Trading is difficult. It’s challenging. It’s sometimes downright disastrous. But boy, is it fun. Especially when you get good at it.
But like with any trade, it takes time. You can’t just wake up one day and suddenly become a pro trader. And that’s the silver lining. It means that every big fish trader started out as a small fry – just like you. So you’re not alone, believe that.
Bruce Gets It
However, you don’t have to take it from some anonymous ghost on the other end of the screen. Just listen to our Director of Options and Income Trading, Bruce Marshall.
“Even now… I still learn stuff, and I never stop learning,” Bruce said.
And he’s been trading stocks for more than 30 years and managing accounts of $150 million.
Understand that at times you’re going to fall flat on your face, and then you’ll fall again. But you get back up and realize it’s part of the process.
Henry Gets It
Even the Senior Managing Director of Simpler Trading, Henry Gambell, knows the feeling that every beginning trader has.
“There’s been plenty of times where it sucked super hard,” Henry said. “Anything that you get into and you really have passion behind and it just doesn’t work… then it doesn’t work again, is difficult.”
Mind you, when he was asked this question, he followed up with an audible sigh because yes, trading is hard. That’s why for Henry it’s incredibly important to have a sound personal life. For him, there’s a direct correlation between life and trading. Every morning he gets up and either participates in yoga or meditation.
“If your mind is right and everything in your personal life is working well, then it will make it easier to have good trading success,” Henry added.
For many traders a huge hurdle is the psychological aspect of trading. So if you’re struggling as a novice trader, or maybe you’ve been at this for awhile but it’s still just not clicking, try getting up 20 minutes earlier and taking a few minutes to meditate. If you can maintain composure when approaching the market, you’ll be inherently less likely to make emotional trading decisions. Emotional trading generally leads to rash decisions.
Granted, making sound decisions also comes with time and experience in all different kinds of market conditions. That’s one of the many reasons Simpler Trading came into existence. Our traders have that time and experience, and they want to help you learn.
Bruce compared trading to becoming a doctor. If you want to become a doctor you go to medical school. Then, even after your first class, or first week, or first year, you’re still not really a doctor. You have multiple years of schooling and then residency on top of that. In that time you go through experiences and attain knowledge that only make you a better doctor when the time comes.
“You don’t know what you don’t know until you wade through it time and time again,” he added.
As you continue your journey to trading success, don’t think that you can’t make a million dollars right away – it’ll take time to get there. Our traders have waded through it, so feel free to think of Foundation as your trading school.
That’s probably the best piece of advice our traders can give you.
“You have to have realistic expectations,” Bruce said. “Don’t think you can just read a book and know it. It takes years, and years, and years.”
And even when you have been doing it for years, you still may be missing the mark – that’s totally normal. People who have been trading for years will fall into bad habits every so often, or maybe they never got out of the bad habit to begin with.
If that’s you, you can turn it around.
Danielle Gets It
Danielle Shay Gum, the Director of Options and the lead trader in Foundation, knows all about coming up short. Back in January of 2016, she had a losing streak, and a really solid one at that. She went about four consecutive months losing, and this wasn’t her first rodeo.
“This happened to be during a time frame when the overall market was really taking a turn,” she said. “I almost quit.”
But she didn’t.
She didn’t have any money, so she charged everything to a credit card and booked a plane ticket to Austin for our annual Mentorship.
“And I met Carolyn,” she added. “She taught me fibonacci, and I learned how to get in and out at the right time.”
Which is crucial. Learning when to exit is one of the pitfalls of most traders. They stay in too long or get out too soon. You need to find that sweet spot.
As Danielle puts it, “You can get in trades all day long… getting out is where you make your profits.”
That’s the reason any of us do this thing called trading anyway. When trading comes to mind, a quote by Warren Buffet follows closely behind: “Investing is simple, but not easy.” You can easily put your money into a brokerage and move your clicker to either buy or sell, but we all know that’s not trading.
So if you fall on your face, we’ll do everything to lend you a helping hand. In the words of our Senior Managing Director, “You can make a big difference by pursuing this life [in trading].
Want to learn more about foundational trading strategies? Join our Foundation Membership! Check out the details HERE.
This is the first installment in a blog series for Simpler Foundation. This series will cover a range of topics from trading mishaps, trading advice, and women in trading. Our hope is to help you feel like you’re not alone, and that your trials and tribulations will only benefit you in the long run. Of course, we want to help prevent as many of those as we can, but tripping over yourself is part of the process. As you can see, every one of our traders has done it time and time again, and that is how we are uniquely qualified to share our experiences for the benefit of those wanting to take this journey.