Developing as a Trader. Routines, Discipline, Expectations.
This is a message for beginners.
If you’re new, you need to learn how to think properly about your next steps. Your first job as a new trader is simply to breath, focus and develop a plan on how you’re going to become great.
You don’t need to start trading today. You’re not ready for that yet.
The expectations you should be setting, should be based on once you’ve developed as a trader and are running as system. You will have one or all of the following goals.
Daily profit goals for day trading. Monthly goals for swing and position trading. And, Yearly salary and income you want to earn from running your trading business. You will need to establish these monetary goals at some point.
Set goals that you have to work your tail off to achieve. Don’t set wimpy goals. Dream big, don’t be a loser.
Remember, if you’re going to start a trading journey, your goals should be greatness. It should not be mediocre. Don’t listen to the expectations from Traditional thinkers or what the System has told you. You should have high expectations for what you want to achieve.
Don’t start with live trading. If you’re new, you’re not ready for it. The worst thing you could have happen is for you to start making money right away. If you start in the market, and find profit before you know what you’re doing, you’ll get a false sense of how the business works. Don’t start live trading. You can either win, lose or draw if you start right away – and none of them will be a reflection of your long term success as a trader.
To achieve your goals, you will need discipline and money management. Your portfolio should have designed money management rules, position sizing rules and curbs in place. That’s why you start with education. Until you’ve been trained on how to think about the money behind trading, your energy and focus should simply be on getting the education you need to build the system you are going to run.
This is the 6 step process you will go through if you do this correctly:
1. Education is first.
2. Design is Second
3. Testing is Third
4. Paper Trading is Fourth
5. Live Trading is Fifth
6. Review and Adjust is Sixth
My expectation for you is simple. You should do something daily to get better and more educated at what you’re doing or how to run your business. If your goals are more long term, then you may set your standard as bi weekly or weekly. But if you want to be a trader, you should have a daily expectation. Be patient with yourself, be honest with yourself, and make sure you take this part of it seriously. I believe that if you go out and start developing, and continue a positive track, you can achieve great things. You need to believe that as well. No excuses.
Schedule your time into your calendar. Don’t assume you’ll do things, and if you know that procrastination and follow through are a challenge for you- and if you’re human then they are a challenge for you – then approach this with the seriousness it needs and set aside the time by scheduling it in. You don’t take phone calls during that window, don’t answer email, don’t try to multi-task, simply set aside the time for your trading development. Even 30 minutes per day will be a tremendous start.
Your Routine will be critical. You need to know what to work on during your daily scheduled routine. The basic things you should try to do: read the news, check the heat map and read the chart on the S&P 500. Until you are doing those things extensively, don’t try to do more than that. Keep it simple, the important part of this step is to establish a routine so you can develop a habit.
If you were going to learn how to ski, you wouldn’t start with a Black Diamond. Take the bunny hill first. Start with the basics, and don’t try to emulate what a veteran trader might do now, make this work for your life. And, do it consistently, and make no excuses. It’s ok and normal to be confused when you read the news.
Every day you should also try to watch a new video, read a blog or listen to a podcast from Tackle Trading and Trading Justice as a part of your continued education. The content we have in our archive will take you a long way, but it’s too much to try and process now. Do it one step at a time.
If you’re a Legacy Education student, you need your education to start with Master Trader, the on-demand trainings, and watch them one at a time.
Final Thought: Always approach life, and the new opportunity you have, with excitement, energy and take it seriously. If you want to accomplish something you can. It might not be instantly, but the field you’re diving into is great. It’s a process.
Take care, god bless and Get in the Game.