Trader Development Program: Part 3: The Trader’s Mind-set

Ultimately the most important thing for a new trader is to ensure survival in the markets. Survival gives you a chance of success. Consistency in applying rules and managing your downside is the key to successful trading activity in the long run – you must manage risk to give yourself the chance to succeed. We’ll outline a risk and money management plan to consider adding to your trading plan. We ’ll introduce the concept of the Breakeven Principle and we’ll look at the issues that can typically cloud a trader’s decisions and help you to understand the impact of emotions on trading activity.