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6 Trading Habits Which Keep You Poor (Without You Realizing It)

by Coinwidow
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#5: You have itchy fingers

Itchy finger refers to entering a trade that’s not part of your trading plan.

That’s because you want excitement from the markets and don’t want to sit on the sidelines doing nothing.

Or perhaps, you’ve no idea what you’re doing so you just place a trade when you feel like it.

Now…

It doesn’t matter if it’s a winning or losing trade because your actions are inconsistent.

And when your actions are inconsistent, you get an inconsistent set of results.

Then you wonder…

“Why are my trading results inconsistent?”

Well, you’ve got your answer now.

So, how do you fix this problem?

#1: Develop a trading plan

A trading plan is a set of rules to guide your trading.

You’ll know what market conditions to trade when to enter, and when to exit your trades—and how to manage your trades from start to finish.

This allows you to have a consistent set of actions over and over again which leads to consistent results.

If you want to learn how to develop a trading plan, go read How To Be A Profitable Trader Within The Next 180 Days.

#2: Make it painful to deviate from your trading plan

Here’s the thing:

Just because you have a trading plan doesn’t mean you won’t have itchy fingers.

Because you might lack the discipline to follow your trading plan even though it’s good for you.

(Kind of like how you don’t eat enough vegetables even though you know it’s good for you.)

The solution?

Be accountable to someone. It could be your spouse, a friend, or someone you trust.

Let them know whenever you deviate from your trading plan, you’ll be penalized.

The penalty could be something like:

  • $50 donation to your favourite charity
  • Wash the toilets for a week
  • Do 100 push-ups

You want to make sure the pain of not following your trading plan is greater than following it.

This way, the mind gravitates toward the least amount of pain which is to follow your trading plan.

This means your actions become consistent and you get consistent results.

Does it make sense?



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