Process Over Profit
Yup. Process is more important. Please don’t hit “delete” until you’ve read on, because this is the most important blog in our series. This subject has been covered before, but we consistently see it come up over and over again. Why do people think trading success can be achieved just by learning a simple entry and exit signal or following an automated red-green sell or buy indicator? Becoming a trader is one of the most desirable career paths out there, so why would anyone think that something so valuable would be easy or cheap? Is it easy to become a Doctor, a Lawyer or a musician?
How much time does it take to become a skilled carpenter or machinist? Can you take one French class and go to Paris that next day and become a French-American translator, or read a book on sewing and start making dresses for the red carpet at the next Oscars? Cooking class right to world renowned chef? Of course not, life doesn’t work that way, so why would trading?
We could go on with examples all day, but the main point is, it takes work to become a successful trader just as it takes work to become a successful ANYTHING. Now for the good news; there are no barriers to entry anymore, especially in binary trading at Nadex. No racism, sexism or nepotism in trading. You are your only barrier to entry, your only obstacle to overcome, and the biggest hurdle you must leap is the perceived need to produce profits now, your completely natural desire to attach feelings of success of failure to the daily up and down of your P&L. This can’t be said strongly enough: Focus on your process and the consistency of your actions. The only way to adjust a recipe and make it better is to know what you put into the previous batch. Just like any business, profits come out of doing the right things consistently and patiently. Trading in general works the same way, so focus on your process. Focus on repeating it consistently and improving it weekly and next thing you know….you’re a trader, and you didn’t even see it coming.
Futures, options and swaps trading involve risk and may not be appropriate for all investors. Past performance is not necessarily indicative of future results