Money is one of those single words that makes humans skip a heartbeat
I have always wanted to be financially independent. I was not meant for a 9 to 5 job and wanted to work from anywhere. When I found trading, my life changed and it became what exactly I was looking for. No bosses to report to, financial freedom and I was working from everywhere in the world. It is an intellectual work that requires near to perfection in discipline and record keeping of your capital.
There are few kinds of people who trade stocks. One who has extra cash and want to go with the herd and buy the stock which everyone is talking about. Most of them end up losing their money. The other kind is the gambler. The guy who walks in without any knowledge and buys a stock with the ‘hope’ that it would give him a quick buck. Once he gets what he wants, he sticks around till he loses all that he got to the market. Trading is serious business. Good traders are much disciplined. We have been taught to think that stock market in India is a place where you go with extra cash for a quick buck. It is an intellectual work that requires near to perfection in discipline and record keeping of your capital. Sounds good enough of a job to me! The problem with some people as explained by behavioral finance is that they deal with the problems the way it is put in front of them. You meet a successful trader and you will be surprised to see what they can do with their trading abilities. I have a friend Paul, who came to me a few times and asked me to teach him how to trade with charts. I was happy for him and asked him to read a few books. A couple of days later he came back without reading the book but asking me to share some secrets of the trade.
There are no secrets! I told him that it’s like playing a guitar. I could teach him the chords but he needs to practice the rhythm and his discipline will help him do that. Similarly you can learn all the theories in the world but you will need practice and self-discipline to earn from the market. You need to be psychologically strong.