Many novice traders have difficulty facing a cold, hard fact about trading: You can’t get rich overnight. You’ve got to just take it one day at a time, and make a relatively small amount of profit across a series of trades. Experienced traders know this fact. They may hope to make big profits in the long run, but on any given day, they just focus on making as many reasonable profits as possible, not on a single, life-changing trade.
Many traders may know this fact, but it is hard to accept. Many are initially drawn to trading with the hopes of making big profits, money that can be used to finance a luxurious, exciting lifestyle. Or money that can be used to show family and friends that one is deserving of envy or respect. It’s dangerous to approach trading from this perspective, however. It directly contradicts the fact that it’s going to take some time before one makes enough money to support a new lifestyle or to impress others.
What’s the harm in dreaming of making big riches? Nothing, if you realize it is just a fantasy. If you don’t, you may want to act on it. If you dream about how big wins can change your life, you’ll start to want to make extremely huge profits, and then, it’s likely that you’ll start taking measures to make these big wins, even when low-risk opportunities are not available. You may take bigger, riskier trades with the hope of being lucky enough to triple your capital. Or you may be tempted to stray from your trading plan because you see the potential to make a big win. You may even abandon all risk controls because you may start to think, “Unless I can make some big money fast, trading isn’t worth it anyway.”
It’s important to stay modest. It is unlikely that you will be lucky enough to be set for life after only a few big trades. You will have to put in a long, hard effort just as all seasoned, successful traders have done. It’s vital for survival that you take the proper perspective. Someday you may be wealthy and have an exciting lifestyle, but it isn’t going to happen tomorrow, or probably in the next year. For now, just take it one day at a time. Focus on the process of learning how to trade. Trading is fun and you should enjoy yourself.
When you take this perspective, you’ll be satisfied with your trading outcomes no matter how well you are doing. And when you trade a detailed trading plan, use proper risk control, and just aim for a reasonable, realistic profit, you will trade more calmly and objectively. You’ll start piling on profits, and maybe over time, you’ll make the kind of money that can fulfil your grandest dreams. But for now, hard work, realistic goals, and persistence are the only things that will help you become a consistently profitable trader.