Trading and Life

Jitender Yadav comes back after a long break. He writes:

We traders often become so involved with our trading that it starts taking most of our time and mind space. If a trader has little or no time for family and friends and if he is not enjoying other areas of life than it will surly have adverse impact on his trading as well. Trading is just a part of life and is a mean to fulfill dreams though trading often becomes all that is about life for some traders.

While getting back to trading after a break of almost 6 months I have got a fresh perspective of life and trading. Some of my observations are-

A cool and calm composure of mind is most important for success in trading.

Too much analysis will only lead to paralysis.

Sometimes we get too much involved in minute details of the short term that we completely overlook the big picture. In times like these we should take a few steps back and have a bird’s eye view of the big picture.

Even Technical traders cannot completely ignore the fundamental factors.

If You can follow only one rule then it is “cut your losses short and let your profits run”.

There is a very fine balance in being dedicated to trading and being addicted to trading. We should keep trading in perspective. Trading is a performance sport and one should keep away from getting burn out.