Many people aspire to trade, but take very different paths to get there. Some seek out a roadmap to get put on a directed path to speed and enhance their progress; others decide to go it alone and grab information from numerous sources.
Trading takes smarts, work, finding a lens to view the market and learning basic trading principles. Next is determining what to trade and a specific style. Then identifying or creating one or more trading strategies, and adopting tactics to implement the strategies.
Next is paper-trading to gain comfort with tactics, process and execution, then low position-size, real-money trading. Once you achieve a certain level of competency you can then start to create trading goals connected with personal financial objectives. Paramount throughout is risk management, proper position-sizing and emotional discipline.
Like the markets, a trader’s progression doesn't follow a straight line and it’s not without hiccups. There are light-bulb moments, setbacks and periods of despair. Virtually every trader, both those who are successful and those who aren’t, go through everything above.
But while the general things aspiring traders experience are similar, the specifics widely differ based on how they approach their education. Variables include:
As an aspiring or novice trader you should take a serious look at your development path…Make sure you’re wisely spending your tuition.