| Imagine the perfect business...time freedom, you | | | | many smaller profits (and fewer, even smaller losses) |
| control your own destiny because you have no boss | | | | over a long period of time. They build their accounts |
| to answer to, you can work anywhere you have a | | | | steadily rather than plunging a large chunk of their |
| laptop computer and an Internet connection, and | | | | capital on one position and hoping for the best. |
| potentially lucrative earnings...Emini futures trading has | | | | No matter how good your system and analysis, you |
| all this and more. | | | | will have losses trading the Emini. By keeping them |
| So why is it that so many people who trade the | | | | under control you can gradually build your wealth, |
| Emini market, probably at least 80% of those who | | | | grow your account and stay in the business long |
| try, fail to become consistent, profitable traders? | | | | term. |
| There are many reasons, but here are three major | | | | But one catastrophic loss can shake your confidence |
| road blocks that stand out among the traders I | | | | (not to mention your account balance) to the point |
| know that tend to limit a traders' career to weeks or | | | | where you will eventually give it away and stop |
| months instead of years... | | | | trading. Professional traders always consider the risk |
| Road Block 1 - Not taking responsibility for your own | | | | return ration of any trade and use prudent position |
| actions. | | | | sizing to minimize risk while maximizing their potential |
| Taking responsibility for ones own actions brings up a | | | | profits. |
| huge divide between good traders and those who fail | | | | Road Block 3 - A lack of trading knowledge and |
| to make it long-term. Any time you hear a trader | | | | experience |
| blaming his Broker, the Fed, the TV journalist, other | | | | Many traders read a couple of technical analysis |
| traders running stops or anyone else, you just know | | | | books, glance through a book on Candlestick charting, |
| they probably aren't going to make it as a | | | | and set off with high hopes of becoming a |
| professional trader. | | | | professional Emini trader. Unfortunately there's a bit |
| Professional traders never blame anyone or anything | | | | more involved in trading success than that. |
| else. They make the decisions based on their analysis | | | | The problem with reading books and most training |
| and live with the consequences. These outcomes can | | | | courses about trading is that they usually only give |
| range anywhere from profits and losses, but the | | | | you part (and often a very small part) of the big |
| good trader knows that if he sticks with his winning | | | | picture. All professional athletes, business owners and |
| system he will make money over the long term. | | | | entrepreneurs have coaches, advisors, mentors or |
| You cannot blame other people's actions for your | | | | boards of experienced directors to guide them as |
| results. Stick to focusing on the things you can | | | | they build their businesses. |
| control, take responsibility for your actions, even | | | | To become a professional trader, you too need a |
| when they result in a loss, and your trading results | | | | coach or guide to show you the ropes, test and |
| will improve over time. | | | | challenge you, and help you to succeed at the very |
| Road Block 2 - Become risk averse instead of going | | | | highest level. The best coaches are people who have |
| for the big profits on every trade | | | | been there, done it, and have the experience to |
| If you take big risks in the Emini market you'll most | | | | show you the short-cuts to success. |
| likely have a very short trading career. The huge | | | | Find somebody who can share this knowledge with |
| leverage futures trading gives you means that your | | | | you and you will increase your chances of becoming |
| gains and losses are magnified, so overtrading, or | | | | a successful Emini trader immensely. Try to do it on |
| taking a position that is too large for your account | | | | your own and you'll waste years of valuable time and |
| can create catastrophic losses and force you out of | | | | money trying to work out the best system for |
| the game. | | | | yourself. |
| Profitable traders tend to be risk averse, taking | | | | |