Advice on anything can be found anywhere. It’s human nature, we love to offer it, but discerning the good from the bad can often be confusing and difficult.
Trading attracts more than its fair share of experts, soothsayers and those who know a thing or two. For those who genuinely want to develop the skills required to trade successfully it can be a minefield. We at the Lazy Trader are not trying to offer the latest ‘hot tips’ to success. There are down to earth methods and technical approaches for trading successfully on our website. Here we high-light a much more simple and rarely considered approach to trading: Be yourself.
This may sound a bit whimsical not be the ‘hot tip’ we want to hear, but it’s arguably one of the best. We are normally more comfortable with a straightforward set of instructions such as, “to achieve y you must do x”. In this way we are putting our outcomes, our destinies even, in the hands of others and so not having to think too much ourselves, and if the outcome is not the success we want or expect then we have in a way absolved ourselves of blame (it’s not our fault we were advised to follow these sets of instructions).
The advice, ‘just be yourself’, prompts us into standing more on our own feet. Following the crowd, unless there is good reason, often amounts to no more than taking the easy option and absolving ourselves of making decisions. Human nature tends to feel more comfortable, more adventurous, when operating in a pack.
So how exactly does ‘just be yourself’ enhance your trading? Well, it integrates our trading with our personality, which is after all who we are. Most of us have rules in life that we like to try and follow, qualities that we aspire to and hopefully friends and family see reflected in us; qualities such as individuality, honesty, integrity, gratitude; the stuff that makes us a responsible and valuable part of society. Now you may be starting to think that this is all a bit far fetched, but apply the rules by which you like to, or at least try to, lead your life and you will discover that it actually enhances your trading.
For example, write your own trading plan. Don’t just follow what you believe others are doing. Be diligent: develop, test and refine your own methods and strategies. You’ll then have your own trading plan that you know and trust, a mark of your individuality.
Keep honest and objective records in your trade journal. Without that there is no chance of learning and improving our skills. We have to know why we took a trade (was it just a punt or carefully thought through) and we have to ask ourselves why it succeeded or failed. This is vitally important. Good technical set ups may fail, but we must try to understand why, and record it. Only then can we start to build an overall picture.
Greed is a dangerous and costly quality, and it will without doubt be detrimental in trading. A well-devised trading plan will tell you when to exit a trade, either one that is going well or badly. To hang on in the trade, to squeeze more out of it or in the hope of making back losses, when your trade plan says that it is now appropriate to exit, is always a mistake.
Trading shouldn’t be hard. The technicalities of how to use the soft ware and read charts are something most people can learn with some patience and practice. More difficult is developing the right approach, but if we treat trading with the same respect and integrity with which we like to try and lead our lives, then we are certainly taking large steps towards trading successfully.
Trading attracts more than its fair share of experts, soothsayers and those who know a thing or two. For those who genuinely want to develop the skills required to trade successfully it can be a minefield. We at the Lazy Trader are not trying to offer the latest ‘hot tips’ to success. There are down to earth methods and technical approaches for trading successfully on our website. Here we high-light a much more simple and rarely considered approach to trading: Be yourself.
This may sound a bit whimsical not be the ‘hot tip’ we want to hear, but it’s arguably one of the best. We are normally more comfortable with a straightforward set of instructions such as, “to achieve y you must do x”. In this way we are putting our outcomes, our destinies even, in the hands of others and so not having to think too much ourselves, and if the outcome is not the success we want or expect then we have in a way absolved ourselves of blame (it’s not our fault we were advised to follow these sets of instructions).
The advice, ‘just be yourself’, prompts us into standing more on our own feet. Following the crowd, unless there is good reason, often amounts to no more than taking the easy option and absolving ourselves of making decisions. Human nature tends to feel more comfortable, more adventurous, when operating in a pack.
So how exactly does ‘just be yourself’ enhance your trading? Well, it integrates our trading with our personality, which is after all who we are. Most of us have rules in life that we like to try and follow, qualities that we aspire to and hopefully friends and family see reflected in us; qualities such as individuality, honesty, integrity, gratitude; the stuff that makes us a responsible and valuable part of society. Now you may be starting to think that this is all a bit far fetched, but apply the rules by which you like to, or at least try to, lead your life and you will discover that it actually enhances your trading.
