Being a disciplined trader is what matters the most in trading. Trading is a tough business, and in order to make consistent profits over a longer period of time, you need to maintain that discipline in trading.
Often many traders come into the market with excellent trading systems and Risk Management rules, but they fail to follow discipline in trading and irrespective of having excellent trading systems and risk management rules, they make a loss. That is why being a disciplined trader is so important.
In today’s article, we are going to discuss the top 3 hacks which will help you make yourself a disciplined trader and eventually, you will make a lot of money from the markets if you apply these hacks in your trading.
This is the most common problem of new traders as they always want to make money or be in a trade. In order to be a disciplined trader, you need to overcome this psychological problem.
Often, entries that you take due to FOMOs are bad entries, and exits that you do because of the FOMOs are bad exits. To avoid this problem, you need to understand that markets are an ocean of opportunities. Even when you miss some opportunities, it does not matter much because better opportunities are always waiting for you in the future.
On the other hand, if you take entries for fear of missing good trades, it will be very difficult for you to make consistent profits. This is the most common problem traders face, and to avoid this, you need to follow your trading system. So, you should only take the trade when your system indicates a clear opportunity coming your way!
This is one of the most effective ways to avoid overtrading. Overtrading is an enemy of profitable trading, and to become a disciplined trader, you must avoid overtrading.
To avoid overtrading, you need to make some rules for yourself, and one of the best rules you can make is to set the number of trades you will take on a particular day. This will help you to avoid overtrading and choose only the best opportunities to trade. This hack will surely help to make you a disciplined trader. If you use Zerodha as your broker, it offers you an excellent kill switch feature.
This feature works in a way that when you complete a predetermined number of trades, let’s say, for example, 2 trades. Once you make those two trades for a day, then you just simply have to turn on that kill switch; once you turn it on, Zerodha will not allow you to place further trading orders. In this way, it will help to make you a disciplined trader.
Journaling is something that almost every profitable trader does whenever he/she is trading. Journaling will help you a lot in the development of your trading system. Journaling helps you in analyzing how your trading system is performing in live markets and also whether you are following it with 100% ability or not.
By knowing this, you will see exactly where your trading system is going wrong or where you are making a mistake. So that next time, you will improve your trading system and trade better.
Also, another advantage of journaling your trades is journaling tells you about the thoughts coming into your mind when you are trading. As we say, our thoughts define our actions; by improving our thoughts with the help of journaling, we can definitely improve our actions.
These are the top 3 trading hacks through which you can make yourself a disciplined trader. Discipline is the necessary ingredient of successful trading, and you must be a disciplined trader in order to make a sustainable as well as profitable trading career.
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If you want to know about Intraday Trading Strategies, you can refer to our previous blog on 10 Best Intraday Trading Strategies
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