Take Intraday-trading as a Business

Many Traders in stock market think that Intra-day trading is a source of regular quick money, however, most of the people, especially investors and swing traders believes that, money can be ruined by intra-day trading. The problem is mindset, you can be an investor, swing trader or a day trader, you have to have a different kind of mind set for each of the category. Category is not the problem, mindset is. If you really want to be a successful trader, you should take trading as a business.

Profit and loss are the integral part of any business, the same is applied in stock market as well. let’s take a hypothetical situation that you are going to set a business. What are the points you need to take care? Out of thousand points few basic points are mentioning herewith; Business establishment capital, Operating capital, Location of the business, employee, Product, Knowledge on the business or how to make profit from that business (business model), Journal, Tax calculation, customer etc. apart from these You also have to create a strategy, process, rules and ethics for your business to sustain.

Similarly, for trading you need to take care all of the above points, if you are not taking care all of the above points you are going to lose your hard earn money. It is really easy to buy and sell stocks, options, derivatives, commodities or future, it is just few clicks on your computer, Any Tom Dick or Harry can do it, it’s not a big deal. But when the question arises on continuous profit, are you taking care of your trading activities. Ask yourself the following questions .......

What is your starting capital?

How much loss you can consume in a month?

Do you have a successful Trading strategy?

How did you test your strategy?

How did you come to the conclusion that your strategy is working all the markets (Uptrend, Downtrend or sideways?)

Do you have the correct size?

What is your stop loss mechanism?

Are you maintaining your Journal?

Are you reviewing your Trade?

Are you following your own rule?

How do you manage your money?

Do you know the tax and brokerage calculation?

How much maximum leverage are you taking?

How are you maintaining your emotional balance?

Many of the traders do not have the answers of the questions, they just do, buying and selling as it is an exciting and easy activity. Please give full attention towards your trading journey.

First try to find out all the answers of the above questions by yourself. You can add many more questions in the list, to understand your trading activities and to understand yourself in better way. If you really want to take trading as a serious business.... stay tuned with us.... you will get all the answered here......

Have a successful Trading journey...................

Comments

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