The pits at the exchange are exciting. Traders frantically move about the floor, buying and selling. It’s exciting to watch. You can feel the energy and it can psych you up just by watching. Well, that depends. Some people may find it noisy and anxiety-provoking rather than energizing. The frantic motions of the traders may put them on edge. The environment in which you trade does make a difference. Everyone has his or her own personality and preferences. Some may seek out hustle and bustle while others may prefer quiet serenity. It’s important to decide which environment you prefer and create an environment conducive to your style.
There isn’t just one right way to trade. Some people prefer constant action while others prefer a quiet, meditative approach to trading. Some traders prefer to do extensive backtesting in a serene atmosphere. They love to just quietly sit by themselves and study charts. When it comes to placing the trades, they may actually call a broker rather than place the trade themselves. Indeed, some professional traders who prefer concrete, data-driven approach to trading actually dislike placing trades. They prefer to call a broker to place the trade. To them, the enjoyment of trading is in developing a sound strategy, rather than taking the action to place the trade. Again, there’s no one right way to trade. What is right for you may not be right for someone else. It’s just a matter of knowing what you prefer and matching your trading style to your preference.
Other traders take a more action-oriented approach to trading. They prefer to think intuitively. Sitting around searching charts bores them. They like noise and excitement. They may actually turn on CNN to give them a sense of the trading pits.
The environment you decide to trade-in is critical to your success. Some prefer a quiet environment where they can think clearly. Others need action and excitement. Which do you prefer? Whatever environment you find helps you trade with an optimal mental edge is the one that you should cultivate.