Patience is a virtue for living and a necessity in trading. What you are about to read below every single professional trader does on earth, they wait.
They wait for the proper entry. They look at chart, read the financials, find the catalyst, study the numbers and make a post on social media. And when the market opens, they wait for entry and buy signals to tell them to get in. And the crazy part is this, after you get into the trade, you have to wait for the explosion. And after the breakout happens, you have to wait for the proper exit. All this requires patience!
I know you forgot, this is why I am reminding you. I’ve learned the hardest part of trading is not the entry, but the exit. I’ve learned after you make an entry there is nothing you can do but wait and be patient. People often forget so they micromanage the trade and often they get out too early before the explosion is about to happen. Is it possible to get out too late if you used a stop loss? LOL.
No different then you waiting for the bus, for the right person to come along to love you, for the strawberries in the garden to grow and for class to be over. You have to wait. You can’t rush through life and you certainly can’t rush through a trade. People expect too much of something they can’t control. Once you get into a trade, how on earth are you suppose to know when the breakout is coming? So the best thing to do is to set a stop loss and just wait. This is in fact all you can do. Once you get into a trade all you can do is wait for move towards your profit target or the move that stops you out. You seriously have no idea where this stock is going. If you did, would you be reading this?
Here is the rule in technical analysis, the longer a stock takes to accumulates and consolidate in an area of support, the bigger the explosion. Why is that?
Here is the rule for life analysis, everything beautiful and worth living for takes time and effort. Why is that?
Look, your profit and loss is a reflection of you as a person. You can’t escape who you are in life and in trading. If you are impatient in life, it will show up in the market. If you are greedy, fearful, stubborn, it will all show up in your results. If you are sexy as fuck, it will show up in your profit and loss too. Just joking. =) Muah.