market conditions and environments. Did you find this helpful? I'd love to hear your feedback Trade well, live free. Timon MATI Trader
JSE:J200Education
by Timonrosso
Success is a self-introspection journey!You and I both know that financial trading the markets is an exciting and most definitely a lucrative venture for those who actually take the time and energy to get it right and trade well. But! Big But... If you want to become a successful trader, it's not just about analyzing market trends and making informed decisions – it is also about self-introspection and personal growth. This journey is one big self-discovery. And you'll find it's not only beneficial to trading but with life, love, work and even your true identity. Aas traders must know our own motivations, behaviors, and beliefs in order to truly excel. This means taking an honest look at our strengths and weaknesses, and being willing to make the necessary changes to become a more disciplined and effective trader. Do this and you WILL develop a strong sense of self-awareness in order to make better decisions under pressure. Trade well, live free. I'm off to bed. Timon MATI Trader (Financial trader since 2003)
JSE:J200Education
by Timonrosso
1
6 Thinking Hats for a TraderIf you don’t know the 6 Thinking Hats by now, I have to ask. How do you solve problems, deal with arguments or make decisions? I do forgive you though, as these strategies are not ones we learn in school. In fact, when I first read about this strategy, I got to say every aspect of my life changed (including trading). I hope this article will change your life too. Let’s start with the main man himself. The Author of The Six Thinking Hats Edward de Bono is a world-renown lateral thinker, writer and philosopher. In fact, he was the first person to use the term ‘Lateral Thinking’. Born in 1933, in Malta, Edward has achieved a number of degrees and has published over 85 books (mostly on thinking and the use of language). But out of all his works of art, there is one of the most popular techniques that changed the world and changed the way we think. It’s called The Six Thinking Hats or 6TH. Here’s how it works There are six different imaginary hats, with each having a different colour. Each time you put on a hat, you change the way you think about something. It also helps you see with better clarity and with a different perspective. Whether you’re having an argument, making a decision, solving a problem, building a business or creating a trading strategy – the 6 Thinking Hats will help streamline the process. If you’re with more people, make sure everyone is wearing the same hat at a time, to avoid conflict. Let’s now get into the inner workings of the 6 Thinking Hats, and how it can apply to your trading and other aspects in life. HAT #1: WHITE NEUTRAL VIEW This is the hat that contains all of the information, facts, data, figures, metrics and statistics. When it comes to trading there are certain facts that you need to have considered including: The broker you choose The affordability The costs involved What equipment you have to trade Back testing, forward testing and real testing data and statistics with your strategy. HAT #2: RED EMOTIONAL VIEW The second hat you’ll put on is the RED HAT. When you put this hat on, come to terms with what you feel. I’m talking about your intuition, your fear, your greed and your gut feeling. Then when it comes to trading ask yourself these questions… · Can you handle risking money you have? · Do you feel you have the discipline to pursue trading on a weekly basis? · Do you enjoy the idea of trading? · How much money do you think you can easily deposit into your trading account? · How much money do you think you can psychologically handle losing, if you take 10 losing trades in a row? · Do you think you can sleep easily at night knowing you have your money tied up in the markets? Once you go through all the feelings and you answer the questions, then you can move to the third hat. HAT #3: YELLOW POSITIVE VIEW This is the hat you’ll find is the one, you want to leave on when you think. It’s the hat that contains all the benefits and rewards. When you put this hat, you’ll think of the following with trading: What are the benefits to trade? How much money do you want to make a year trading? Why will your trading strategy work? What are your goals as a trader? Why is trading the best decision for your financial future? Feeling good? Well you’re supposed to when you put on the yellow hat. But we still have three more hats to go… HAT #4: GREEN CREATIVE VIEW With every decision comes extra out of the box thinking. And that’s where the green hat comes in. When you put on the green hat, this is where your imagination should help you with brainstorming, new ideas and add-ons to the think tank process. With trading, there are just so many different ways to be creative. And you’ll find that with ever evolving markets, you’ll need to adapt and adjust course. Here are some ideas to think of when you put on the green hat. How can I let my winners run further systematically? How can I increase my win/rate i.e. Trailing stop loss What indicator can I use for peripheral vision to help with my confirmation on each trade? I should create and print a few psychology sticky notes to help with my trading. I should name my system to be more personal with it I should find ways to tweak my system which will help with the performance I should have a trading consultation with Timon to help build and optimise my trading strategy better J. HAT #5: BLUE HAT PROCESS VIEW When you put on the blue hat you should think of three main things… Systems, criteria and planning. This is where you’ll choose the criteria you’ll follow with your trading strategy. What indicators are you using? What parameter’s are you using with the indicators? What time frame works best? What calculators