29 Habits of wealthy and successful traders


  1. Wealthy traders are patient with winning trades and enormously impatient with losing trades

  1. Wealthy traders realize that making money is more important than being right


  1. Wealthy traders look at charts as a picture of where traders are lining up to buy or sell


  1. Before they enter any trade, they know exactly where they will exit for either a gain or a loss.
  2. They approach trade number 5 with the same mindset they did on the 4 previous losing trades
  3. They use “NAKED” charts and focus on


  1. They realized a long time ago that being uncomfortable trading is OK.
  2. The markets are their workplace. They a participant – not an on-looker.
  3. They stopped trying to pick tops and bottoms.
  4. They stopped thinking about the market being “cheap” or “expensive”

They buy higher highs and sell lower lows.

  1. They are willing to change sides if the market tells them to do so
  2. They trade aggressively when trading well and modestly when they are not
  3. They realize the market will be open again tomorrow
  4. They never add to a losing trade… EVER
  5. Cash is the goal, but never the measure of success
  6. They read about mobs and riots
  7. They provide liquidity to the markets while watching price and volume
  8. They have a way to gauge fear, greed, and speed of the markets
  9. They practice reading the right side of the chart, not the left.
  10. Their position size is calculated exactly on risk tolerance

Their stop loss has to be wide enough to absorb the daily range

  1. Profit targets are based on average range or something objective
  2. 6 to 10 trades a month make their month
  3. Confident decision makers in the face of incomplete information
  4. A losing trade does not mean they are a loser.
  5. Their business is not trading – It’s finding the right
  6. They write down or record every trade – price, thoughts, news, attitude
  7. Their conviction on an active trade remains unless something major changes.
  8. A winning trade does not result in taking on the extra risk the next trade.
  9. They trade the reaction – not the news