Top 7 questions you must ask before quitting the job to become full time trader
It is about the freedom to travel, to spend hours each day on things of liking, meeting people in the local club, park, pubs and bar. It is about the greed to spends more time with family and kids. It is also about anything but 9 to 5 boring work.
These are the few of many other reasons apart from making huge money that drives people to quit the job and become a full-time day trader or maybe swing trader.
However, this is the first side of the coin, the other side has some harsh truth that I would like to mention - day trading is a tough job for the first few years and many wanna-be full-time traders don’t get the way to make a consistent profit.
These are the few of many other reasons apart from making huge money that drives people to quit the job and become a full-time day trader or maybe swing trader.
However, this is the first side of the coin, the other side has some harsh truth that I would like to mention - day trading is a tough job for the first few years and many wanna-be full-time traders don’t get the way to make a consistent profit.
If you are also thinking to quit job to become a full time day trader, I would ask you to consider these questions in your mind.
Are you confident about the step that you are going to take?
Change is the rule of the nature. Everything around us are meant to be changed. Even market changes every now and then. If you have a feeling that you can wear the change confidently - market is yours. You must be confident enough about the step that you are going take so you don’t regret later.
Can you give priority to education over making quick money?
Traders who have ongoing quest for learning, have a fair chance to succeed in full-time trading. If your heart palpitates and mind frequents for learning, trading can be a good choice for you. Be ready for learning every now and then. Every tick of the market may surprise you and turn you to learn new things.
Are you a stubborn or flexible?
Trading is a business about accepting your mistakes and learning from them. When your trade goes wrong, you need to introspect that. Stubborn and resistive traders don’t survive the Roller Coaster rides of the market. You have to realize when to ask help, be willing to change strategy, and be able to shut down the screen and sit back no matter how much it cuts you in deep. One wrong trade or one bad day doesn’t matter a lot when you know when to sit back and breathe.
Stubborn and resistive traders don’t survive the Roller Coaster rides of the market.
Don’t trap yourself in one trade be ready to cut your losses and move on. Accept what market brings to you. It will also bring new opportunities for sure. Flexibility towards your approach and trades steers you to better decisions.
Flexibility towards your approach and trades steers you to better decisions.Learn: Top 7 Mistakes you don't want to make as a trader
Do you take failures for granted?
Failures are temporary, in every part of life, we face it. Even it is true for share market and trading as well. When someone starts journey they get temporary setbacks but winners evolve and bounce back with fighting and facing them boldly.
I remember the story of Arunima Sinha who lost a leg in a gruesome train accident. Despite extremely low odds and everyone around demotivating her from climbing Mount Everest, she did not take the failure for granted and finally scale Mount Everest and become the first woman amputee to achieve that. She might never have climbed Mount Everest if she had not lost a leg.
Failure comes in life to make you diamond. Failures in trading discover super-skilled trader in you. So, take those temporary failures as a challenge, overcome them. If you love challenges door is open.
Failures in trading discover super skilled trader in you.
Are you a smart worker or hard worker?
Market does not favour you all time. Sometimes market wins the other time you. When you press the winning button to try to make it maximum and when you see the market is about to win, hold your hands. Don’t try hard. Let it go. Your winning streak will come to you wait till then. Work smartly. Someone who tries hard to win the market, many a time, he enters the revenge trading that kills his money and mindset. Smart worker wins the market smartly, hard worker wins the market hardly.
Smart worker wins the market smartly, hard worker wins the market hardly.Learn: Mindset of Pro traders fro a Trader's Interview
Short term pain is long term gain. Are you ready to take short term pain?
Your winning streak may not start from the first day. It may hurt you as in your job you get paid whatever the situation, but in trading rewards may be delayed. You have to tolerate the short term pains that open the path of long term gains.
Do you have a strategy for day trading and back-tested it?
To succeed in trading, one needs to have a good plan, perfect execution and iron solid discipline. Apart from these, one needs to have a strategy that works for him. Strategy must be back-tested many a time in all market situations. If you don’t have such a strategy, first make it. You may learn it from some pro traders. Back-test it for you. Once you feel enough confidence in your plan, execution, discipline and strategy, you are ready to go full time.
Full time trading is a mindset. The mindset of taking risks, learning from mistakes, bouncing back from failures, adapting the flexibility of the market and working smart. These all are by-products of plan, execution and discipline. Also, the decision making capability when to go, and when to sit back, helps a lot. If you can handle this, you can become a profitable full time day trader.
According to you, what are the other things that one needs to become full time traders? What the other questions job quitter may ask before to go full time trader? Hit the comment box with your answers and suggestions. Comment box is waiting for you.
No comments: