Street Smart Forex Trading Tip #2

As a new trader to any of the financial markets you will need to go through several phases to complete market mastery.

PHASE 1:  As a newbie it pays to learn a lot of strategies to get a general feel for all the types of trading. At this point you don’t need to find your “Holy Grail”, instead you just want to see what appeals to you.  Think of it as the first year of college where you’re taking a variety of classes so that you get a broad education.  And as often happens the new student who was convinced they wanted to major in a particular area now discovers something totally new.  Something that better suits their goals, interests and personality.

PHASE 2:  After you’ve gone through a bunch of trading systems, software, courses etc…  Odds are you’ll find yourself gravitating towards one in particular.  In this phase you want to FOCUS 100% on one system and don’t look at another until you can make money with it on a regular basis.  The biggest challenge in this phase is not to be tempted by all the other programs advertised that promise instant riches.  Even more challenging, is when you’ve had a series as you’ll begin doubting your system and even worse, doubting yourself.

PHASE 3:  In this phase you can introduce another system into your bag of tricks. You see, no one system can capitalize on all the market conditions so by having a 2nd system you’ll find more opportunities.  You also want to make sure that you can make money on a regular basis with the second system.  You really need to be on the top of you game at this point as trying to trade 2 systems at one time is very hard without 100% focus.  If this is too much for you and you find yourself making unnecessary mistakes then I would say go back to PHASE 2 and become a specialist on that one system.

So how long does it take to master the markets?

Well everyone is different so there is no one size fits all answer.  I can tell you this… I’m a firm believer in the studies that have been  done that suggest it takes 10,000 hours to master something.  As a person who’s been in the markets for 20 years and clocked in over 10,000 hours, I can tell you that it’s only now that I’m feeling like I’m truly coming into my own.  I can also tell you that we will always be students of the market regardless of how many years we do it because it is always changing.

Does this mean that it will take you 10,000 hours to make money trading?  No not at all, but keep in mind its not as easy as installing some software on you computer and sitting back watching the money roll in.

Anyway, just wanted to give you some food for thought…

Peace & Prosperity

-Jeff Wilde

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