At his recent seminar, Vince Stanzione played an smart video clip that highlighted the importance of not chopping and changing from one strategy to the next. [I’ve seen the videos now]
He said that many new traders want to make £100 a day and that they look at trading like it is going to pay like a regular job.
This ideal is not realistic in many cases.
He went on to say that some days he could lose £200,000 and another day make £400,000 and that he uses different systems/strategies throughout the year.
And it is over the years that all the profits come together.
He doesn’t look at trading profits as wages.
His results are from across the board… and that some part of his portfolio might be in profit whilst another strategy is running at a loss.
Although I don’t think that new traders should take on too much at once, trading a few winning strategies over time is a good way to increase your exposure to the markets without having all your eggs in one basket.
Stay in Line
That said… firstly you need to find a winning strategy and stay with it.
So once you find a system that you are interested in trading and after you have traded with real funds and got use to the concept of winning and losing, then and only then should you consider adding another string to your bow with another trading idea.
Here is the video from the seminar that Vince used to explain what most people do when looking for a winning opportunity.
They can’t handle the losses, slow pace, or whatever else, so they move about from one system to another looking for the golden goose… ultimately to get nowhere fast nor anywhere better.
If you know a system or strategy works, then you should stay with it.
The biggest part of any trading system that you use is going to be self control; fully accepting the ups, downs and the sideways… every system you find will require the same… so better to just stay in line as the video suggests.