The 5 Stages Befores You Are a Profitable Trader
Professional trader Kris Matthews said that traders always go through five stages before they succeed.
1. Unconscious incompetence
Newcomers to the market start from this stage, are full of ideas and very confident, believing that they will become rich overnight. “It’s not that difficult, right? The price just goes up or down, does it?” The operator deposits funds in the account and quickly starts to trade, performs many operations and takes great risks. After some initial success, he was disappointed that the price would somehow deviate from his position every time he opened a new operation. He wants to be consistent with the market and double his turnover.
2. Conscious incompetence
After realizing its absurdities and the financial dangers of its operations, the operator enters the next phase and begins to try to educate himself by purchasing various systems, books and courses. To find the “Holy Grail”. Other traders who boasted of the winner on the forum sought advice and sign-ups. So he thought he was not there. It was at this stage that a lot of money was lost.
3. “Eureca” moment
At this point, the trader finally realized that it is not necessarily the system that made him lose money, even the simplest system based on the way the market operates, as long as there is emotion, he can make money. There are rules of control and good money management. As soon as he realized this, he no longer cared about what others were saying or what the fashion system was. Whenever an opportunity arises, he proceeds to conduct his business with discipline, not being disappointed with personal losses, as he knows that good results will be achieved in the long run. The light at the end of the tunnel is finally visible.
4. Conscious ability
In the fourth step of the process, as long as the system instructs you to operate, the operator will begin to trade, and he fully accepts the risks involved. He quickly reduced losses and sought to maximize his gains in a disciplined manner. This is not part of his nature, but he knows he wants to be profitable and needs to manage it constantly.
5. Unconscious ability
The trader finally wins. He does this so often that it becomes natural. He is now able to perform exceptional operations with confidence and awareness. In addition, he has mastered his emotions and can now make money.