do you need whenever you trade? This is where you’ll find the main work takes place once all the planning is done… And one where you’ll eventually marry a strategy to help grow your portfolio. HAT #6: BLACK HAT NEGATIVE VIEW When you put on the black hat, four things should arise instantly. Difficulties, problems, weaknesses and risks… I saved this hat for last, because it’s the only hat that will most likely help you decide whether trading is for you or not. But you can re-arrange the hats according to your won preference. The main things to ask when you put on the black hat, with trading is: What are the dangers of trading, risks, financial risks and time risks? What if the system stops working? Why are you sceptical about trading? What if the current markets go into an unfavourable territory? What if the market drops to zero when I’m in a long trade? FINAL WORDS: How awesome! You now have The Six Thinking Hats to your every decision making process. You’ll find that it will force you out of the mono-lateral way of thinking which you’ve habitually had your entire life. You’ll see things with new perspectives and compartmentalize issues in new ways… It might even pro-long your marriage or improve your relationships… If you enjoyed this article, I would love to hear your thoughts Trade well, live free. Timon MATI TRader (Established 2003)
JSE:J200Education
by Timonrosso
LEAVE ME ALONE! LEAVE ME ALONE! Once you have entered a trade and set your trade levels (such as stop-loss and take-profit), LEAVE IT ALONE. It is important to let the market play out and not interfere with the trade. This way you'll follow your trading plan and not be swayed by emotions or external factors. Also, if you leave it alone it will also stop you from taking impulsive decisions in the future, which can be super dangerous in the long term. Once you've done your bit and left the trade to do its thing, once it hits your stop loss or take profit - you'll be able to track, record, evaluate and monitor your trading results. This cuts out the subjective feelings, emotions and opinions. It's the play of patience that will help you to learn how to trade well for your financial future.
JSE:J200Education
by Timonrosso
1
ICICIGI - ACCUMULATION OR DISTRIBUTION?NSE:ICICIGI ICICIGI formed a good trading range. its been consolidating for 25 days now with a total volume of 10.5 Million shares. Big players are getting it ready for a big move as they are slowly building positions in the stock. I will watch for a breakout to the one side with above-average volume. #Breakout levels are marked on chart Use position sizing according to your stop loss level. Like this idea if you find it helpful and please share it with your friends. Keep learning, Happy trading. Thank you.
NSE:ICICIGI
by SANJAYPATIDAR_
How to achieve any goal in 2023?First you need to clearly define your goal, for this we use this simple tips Technique that helps you better define and achieve goals. Goals formulated using this technique are usually more realistic and achievable. S - Specific (specific) The goal should be well defined and specific. M - Measurable It should be possible to determine if the goal has been achieved. A - Attainable The goal should be realistic and achievable, despite the possible difficulties. R - Relevant (actual) The goal should be related to your actions and goals. T - Time-bound (limited in time) The goal must have a specific deadline. Goal setting example: - Specifically: Increase the average monthly profit - Not specifically: Earn more – Measurable: Increase monthly profit by 10% - Immeasurable: Increase profits – Achievable: Increase monthly profit by 10% - Unattainable: Increase profits by 300% — Actual: Increase the average monthly profit by 10% from trading - Not relevant: Increase the average monthly profit by 10% (in some other business) - Limited: Increase your average monthly profit by 10% in 3 months. Result: Increase the average monthly profit from trading by 10% in 3 months. Once we have set a goal, now we need to sketch out a rough list of how we can do this. 1. Determine the current level of trading skills through a self-assessment and determine the necessary improvements. 2. Study various trading strategies and choose the one that suits you best. 3. Create a realistic trading plan by defining goals and risks for each trading day. 4. Open a demo account and start trading strictly following the created trading plan. 5. Gradually increase the amount of trading sessions and risks, observing the principles of rational risk management. 6. Open a real trading account after successful completion of trading on a demo account. 7. Continue to trade, strictly following the created trading plan and the principles of rational risk management. 8. Study, read books, take courses, constantly improve your skills 9. Regularly analyze your trades to improve your trading strategy and increase efficiency. Once the list is ready, now you need to break it and your goal into smaller goals and set them every week. For example: Goal for the week, read 1 book, master 1 new strategy, make 10 trades on a demo account. Finally, you need to break each of these goals into daily goals. Set them for a day and just like a robot go to fulfill them without hesitation. For example: Goal for Monday, read 20 pages of a book, watch 1 webinar, make 2 trades on the strategy. And finally, every week you track and adjust your progress as needed. Hope you enjoyed the content I created, You can support with your likes and comments this idea so more people can watch! ✅Disclaimer: Please be aware of the risks involved in trading. This idea was made for educational purposes only not for financial Investment Purposes. * Look at my ideas about interesting altcoins in the related section down below ↓ * For more ideas please hit "Like" and "Follow"!
BITSTAMP:BTCUSDEducation
by Crypto4light