For example, write your own trading plan. Don’t just follow what you believe others are doing. Be diligent: develop, test and refine your own methods and strategies. You’ll then have your own trading plan that you know and trust, a mark of your individuality.
Keep honest and objective records in your trade journal. Without that there is no chance of learning and improving our skills. We have to know why we took a trade (was it just a punt or carefully thought through) and we have to ask ourselves why it succeeded or failed. This is vitally important. Good technical set ups may fail, but we must try to understand why, and record it. Only then can we start to build an overall picture.
Greed is a dangerous and costly quality, and it will without doubt be detrimental in trading. A well-devised trading plan will tell you when to exit a trade, either one that is going well or badly. To hang on in the trade, to squeeze more out of it or in the hope of making back losses, when your trade plan says that it is now appropriate to exit, is always a mistake.
Trading shouldn’t be hard. The technicalities of how to use the soft ware and read charts are something most people can learn with some patience and practice. More difficult is developing the right approach, but if we treat trading with the same respect and integrity with which we like to try and lead our lives, then we are certainly taking large steps towards trading successfully.
Editors’ Picks
EUR/USD flat lines below 1.1900; divergent Fed-ECB expectations offer support
The EUR/USD pair struggles to capitalize on the overnight bounce from the 1.1835-1.1830 region and oscillates in a narrow band during the Asian session on Thursday. Spot prices currently trade around the 1.1875 area, remaining nearly unchanged for the day and staying within striking distance of an over one-week high, reached on Tuesday, amid mixed cues.
GBP/USD slips heading into the Thursday trading window
The Pound Sterling pulled back from four-year highs on Wednesday, weighed down by a combination of Bank of England dovishness and UK political uncertainty, even as the US Dollar weakened on soft labor market revisions.
USD/JPY returns to the red below 153.00 after Japan's verbal intervention
USD/JPY attracts fresh sellers and falls back below 153.00 in the Asian session on Thursday. The US Dollar reverses the strong jobs data-led recovery, weighing on the pair amid the ongoing bullish momentum in the Japanese Yen, helped by Japanese verbal intervention. Japan's PM Sanae Takaichi's landslide election victory also keeps the local currency buoyed. The attention now remains on Friday's US Consumer Price Index inflation report.
Editors’ Picks
AUD/USD stalls near 0.7150 after RBA Bullock's comments
AUD/USD has paused its uptick to near 0.7150 in the Asian session on Thursday, at a three-year high. Cautious remarks from RBA Governor Bullock seem to cap the Aussie's upside. However, renewed US Dollar weakness cushions the pair's downside ahead of US Jobless Claims data.
USD/JPY returns to the red below 153.00 after Japan's verbal intervention
USD/JPY attracts fresh sellers and falls back below 153.00 in the Asian session on Thursday. The US Dollar reverses the strong jobs data-led recovery, weighing on the pair amid the ongoing bullish momentum in the Japanese Yen, helped by Japanese verbal intervention. Japan's PM Sanae Takaichi's landslide election victory also keeps the local currency buoyed. The attention now remains on Friday's US Consumer Price Index inflation report.
Gold holds losses near $5,050 despite renewed USD selling
Gold price trades in negative territory near $5,050 in Thursday's Asian session. The precious metal faces headwinds from stronger-than-expected US employment data, even as the US Dollar sees a bout of fresh selling. All eyes now remain on the next batch of US labor statistics.
Crypto trades through a confidence reset
The cryptocurrency market is navigating a liquidity-driven reset rather than a narrative-driven rally. Bitcoin, Ethereum and major altcoins remain under pressure even as new exchange-traded fund filings continue and selected inflow days appear on the tape.
The market trades the path not the past
The payroll number did not just beat. It reset the tone. 130,000 vs. 65,000 expected, with a 35,000 whisper. 79 of 80 economists leaning the wrong way. Unemployment and underemployment are edging lower. For all the statistical fog around birth-death adjustments and seasonal quirks, the core message was unmistakable. The labour market is not cracking.
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