Do you know what you are really looking to achieve when trading? Did you set yourself some goals to work on? Do you know why you want to achieve the goal set? Do you know what it takes to have a chance of achieving your goals? If you don’t have goals and a plan for how to achieve what you want, then you are like a rudderless sailboat on the ocean, just drifting away in the direction the winds and currents take you. You have no control! Setting goals is an important step in achieving the things you want in life. Sure you can accomplish things without setting goals and creating a plan which many have, however by setting goals and having a plan to work towards you become more focused and more aware of details to help speed up your progress.
We can break down the goals into all different categories such as personal health and fitness, spiritual, family and relationships, career, education, investments and finances to name a few. Within each category that we chose to create goals for, you need to create subcategories. So for financial goals, one of the subcategories would be business goals. Now, as a general statement, everyone who decides they want to become a trader wants to make money. That is a statement made to oneself, but not necessarily a goal as I have never met anyone who decided to become a trader to lose money. So what are goals and how is the proper way to create them to achieve them?
All desires in life come from dreams, desires, and needs. From these dreams, desires and needs goals are created. The process begins with creating a list of dreams without allowing your mind to place limits on those dreams. Don’t let your current situation or current condition limit your dream thoughts. Create your dream list, since there are no obstacles. After you have created a dream list, the next process you need to do is to review your dream list and review each item and see if it is a realistic dream, wish or need within the current conditions of your life. If a dream was to live in a two million dollar house on the ocean off the coast of Florida and your current job earned you $25000.00 per year and you had very little savings, that dream would not be a realistic dream in today’s conditions. of their life. .
Now, if you’re willing to make a drastic change to a profession that would earn you higher returns, or if you find a way to make your savings work better for you by becoming a savvy investor or trader, you’ll have a more realistic chance of achieving your dreams. . and goals The key is to make sure that dreams and goals are realistic and believable for you. Some goals you think will be easy to achieve, while other more important goals should be a challenge, you should strive to get out of your own comfort zone.
So you decided you want to become a day trader to earn the extra money you would need to buy your dream home. One of his goals now is to have a house on the ocean. When creating goals, he should write them down on paper or, better yet, on his computer for easy updateability. When writing his objective, he should be as descriptive as possible. Don’t just write I want a house in Florida on the ocean. Get creative with your dreams and goals, let your imagination run wild. What style of house do you dream of? A ranch style or a two-story house? 4,000 square feet or 10,000 square feet? What are the colors? How many bedrooms and bathrooms does it have? Can you visualize the design? Do you have a backyard pool? If so, is it kidney shaped or rectangle shaped? If so, write it down. The more details, the better.
There will be times when you create a goal and find that you need to set another goal that will be necessary to achieve the bigger goal you created. Think of goal setting as a recipe needed to create a fancy meal or bake a cake. If you leave something out of the recipe, you are betting on the outcome of that recipe.
If your plan is to become a profitable day trader, what are the obstacles that might be in the way? What does it take to help you achieve your goal of becoming a day trader?
Examples of some obstacles would be:
1. Have enough money to fund your trading account.
2. Have the proper education to become a profitable trader.
3. Does your spouse or partner support your idea of becoming a day trader?
4. Does your current work schedule or profession cause a problem for you to work?
towards achieving your goal?
5. Is there a local or online group to provide support?
6. Find the right broker for my needs.
The above are just a few examples of some hurdles you need to overcome to get on your way to achieving your goal as a day trader. To overcome obstacles you may have, you will need to work on possible solutions. If one of your obstacles is your need to find more liquid cash to help fund your business account. You would need to think carefully and brainstorm ways to do this, perhaps you had an old collection of coins or other collectibles that you could sell to raise the necessary capital. If there is a will, there is a way!
Each person will have their own obstacles to get ahead. Always make sure that it is money that you could afford to lose and that it will not disrupt your current lifestyle.
Don’t put unrealistic deadlines on your goals and dreams. Some of your goals may be ongoing with no deadline, other simple type goals will have deadlines. By looking at the hurdles above, you can see that some of the above could be accomplished in days or a week at the most. Proper education could take months or longer. Even with that, I would have an ongoing goal to keep improving as a trader for years to come. The goal of owning a house on the ocean may take a few years to achieve, which can be predicted, in the goal of becoming a successful day trader.
Breaking down what it takes to become a successful day trader comes the need to detail smaller goals. Creating daily tasks that work to help you achieve your goals is key. Create a daily plan of attack and work what you plan each day. Stay focused and look back each day to make sure you’ve made progress. Always create smaller, achievable goals on a day-to-day basis that will give you the energy and encouragement to work toward the bigger goal. Some other key components that you will need to work on are the psychological components. If you need to improve on having more patience, create a goal in written descriptive detail of yourself showing great patience while trading. If you need to improve in being more decisive, do the same exercise as with patience. The key is to be more aware of what it really takes to achieve your goal.
It’s not as simple as saying I want to become a successful trader. First you find the recipe and gather all the ingredients and work them together. The key to achieving your goals is that you take your time and are careful to do everything necessary to reach the final result. Working on all the little details every day and concentrating and giving key focus to the daily task and seeing daily progress.
A Quick Review for Setting Goals
1. Create a dream list
2. Review the list to see if the dreams are realistic, practical, and believable.
3. Write a descriptive detail of your dreams in a positive statement as it has already been achieved.
4. Create a list of all the obstacles you will have to overcome to achieve your goals.
5. Create a sublist of workable goals that can be accomplished within a week.
6. Create a daily plan of attack and work your plan.
7. Create a daily task list to work on each day.
8. Check back every day, week, and month to check your progress.
9. Always adjust your higher goals once you reach the set goal.
10. Always have continuous goals that never end.
11. If you run into a deadlock, problem, or setback, always find a different angle to try.
12. Never give up! If there is a will there is always a way