For Every Trader, In trading, There Are 4 stages in My Opinion

Michael Esther
2024-05-23

In trading, there are 4 stages in my opinion:

  1. Beginner and Learning to trade

  2. Intermediate but not consistent

  3. Consistent and not profitable

  4. Profitable and Consistent

The goals of each stage is drastically different from the rest. Here are goals of each:

Beginner and Learning to trade

  1. Learn your 1-2 set-ups.

  2. Execution of your set-ups.

  3. Taking 3-5 trades a week

  4. Review

Intermediate But Not Consistent

  1. Mastering risk management and position sizing.

  2. Mastering emotions such as greed, FOMO, revenge trading, exhuastion, lack of focus and loss aversion

  3. Perfecting your trading system and being comfortable with it.

Consistent and not profitable

  1. Reviewing trades to learn from mistakes each day.

  2. Being able to take profits and exits trades properly (win or loss).

  3. Taking only 3-5 trades a week maximum until you are profitable then you can take 5-10 trades a week. Then gradually increase. (This is a # of trades/week goal not a $$$ goal)

Profitable and consistent

  1. Hitting your weekly $$$ goal for gains but also not losing more then $$$ weekly loss tolerance.

  2. Not overtrading and recognizing overconfidence daily (awareness).

  3. Emotional and Psychological mastery

# Trading Psychology

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Comment（3）

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  • JimmyTurner
    ·2024-05-23
    It's important for every trader to understand the different stages in trading.
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  • JoBloor
    ·2024-05-23
    It's important to continuously learn, adapt, and improve throughout each stage.
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  • ElsieDewey
    ·2024-05-23
    It's important to continually learn and improve in trading.
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