After my last member get together, I feel compelled to pen this note to all our members, as I fear many may be making the same mistake which was highlighted during my last member get together.
When you first came onto our service, you were directed to read “Avi’s Open Letter To New Traders.” https://www.elliottwavetrader.net/getting-started#avi-letter
If you have not read it recently, I strongly urge you to read it again. There is some valuable advice in that letter that I think everyone should review.
One of the most important points of advice is that you MUST learn who you are as a trader/investor. And, when you are making that assessment, you MUST be brutally honest with yourself.
There seems to be a perception that a trader has a certain mystique. And, it is that mystique which seems to drive a desire for many to become a trader. But, while the idea of being a trader may seem sexy to many, there is nothing further from the truth.
As I have said many times before, not everyone is cut out to be a day-trader. In fact, most people should resign themselves to being an investor or even a swing trader. In other words, the mental and emotional requirements and abilities needed to be a day-trader are not something possessed by the masses. In fact, very few individuals have what it takes to be a day-trader.
But, the most important point is that you must honestly assess whether you have the mental and emotional fortitude, ability and skills to be a day-trader. And, if you honestly do not then you must approach the market in a different way.
Now, if you are genuinely unsure, then my suggestion to you is to start your path into the market as an investor or swing trader. That means that no main decision on any trade/investment is made with a chart that is less than a 60-minute chart. And, while you are trying to determine whether day-trading is for you, I strongly urge you to paper-trade to even begin that process.
Should you then take it to the next level and you think you have what it takes to be a day-trader after paper trading, then you can start trading using a small amount of money. But, keep in mind that paper trading and trading with real money will highlight how difficult it is to be a trader. When real money is on the line, the pressures increase exponentially. And, this is the point in time where you must reach an honest conclusion as to whether you have what it takes to be a day-trader.
Lastly, please recognize that there is no shame in coming to a determination that day-trading is not for you. Learning and recognizing your strengths and weaknesses will only make you more profitable at the end of the day, and one should feel no embarrassment from such an honest assessment.
So, in the end, I want to stress again how important it is for you to know who you are as an investor/trader, and align that knowledge with your actions in order to identify the best possible opportunities for you to make money in the financial markets.