5 Things I have learned in 5 years of trading!

sebking1986 said:
1) A broker is not that important. 90% of them are fine so use whatever one you are comfortable with. I use CedarFX as I use Bitcoin to deposit and withdraw and it is very quick, also the tree planting is good. It all helps.



2) Social media “gurus” often don’t actually trade themselves and make their money conning the vast majority of people coming into trading looking for quick cash – don’t get caught out!



3) Nobody can give you a ready-made strategy and then send you off to start making money. A strategy is something personal to you in terms of time, risk tolerance, psychology, speed of the market etc. Take bits from different sources and then take the time to formulate and test your own strategy that fits your own parameters. There is no “one-size fits all” in trading.



4) Trading of any type is NOT A GET RICH QUICK SCHEME! It takes time for the above reasons to first learn the basics and then formulate a strategy, test it thoroughly and implement it.



5) Set achievable goals – when you first start break even at the end of the month might be a great target for you and that is fine. Not losing long term is priority number one to protect your capital. Don’t compare your 1000hrs of practice to another person’s 10,000hrs. Be better than you were 6 months ago and focus on that.



What else have you all learned in your time trading?
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Algorithm trading is a pure waste of time.
 
Really nice tips which deserve everybody's attention.
I still don't quite agree with the first tip. It goes without saying that the broker cannot make you rich, but it can make you poor. In spite of the fact that forex market is getting more an more regulated there still lots of scammers which pretend to be brokers and take people's money without giving it back. Trading is impossible without brokers and traders should pay much attention to the brokerage's reputation and regulation, otherwise, they will never earn anything trading financial assets.
I totally agree with your point concerning social media 'gurus'. Especially the videos where 'successful traders' at the age of 17 claim that they have made the fortune trading forex or binary options in several years and they try to persuade the viewers that it is super easy to do trading. Many people have become victims of such approach and they lost much money having high expectations from the market. That is absolutely sad.
I cannot but agree with your position concerning trading strategies. It is stricktly individual thing which can't be used by everyone. Trading strategy is built and improved through trading experience, knowledge and skills of a trader, so there will be noone who can tell you about profitable consistent trading strategy free of charge. Don't be naive.
 
deaddog said:
Writing things down helps. You are more likely to do something you have committed to paper.
Have a written plan so that you know exactly what you will do in every situation.
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Plan your work.
Work your plan.

A tip of the hat to Robert Morse for his post from which this was lifted,
'What triggers a buy or a sell to open?
What triggers an exit?
How do you size your trades?'

What would You say belongs in a solid trading plan?
https://www.elitetrader.com/et/thre...solid-trading-plan.340340/page-4#post-5031706
 
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