To answers these questions and i am sure most are wondering why i am posting negative comments: To become a successful trader, one must know why more than 90% of small traders lose in a "spectacular fashion." Of course, a person will not have the answer to the question. The answer to the question must comes from those 90% of losers (big losers). To win the game, one must know and do extensive study why people are losing and not do extensive study on how to profit. I am pretty sure those 90% losers begin researching on how to profit instead how these losers lose in a spectacular fashion! Once your research is done, u can begin to create a successful system. The truth hurt more than 90% of traders lose. If you can't stand the fact more than 90% are losing, you should really give up and move on. 1 out of 100 newbies will survive in this game. More negative threads will be coming.
Actually, no, you didn't answer why you are harping on this issue. And you are scaring away the fish, they provide liquidity and money to be taken away.Imagine if only 10% of the current lottery players would buy tickets from now on. The lottery companies would go bankrupt. Oh yes, and we already answered your stupid question 200 times so why don't you enjoy your life and 2 ES pts per month instead of being the Saviour???
There are a lot of excellent answers in this thread. Use and study those answers. You will see many books like soros, warren buffet, and others telling a story how they became rich. You will see many in the google search how a systems and coaching will make u rich. However, u will rarely see a book, or any link in google search how and why more than 90% of small traders lose.
I see your point -- it's important to include what not to do, along with what to do. For example, most instruction manuals begin with the safety warnings to avoid injuring yourself before the instructions of how to operate the machine. Good point about not starting with how to profit as most sources begin with; one of the best lines I've read is, "this is not baseball, don't keep your eye on the ball as it is pitched to you." But do the answers posted so far come from members of the 10% or the 90%?
This is a basic research. For example, let say a medical reseachers are on a project to cure lung cancer. Instead researching potential vitamin plants or liquids, they begin to research on when, what, why, where, and how other researchers fail to develop a cure. That will take years of years to stiudy before coming a up a correct cure formula. That is the process of finishing the project. Back to trading. I have mention other thread that if a person holds a master or Phd degrees are most likely to become successful traders vs others because they learned in school on how to do a research which is why most hedge funds, banks, prop firms, HFT firms, and brokerages (Goldman sach) hires the best academic grads vs others. They hire the best! Hope this help
When a person with a Phd degree got hired at Goldman Sach and survived in1 yr making an annual salary $200K and a total bonus $100K, he found his "EDGE." He is a pure trader (real trader) and believe me, he does not do what those 90% losers searching for a holy grail system by spending thousands of dollars on these 3rd party vendors and blew their personal saving account. Just too bad!