Don't try to be one of those who attempt to learn on their own and usually end up losing their capital in the process. This risk is very real as my experience will show.
It happened to me, don't let it happen to you: When I first began to trade, I spent a short time educating myself and thought I was ready to go. I started trading and started making some money. The excitement and my confidence built up! Within a short time however, my losses started to catch up with my winnings. I would enter a trade, get stopped out and then to my dismay, I would see the price start climbing the next day. Frustration started to set in.
It wasn't long before I started to panic which caused me on occasion to widen my stop losses on losing positions in hopes they would reverse themselves, which only resulted in larger losses. Within a year I had single handedly destroyed almost half of my trading account.
Words alone could not tell the frustration I felt, as I knew of other traders who were raking in profits month in and month out, so I knew it could be done. That's when I decided to get serious. I stopped trading, at least with real money. I took a few short courses and stared reading more books and even wasted time in search of the Holy Grail. Over the next couple of years and several reams of paper later I paper traded and recorded everything I did. Every win and every loss documented to the last small detail of the trade, looking for the common thread of success.
In my case the saying was true, "I couldn't see the trees, because the forest was in the way", but when I had finally put enough pieces of the puzzle together, I began to understand what I was looking at. When I finally found out what worked, I was amazed at how simple it was. It was like the combination to a safe. Just a little error made the difference between success and failure. Success had come, but it was a long, hard road and an expensive one.
If you are really serous about trading, you won't pass up this opportunity. Unfortunately charts won't scream at you when to enter or exit a trade. But if you know how to pay close attention and what to look for, you can hear them whisper. Remember, it took me years and over half of my trading account to become successful at trading. Let's be honest. Learning everything there is to know about the stock market is no easy task, but you don't have to learn it by yourself and you don't have to learn it all to be profitable. If you thoroughly understand just one strategy, you can repeat your success over and over again. You will have the potential to find trades like the one below. When the price seems to mysteriously rise, it won't be a mystery to you at all and you will be prepared to enter at just the right time.
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