Home > Lessons from the trading floor > day trading: trading with urgency

day trading: trading with urgency

When day trading for a living it is crucial you understand that you are trading for the month, NOT by the hour. You are not trading time for money with the job market, you are using skills to earn money from the stock market.

It is imperative that you get out of your head the result of any one particular trade. If you manage risk properly (translation: keep small losses small) and internalize the fact that your number one job is to preserve capital for the opportunities that “line up” so you can build a position as it moves in your favor.

GET OVER TRADING TO BE RIGHT! GET OVER IT NOW OR YOU WILL NEVER MAKE IT AS PROFITABLE TRADER. Your job as a trader is to manage risk. Taking losses is a HUGE part of the business. Get comfortable with it.

Whats the big deal about taking a bunch of small losses? Stop whining your timing is off! Small loss, small loss, small profit, then one big trade. thats the reality of trading.  Keep yourself in the game while you are gaining experience. Thats how a professional makes a living. Anyone who tells you they always make money is lying. Trade with a sense of urgency while managing your losses. Trade as if you must pay your bills from the first month of trading profits, that means trying to NET money. That means preserving capital.

Preserving capital is not trading scared. It is smart business. The market offers abundant opportunity for you to make a wonderful living as a trader, your job is to make sure you are in the game long enough to gain experience and an understanding of those opportunities to increase leverage.

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