I agree with you on this! Trading is indeed frustrating when the trades are going in the opposite direction, but when it starts to give you rewards, you get more into it and start working hard to understand the intricacies of the market.
How does trading change your life?
- Thread starter Paul Sachin
- Start date
You’ve nailed it! Not many traders are able to make money in forex trading and fulfil their dreams, but they make enough to cover their expenses or do some extra savings for themselves or their families. So, forex trading stories are not just black and white, but there are many different colors as well, which most people fail to see.
trading forces me to understand the world and make predictions, which can sometimes make me pessimistic and a buzzkill at parties. e.g., in jan and feb 2020 predicting that covid has a good chance of going global, early last year believing we're headed towards inflation, several weeks ago thinking russia may invade, and now... pricing in a potential nuclear attack -- no point trading the last one.
This seems to describe aspiring traders lurching between euphoria and despair as they flail around trying to get a system going, or guys shooting from the hip and trading way overlevered, most of them heading for a blowup.
Personally I've taken thousands of trades and these days everything is very tightly controlled as to risk, drawdowns, market situations I will and won't get involved in, etc. A roller-coaster environment isn't a sustainable way to make a living.
I like Herb Alpert (and naked ladies covered in whipped cream). "Rise" was a great tune from the late 70's.
Correct, it can be an ugly existence if you’re not sound in the mind.
I have started from "lets put some money into that ETF".. seeing it growing.. starting to trade to make it even more grow and ofc doing the exact opposite, stumbling arround trying to understand how ppl predict markets to make money, reducing porfolio performance even further.. until at some point I gave up and went a whole different appraoch. I don't want to have to do anything with that trading sh*t because I'm no good trader. I make my bucks by providing a service to the good traders, I do risk management. I provide leverage, by selling options to the good trades so they can get rich, while I earn the theta.
How that journey changed life? oh dear.. that would fill a book.
If you don't approach the market with "I think stock X will go up" but with "I think stock X will not go down" and your potential profit is capped, but your potential loss is unlimited, it changes everything... It removes any kind of gambling mindset from your brain. Forget about trying to predict the future or to understand why something might happen or not.. it doesn't matter. All that matters is that you have plan ready if things go against you, and maybe even a plan B and C to not blow up if stuff happens that was never supposed to happen.
How that journey changed life? oh dear.. that would fill a book.
If you don't approach the market with "I think stock X will go up" but with "I think stock X will not go down" and your potential profit is capped, but your potential loss is unlimited, it changes everything... It removes any kind of gambling mindset from your brain. Forget about trying to predict the future or to understand why something might happen or not.. it doesn't matter. All that matters is that you have plan ready if things go against you, and maybe even a plan B and C to not blow up if stuff happens that was never supposed to happen.
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