If you call yourself a trader, profitable or not, look at all the other merchants there as ”treason” when they hear that you are doing something else besides trading. In my opinion, it is no wonder that these people often are those who are struggling with their trading and their overall circumstances in life. The reason is a complete misunderstanding about your relationship and how you can improve your approach to trading and earn money.
Why do you want to trade?
Let’s start with the most obvious question. Of course, we all want to make money – that is why we venture out into commerce, or how? But we do not have the money to just have the money. We want money because of the things that it allows us to do.
So what is it you really want? A bold prediction from me would be that you are looking for to finish your 9-17 job, work from home, be your own boss and maybe travel a bit more.
For most is trading not about Ferraris, lyxvåningar or sexy girls in bikini; trading is the ability to change things in their life and it is just an alternative way to earn money, if you are honest with yourself.
Why limit yourself to one income stream?
I see it every week, people who, after years of trading still can’t make a dime in the markets. They have invested thousands of hours, usually tens of thousands of dollars and their desperationsnivå is to the max. However, they can not quit because they have invested too much. This type of press will not help you on your journey and you trade from a limited state of mind.
To believe that trading is your only way out is to create mental anxiety and blockages.
Would you instead operate a small business or engage in any other income generating activity (freelancing, consulting, product sales, passive income sources, affiliate marketing, investment in real estate) while still allowing you to live a free lifestyle? How liberating would it be if you knew that you can return to the other revenue if your trading would not work? None of the big companies or the most successful brands have just one product. All successful companies have multiple products, multiple divisions and different ways to generate income.
Trading is a business and you need to think like a businessman. Be open to explore other opportunities. Do not restrict yourself completely from the beginning.
Trading and variance
Variance is a very important component in the merchant’s life – and an even greater for those who engaged in career full-time. You can’t predict your profit as a trader; you never know when the market conditions change and negatively impact your handelsmetodik. Even the best traders have long periods where they can’t make money – not because of poor trading, but because of the concept of variance and the variable marknadsfaser. If you only depend on your handelsinkomst you will be hit hard when a variance of the knock out – not just from a monetary perspective, but also emotionally. When you are dependent on your handelsresultat and suddenly throwing the market a curveball, would you like to have other income in place that will compensate your trading.
Become a better trader because of distraheringar There is very little to do throughout the trading day when you have done a thorough market analysis. The fact is that the most important day of the week is Sunday, where you look at all the markets you trade, updating your charts, identifying any handelsscenarier and set prisrapporter. Trading then becomes just a game and you have to let the price come to you.
Swing-traders who are glued to their charts throughout the day ends up in mikrohantering of their shops, randomly scroll through time frames and looking for something interesting to trade, just because of boredom. To have something else to do keeps you busy and away from your charts. Personally I like to bet on different areas – completely independent of the trade – which also keeps me busy and helps me to expand my horizon.
Build your account
The benefits of multiple income allows you to grow your trading account steadily without having to take out money. This is especially true in the beginning or if you want to continue to build a great account without the need to take out the money. The concept of compound interest is the ”8th världsunderen”. To know that your second income will give you the opportunity to maintain a good standard of living and your trading account continues to grow is very powerful. I could continue but I think you already understand one thing – for you to be able to reach your life goals, you should not limit yourself to one income. You don’t want to be a merchant for the trade’s sake, but because of the opportunities it offers. Was open, use your talents, develop new skills and have fun while you do it. What are your thoughts on this? Do you have any tips that might help other traders. What works for you?