One of the things that helped me a lot to get out of the hell of the initial losses of the learning phase, was the reduction de ganhoof my extraordinary earning expectations and, consequently, the reduction of leverage.
The classic mistake that leads to the vast majority of “day trade adventurers” financial ruin is to operate extremely leveraged in their positions, seeking extreme profits.
Those who adopt this posture of extreme leverage, put themselves in an extremely risky and vulnerable position in their trades and end up being stopped very easily, not tolerating the natural adverse movements of market volatility.
In short, over-leveraging is the easiest way to lose money consistently.
Besides, today day trading is just one of my sources of income, Ino longer put on the weight of living exclusively from day trade, you know?
Acting in this way, I make my trades more relaxed, I am moreselective in my operations and Work with financial values of losses and gains compatible with my real situation.
Performance management and risk control through efficiency are very important as well.
However, I consider this part related to emotional maturity the most important.
Putting your entire financial life totally dependent on a high-risk activity is not at all prudent, don’t you think?
I don’t have a financial goal set.
Any money that comes from the day trade for me is profit!
Of course, assuming this stance, profits become much more frequent and making a lot of money in the day trade will always be a direct result of your skill gained from the experience and available capital.
There are weeks that I do few operations, there are even negative weeks, but the important thing today for me is that I treat day trading as a way to better monetize my capital and at the end of the year have a good profit.
In short, I started to have a medium to long-term mentality,even making short-term speculations!
In addition, the role of continuous study and self-knowledge has been of fundamental importance in this whole process.
I am always reading, rereading and watching the legacy left by great traders and learning from their market views and strategies.
I can mention Richard D. Wickoff, J. P. Steidlmayer, James Dalton, Peter Davies, Morad Askar (FT71), John Grady, Mark Douglas, Brett Steenbarger among others.
Unfortunately, the vast majority of high quality material on trading is produced in English and still little accessible to the vast majority of Brazilian traders.
The Mission of Day Trader Pro
That’s why the Day Trader Pro Project came up!
Motivated by an authentic mission to convey really relevant knowledge and experiences about high-level day trading in Brazil.
His “starting milestone” was the launch of a You Tube channel in July 2015 that premiered with the translation of a lecture on Peter Davies’ Order Flow Analysis.
Since then, as a continuation of this mission, from time to time, I strive to synthesize and transmit clearly and didacticly everything I have learned and practiced acting as an independent day trader.
Thus, producing these authentic and high quality content, Iam sure that I am contributing decisively with the evolution of other traders and leaving, also, my little legacy.
Anyway, I wish that after having known this responsible and realistic view of the day trade,through these Alerts | DTP,you are more prepared to face the great challenge that is to become a Day Trader Pro.
Good Studies and Good Trades!
Trader and CEO @daytraderpro