Is stock trading difficult? Depends on who you ask.
A seasoned trader with the discipline to follow well honed principles will say “trading is not difficult. See how I take losses and let my winners run?” A battered and bruised, emotionally unstable trader will say “the market is difficult. I am getting my @ss handed to me on a platter and it hurts!” A breakeven trader will say, “compared to my broker I am not doing so bad.”
Our perspective makes all the difference in our success of failure. If we can have the proper perspective then the market cannot hurt us.
The proper perspective includes, but is not limited to, the following:
The market will do what it wants to do when it wants to do it regardless of the technical games we play.
We win some lose some, in no particular order, on any given strategy.
The only trading mistake that matters is when future uncertainty is not properly considered an essential element of risk.
The long-term process, not short term outcomes, builds the consistency necessary to tackle market uncertainty.
Responsibility accepted before the trade becomes the disciple that carries us through the trade.
The best money is oftentimes made by being a non-participating, impartial observer.
So the next time someone asks if stock trading is difficult. What will be our answer? Will it be based on the proper perspective or on the last trade we made? On emotions? On our reaction to price action? News? Compared to what? A successful bust or a skinned knee? The answer can make a difference.
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