You need an objective temperament, an ability to control emotions and carry a position without losing sleep.
Although trading discipline can be developed, the successful traders are unemotional about their position.
There are many exciting things happening in the market everyday, so it takes a hard-nosed type of attitude and an ability to stand above short-term circumstances.
If you do not have this attitude you will be changing your mind and your position every few minutes.
You need an objective temperament, an ability to control emotions and carry a position without losing sleep.
Although trading discipline can be developed, the successful traders are unemotional about their position.
There are many exciting things happening in the market everyday, so it takes a hard-nosed type of attitude and an ability to stand above short-term circumstances.
If you do not have this attitude you will be changing your mind and your position every few minutes.
Test your trading ability by making paper trades. Then begin to trade small. Start with a Mini Account. Beginning traders should learn the mechanics of trading before graduating to more volatile contracts.
One rule of thumb is to keep three times the money in your margin account than is needed for that particular position.
Reduce your position if necessary to conform to that rule. This rule helps you avoid trading decisions based on the amount of money in your margin account.
If you are under-margin you may be forced to liquidate a position early, at a costly loss that could have been avoided.
