Top 3 Ways to Grow Your Trading Account

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Top 3 Ways to Grow Your Trading Account

Top 3 Ways to Grow Your Trading Account

 

To Grow Your Trading Account, you need a lot of discipline and the right mindset. Growing your trading account seems quite an interesting task but in reality, it is quite challenging. It’s not at all easy to get consistent returns from your trading every month although it looks simple to people. Especially, when you are continuously losing money and not getting the best way to trade, it looks nearly impossible for you to grow your trading account. After drawdowns, traders find various ways to grow their accounts, but they fail to find the exact process of growing their accounts.

In today’s lesson, I am going to tell you the exact process of growing a trading account. If you follow this process over a period I am sure, you will definitely grow your account.

1. To Grow Your Trading Account You Should Think Practical

This is the most simple yet most effective point when it comes to growing your trading account. For a practical example, let’s take a look at reality, when you do an FD at the bank, how much returns do you expect from them, nearly 5-8% per annum? Even if you invest in mutual funds or in stock, on average you get around 20 to 25 % of returns on your capital. So, how can you expect 100% 200% returns on your capital in one year through trading?

The main reason due to which people enter into the trading business is they want to make some quick money. Most people want to double their capital at the beginning of their trading career, which is not easy for everyone or almost impossible for new traders.

What I have observed in my trading career is that people with small accounts always want to double their capital and on the other side, the people with bigger capital, patiently wait for the right opportunity. Experienced traders always have realistic expectations with the returns and that is the important reason behind their continuous and sustainable growth in the market.

2. Focus on Mastering One Strategy

When new traders trade with a particular strategy and they get profit in 2 or 3 trades they think that this is the most effective strategy in the world and when they make a loss in the next trade they think this strategy is not working for me, let me try another strategy and cycle repeats.

Instead of trying a lot of strategies, you should always trade with one strategy and try to master it. It will take time, no doubt about it but once you master one strategy then you have that edge in your trading.

One more important thing that I want to clear here is understanding the risk you are taking. Even if you have mastered one trading strategy you can’t put all your money in one trade and hope for profit. Risk Management is very much important at every point. Many traders commit this mistake and end up losing all the money they have.

Traders who focus more on money, profit, and rewards actually find it very difficult to trade and those who focus on learning how to trade will eventually make more money than normal traders.

This phenomenon happens because when you trade with the expectations of profit then you will have the additional pressure of making money and when you trade with the intent of learning then you don’t pressurize yourself for making money.

3. You Can’t Capture All the Moves in the Markets

This is a very common problem for all amateur traders. They always want to capture all the moves in the market. Many times traders fail to keep big profits in the hope of capturing the entire move.

Many traders once they get their targeted profits, hope for more profit and they let their profits run even after the targets but the reality of the market is different.

Markets always tend to rotate, the market will not continuously move in one direction, I would rather take the RR of 1:2, 1:2.5, or 1:3 and cut my position rather than hoping and holding the trade with the intention of capturing the entire move.

Obviously, there will be some times where you should keep your profits running such as in bear markets or in bull markets where markets offer you great risk to reward ratios but in most of the cases, you should think practical and get out of the trade at the right time.

Now, the question comes when we should keep my profits running and when I should exit my trade after hitting a target? That kind of judgment is achieved by your experience. There is no specific answer to this question.

As you get more exposure to the markets and as you spend more time in front of your trading screen, you will eventually get the answers to all such questions.

So, these are the Top 3 Ideas or Rules using which anyone, even a beginner can grow his trading account but you have to follow all these rules every single time you trade. I hope that through this article, you get the exact process of growing your trading account. Let me know your views about these rules, you can comment in the comment section.

If you want to know more about Risk Management & Intraday Trading Strategies you can refer to our previous blog on

Importance Of Risk Management In Trading and 10 Best Intraday Trading Strategies.

 

Open a Demat Account using our link to get support from us – https://bit.ly/3gyhIWN and send your ID to [email protected]

Happy Learning!

 

Booming Bulls Academy

35 Comments

  1. Feeling proud to be a booming bulls student bcoz you always comes with a practical talks which really works in the market as well!!!

    1. Thank you, Aman, glad that you find the blog helpful. We constantly try to bring helpful blogs for our traders and will continue doing so.

  2. Rule no.1 is related to me. Every time did this mistake. At the time of stock selection, I think about money, profit and in that situation, I didn’t pick up the right stock and it’s losing my capital.

  3. Sir i am your student i following the process but what will exactly happen with I don’t know I make profit of 500 to 1000 per day but i want to more money the that profit will goes into loss I can’t control my emotions what exactly I do for my trading sir

    1. Greed and Fear are the biggest enemies of trader. If you’re making 1000 Rs daily, then continue to compound that money and over long time you will be able to reap the benefits out of your compounded returns. Making big money is not required in markets, but making consistent money is important.

  4. First of all I wish you a immense success in your life. The way you had taught was amaging and different mindset of trading.
    I am trying to learn continuously about trading and try to mastery in a profitable strategy….and Thank you for a psychology part which is 99% important as I have seen.

    1. Thank you, Nitish, glad that you find the blog helpful. We constantly try to bring helpful blogs for our traders and will continue doing so.

  5. This is the perfect guidance to the beginner. Thanks or reminding me too. Revising the lessons learnt from your class. Revision always helps!

  6. Anish Bhai you are such THE great mentor.you learn more and more psychological lessons to me and all friends thew you tube, Thanks a lot Bhai , continue it……

  7. We forget the basics when we are in the trade . These are to be displayed on the screen with the alert noise (BOOMING) above the trading screen.

    1. Give us a call on this number for course details +91-8130245100
      9 AM to 9 PM: Working Hours

    1. Thank you, Kuldeep, glad that you find the blog helpful. We constantly try to bring helpful blogs for our traders and will continue doing so.

    1. Give us a call on this number for course details +91-8130245100
      9 AM to 9 PM: Working Hours

    1. Give us a call on this number for course details +91-8130245100
      9 AM to 9 PM: Working Hours

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