How to earn playing on the stock exchange

The game on the stock exchange has always attracted those who want to get rich. But successful traders know that one desire is not enough. How can I earn playing on the stock exchange?

Market forecasting. The novice trader is trying to make money on the stock exchange by forecasting the market (graphs analysis using indicators and other methods). The thirst for profit is so great that having received the first money, the newcomer convulsively tries to predict the direction of price movement. The logic of the actions of iron, but incorrect. And only after a while, the victims of a number of failures in attempts to "catch" the market or lose all of their money, comes to understand that successful trading is not related to the right prediction of price movement. Success is associated with the use of trading systems.

Trading system. Often, newcomer traders do not have clear rules (trading system) of actions in the development of the situation on the stock exchange. There is a set of technical techniques for market forecasting, taken from the Internet and books, there are personal ideas about the analysis and forecasting of the market and there is a mixture of greed and fear emotions. The entire listed set of a beginner trader does not allow one to think over its actions in various corners of the market situation. The trading system is a plan for all cases of market turns. That is, random, unplanned transactions should not be.

Management of risks. Paying proper attention to risk management, cash by trader-newcomer minimizes. A typical error of the trader-novice is non-use of stop loss, their removal or averaging, as well as an arbitrary change in the size of the positions in transactions. It happens that the number of incoming lots into the transaction trader determines its own confidence: in the "less reliable" - fewer, in "more reliable" - much greater. The result depends not on the correct determination of the motion of the market, but from the skillful risk management.

Profit. Most novice traders come out of the game, receiving the first profit. Profit is often small, but the fear of losing it does not play not in favor of the novice. No one knows where the market will turn their movement. However, successful traders turn small profitable transactions into large profitable transactions in that they know how to keep positions and are in no hurry to pop up with a small profit from the market. A primary role is played here. The novice trader tries to avoid stop-loss and takes the minimum profit, and the experienced trader - quickly gives unprofitable positions and holds profitable transactions much longer.

Emotions. An experienced trader knows how to restrain his emotions that interfere with the profitable trading. Negative emotions that cause the market to the conditions of uncertainty, and the logic on which the trader is used to act in life, only aggravate the situation, forcing the unprofitable transactions and quickly pick up profits. To control emotions, you need to change some of your beliefs regarding trading, because it is the inconsistency of our own beliefs leads to splash of emotions.

If in the game on the stock exchange trader moves the desire to quickly profit, then disappointment will come sooner or later. You need to abstract from money and learn to control your emotions. Otherwise, trading will not turn into a fascinating occupation, and in the fight against himself.