Newbie Traders, get in here, we need to talk.

aryan.

Active Member
#1
I have been a member of Traderji for a long time now. So I have seen a lot of newbie traders make mistakes and wiping out their account in a couple of months. Yesterday I read a thread started by a user named Tamil_Trader where he says that he wiped out 30 lakhs, he had also taken a property loan and now he is begging for a job. As someone who has been making money in the market consistently (but I would not call myself an expert yet) I felt that I have to share my experience with newbie traders so that they dont make the same mistakes.


When I came to know about trading, I read a lot of books, I learnt how to read a chart, the various kinds of patterns etc but I did not start live trading immediately. I did paper trading for 6 months, yes that is right for 6 months before I made my first live trade.

I just don't understand why newbies think that they can immediately start live trading just because they read a book on technical analysis. A young surgeon does not directly operate on a live patient, he/she first uses a dead body to practice. Similarly a young trader should not directly jump to live trading, he/she must practice on paper first.


You should have the patience to paper trade for 6 months. You should be making money consistently during those 6 months, you should be able to control your emotions during those 6 months. If you cannot make money paper trading or you cannot control your emotions then you will not be successful in live trading. The market would destroy you if you make mistakes as Tamil_Trader has learnt.


So all you newbies out there, drill this in your head. Do paper trading for 6 months and then decide do you want to move to live trading or not. I guarantee you that 90% of newbies would quit before those 6 months get over which is actually a good thing since you don't lose real money doing paper trading.

Please take this seriously, people cannot control their emotions when they lose money and in worst case commit suicide. Don't let this happen to you.
 
#5
I believe Tamil_Trader is not newbie, he got enough experience in trading, but sometimes in life there will be up and down, that moment one cannot stop, so now he is having tough time in his life, we shall pray for his best, as we know many of you here were benefited from him during his good time..

Tamil_Trader don't worry brother you will be back to game, very soon..

All the best

-Akshay
 

aryan.

Active Member
#6
I believe Tamil_Trader is not newbie, he got enough experience in trading,
He did not know about money management. If I am not mistaken he used his house as collateral for a loan so that he could use that money for trading.

An experienced trader will never do this so Tamil_Trader is a newbie.

As I said in my first post, just because you are good at technical analysis does not mean you are a good trader, you also have to control your emotions and you should know about money management.
 
#7
He did not know about money management. If I am not mistaken he used his house as collateral for a loan so that he could use that money for trading.

An experienced trader will never do this so Tamil_Trader is a newbie.

As I said in my first post, just because you are good at technical analysis does not mean you are a good trader, you also have to control your emotions and you should know about money management.
Good thread........Start learning from you...keep posting....how to win..
 

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