Know your strength and weakness
Have you ever questioned what a trader you are and how much you are worth? I hope you are surprised to learn that you hardly ever doubt your ability to be a successful trader. Don’t take this too seriously; very few traders ever inquire about their genuine trading potential.
You will learn more about yourself the day you receive the correct response from your inner soul. Before you begin trading seriously as a full-time career, you need to be aware of your strengths and weaknesses. You cannot close any loopholes unless you identify your weaknesses.
Finding your genuine potential is just as crucial as identifying your flaws or weaknesses. Because if you employ those effectively, your inner potential can produce a great result.
Consider the following scenario: If you consistently experience trading losses, you need to evaluate your mistakes. Even if trading is a different game than other conventional businesses, there must be some serious flaws or vulnerabilities within you that cause you to have a string of losses. If you carefully examine your errors and identify your weaknesses, you will be able to improve those areas.
Another example would be if you, as a trader, engaged in intraday, swing, positional, short-term, and medium-term trading. You probably find that not all formats can consistently produce the results you want. Very few profitable trades have success rates, and even fewer have poor to terrible success rates.
So, your first and foremost responsibility will be to evaluate and identify profitable and unsuccessful trades and the appropriate trading formats. In that case, this approach will assist in adjusting your preferred trading style. Most of the time, you will pick only the best and most profitable format of trading that suits your style of trading and yields more rewards than losses.
Discover your goal of trading
Everyone has a different life objective. Additionally, every business establishment includes objectives that must be met throughout the business. Therefore, every trader also needs to set goals for their profession. No matter how hard you work, you will never succeed in trading unless you have a clear aim in mind.
If your trading goals are sincere, you will make every effort to achieve them. You can only effectively plan your trade voyage if you know where you’re going; otherwise, you’ll run the risk of ruining yourself. You must first decide exactly what you want to achieve with trading—is it to make a regular income, to have fun, or to realize a fantasy?
Instead of concentrating on money, a trader’s objective should be to make the best possible trades. Money will follow a trader if he pursues perfect trades consistently. Making a lot of unnecessary trades each day is much more damaging than making one to five excellent trades each month.