By Toni Hansen and Brandon Fredrickson
1. They stay neutral;
2. They have a business plan;
3. They keep a journal;
4. They focus on 1 to 3 techniques
that suit them well;
5. They are great money managers;
6. They are comfortable with risk
and uncertainty;
7. They accept personal responsibility
for all of their trading action; and
8. They use risk capital to trade.
1. Staying Neutral
You're probably wondering away just
what do I mean by that? You know the guys you see where if they take
a loss of $100 the whole world sucks and if they make $1000 they are on
top of the world? Well, they definitely are not neutral. They let
the market control their emotions. The professionals don't let the
day to day oscillations in their accounts phase them. The results
in one week don't matter much, and the results even in a month. It's just
a small blip of time in their career, so the day to day oscillations don't
really matter. It's the average over time which is important. With great
traders, it's hard to tell their good days from their bad days as their
attitude remains for the most part unchanged. They don't go touting to
every message board and chat room they can find how they just doubled their
account and should be worshiped for their success. Nor do they whine about
how the market makers or specialists have it out for them and they can
never catch a break. While no one is a robot, completely devoid of emotional
response, successful traders generally have learned to control the swings,
thus leading to more objective trading.
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