Thread by @Quants_Capital

#Traders path #Futures & #Options

1: Understanding the game

Trading is not much different from playing poker game or betting on various other things.

It’s just a structured game where rules are not made by anyone, but needs to be followed by everyone in game.

Understanding those rules and adjusting yourself is a continuous process which will never end. As #SEBI would keep on changing rules.

The important thing to understand is any thing in life if we want to succeed we need patience and dedication.

A 2 hour webinar or 2 day course can’t teach you about #CapitalMarkets or #Trading it’s impossible.

Personally i feel have around 40-50% knowledge about capital markets after more than 12years of trading experience.

So if you think a trainer would pass on his #knowledge in 20 hrs your a fool to think so.

Understanding this game does not require #cash #funds or some #twittergurus classes.

it requires patience and a thirst to learn something new.

Follow people who you think are genuine and know something more than you but don’t start #trading on their advice, try to gain knowledge from them.

There are thousands of good #books out there read them.

#NISM offers an excellent modules for #financialmarkets

try and understand theory first.

Once you think you know the game, then your at 1% yes believe me the first time I thought I knew everything today I know it was not more than 1%.

Just think logically if it’s a zero sum game then do you really have an edge to it.

2: Playing the game

Usually ever #trader gets a winning streak at his start of his trading journey, I also went through the same path.

The biggest mistake is that thinking you can do the same on a much larger #capital and #consistently.

When we read and see some fancy #screenshots we think that if they can why can’t i do the same.

First of all personally feel that these screenshots of #twittergurus are their success stories whether true or not is an whole different topic and a right gauge to your journey.

Don’t get lured to these numbers no one in this whole world can make #profits so consistently.

Make a plan for your #trading journey record each trade in your journal and it will help you improve a lot in a longer run.

Data is the key don’t loose data of anything you do.

Keep atleast a 10 year target to become a successful trader, in this journey you will be blowing your capital up atleast 2-3 times.

So don’t #leverage your wealth don’t even think of quitting your #jobs or #business to do #trading full time atleast in intial stages.

In your Initial years try to identify #mistakes you made in your losses and learn from your #winners try to adapt to different styles of #trading and stick to whichever suits you.

Don’t try follow blindly others trading style if you want to become a successful trader yourself

3: Staying in the #Game

If you can’t take losses in a trade your are not meant to play this game.

It’s extremely difficult to go off a losing #trade and enter a new one.

But if don’t book a #loss on a trade you won’t remain in the game for long

To win any game first thing is survival if you can’t play it anymore you can’t win it.

So preserving your #capital and not loosing all on some bad #trades is the key to it.

Once you start surviving various #market environments on a regular basis then the first hurdle is done.

Not making a single penny for a long time is perfectly ok if your not losing on your #capital.

Every successful #trader won’t even remember his small losses in his carrier but he would definitely remember the big ones not only #losers but #winner too.

If you don’t have big losses big winners are bound to happen.

Patience’s is the key.

Learn Learn Learn

#Futures #OptionsTrading #Volatility #NSE #BSE #CapitalMarkets #Trading