This is Nathan Tucci following up with my most recent article: The PLAN for Success in 2014
We just finished our first session for this program. Week 1 was all about expectations and I want to discuss some of the important bullet points we mentioned in the live sessions today.
The most important thing we stressed today was that if you want to be successful this year, you must be committed to the process. The process of working one step at a time until you achieve goals. The process of making mistakes and learning from them.
This idea of following the process to become successful begs the question:
How do you define success?
Well, that is the question that definitely needs to be asked.
Most of the online gurus are telling you that successful trading means doubling your account every month, making millions of dollars and living the life of your dreams.
While all that sounds nice, that is NOT how you should be defining success. That is not how you should be setting your goals.
This is especially important because if you don’t have a reasonable standard of success, it is quite literally impossible to achieve success.
That means that you MUST define what success is for you in order to be successful this year.
Let me help…
If you lost money in 2013, your expectation and your goal should be to have a net profitable year in 2014. That’s it.
You shouldn’t be trying to double your account or make a million dollars. Setting an impossible goal like this will guarantee that you fail.
The problem with a lot of traders is that they would rather try to make a million dollars 5 years in a row and lose all 5 years, then to instead have a goal of being a break-even for 1 year, then 15%, then 25%, etc.
That is called building a successful trading business and most traders simply refuse to do it.
If you aren’t willing to adjust your expectations in order to start a successful process, we probably can’t help you.
If you are willing to do so, I believe this can be YOUR year!
We are going to be releasing articles every single week that deliver more content and give you information on the process to becoming profitable this year; but the first thing you need to do is set a goal.
We suggest that you write down your goal for this year on a physical piece of paper and put it on your computer screen.
So, if you were a losing trader in 2013, here is what we suggest writing down on a piece of paper:
“2014 Goal: End the year with my account (acct # 2312432) above its current balance of $2,345.00”
Something along those lines.
If that is your goal and your expectation, you are in a great place.
Because you won’t need to over-leverage, over-risk, or get emotional trying to reach some crazy goal. Once you adjust your expectations, it becomes a lot easier to trade reasonably., and again, we’ll get into this in more detail as the program continues in 2014.
For now, I want to leave you with this advice.
#1 Adjust your expectations
#2 Make a reasonable Goal and Write it Down
#3 Don’t forget it!
#4 Position yourself to succeed
But how do you position yourself to succeed?
Quite easy, actually.
All you have to do to be in position to reach the goal of being net profitable in 2014, is make sure that you don’t take major losses.
As long as you don’t take big hits and get into a big drawdown, you will always be in position to get BACK into net profit for the year.
Sure, it sounds simple, but the truth is 95% of traders refuse to do this!
If you would just say, “OK, I am only going to risk 10 bucks per trade to practice my trading for the first half of the year” you would be putting yourself in great position for a net profitable year.
Six months down the road, instead of being down 50%, you would be down a few hundred bucks at most (possibly break-even or profitable) which means that a few good trades or a nice winning streak would get you back to not profitable for 2014… Which IS your goal!
Now, obviously I have simplified this, but if traders could just grasp the concept of setting the right expectations and positioning themselves to do so, we would see a lot more successful investors.
We’d see many successful investors building from one year to the next, hitting one goal at a time and becoming wealthy later on down the road. And that is what we’d like you to do.
I hope this article sheds some light on what you can do in 2014! Feel free to post your Goal for this year in the comments below.
Winner’s Edge Trading, as seen on: