Listen carefully....I also get it wrong, which is why I RISK MANAGE!

Hello all from a lovely day in Surrey!

So, I had an interesting conversation with some trader friends of mine. The reason I say interesting is because the mindset of the human being never ceases to amaze me! They mentor a lot of beginner and advanced traders who also follow my blog. However, what they've noticed is that people only listen to what they want to hear! Or in this case read parts of what they want to hear!

For example, the past few trades haven't triggered and the ones that have, depending on how you entered got stopped out. Now, in my post I explain my thought process and the reasons I look at certain trades. Why? Because I want every reader to understand trading is about looking at the markets the same way every single day. Let's take the recent FTSE trade. For those of you who have been following me for a while, you know that I am medium/long term bullish on global stock indices (due to seasonals, dow theory and fiscal cliff). Therefore, the trade I posted before was a short term trade which I highlighted I would trade at lower risk! Yet some people ignore the risk part and sell, sell, sell!

Herein lies the obstacle of being a successful trader. Through our life we have been programmed to listen to everyone else and the so called experts as they know more. Honestly, the way society works today is that they grow us up to be sheep! Follow the path you 'should' take, follow the path of what everyone else is doing, the safe path, comfortable path, etc.

Simply put: 'Not many of us have the entrepreneurial spirit - a single minded focus and belief in yourself and your path'. However, as a trader this is exactly what you need!

My blogs, other blogs, your idols, your teacher are their to guide you and help along the traders journey. However, you have to have your own plan, your own goals and your own path to success.

I truly believe everyone can trade if they have the correct mindset. Just follow Anthony Robbins path to success in his Business Mastery:

1. Know your Why - this is your story and driving force
2. What's your Strategy - how are you going to get there as a business?
3. How - know the tools to implement your strategy

One more thing I'd like to highlight is RISK. Remember the key quotes from Warren Buffett and the World Poker Champion I blogged about in November: http://qitrading.blogspot.co.uk/2012/11/what-warren-buffett-and-world-poker.html

Also, remember this from George Soros:

'It's not about being right or wrong, rather how much money you make when you are right and how much you lose when you are wrong!'

I'll send out my watchlist in the next day or so. But it looks like the risk rally could start with Gold, Precious Metals and Indices turning.