When we think about successful trading, we often focus on the mechanics of finding a trade entry, managing the trade and then closing it for a profit or a loss. The reality is, that’s only a small part of the overall trading process.
Before all of that, we have the hours and hours of learning time; of being focused and deliberate in our practice and studying. After that, even when we’re trading, we have to commit to hours of planning and preparation time each week.
It’s not just about executing the trades, there’s so much more.
However, a lot of traders struggle with the discipline it takes to perform like a professional. Learning in the right way, performing thorough analysis each week, making use of their trading journal. If you can’t commit to doing what’s needed and, instead, look for shortcuts, you’re going to end up losing in the long-term.
Fortunately, self-discipline is something we can develop by putting in a bit of work. Let’s go through five key tips that you can use right away to start building up that calloused mind.
#1 — Developing New Habits
Studies have shown that, on average, people can develop a habit by performing an activity consistently for 66 days. Obviously, this will vary somewhat depending on the person, but it’s a useful benchmark to keep in mind.
The studies found that even if the individual slipped up and didn’t stay consistent once or twice, it didn’t hold back their progress towards developing the habit, as long as they kept going afterward.
Imagine how this could improve your trading. If you committed to an hour of analysis after breakfast each day without any distractions, after 66 days it may have become a new habit that you can stick to in your daily routine.
#2 — Structuring Your Time
The next key tip is to structure your time in a way that allows you to focus better on one thing at a time.
For this, I would really recommend the Pomodoro technique. This technique works fantastically well for the preparation phase of your trading or for when you’re still learning and practicing. This is how it works…