Andrea Unger is a championship winning day trader. He is the winner of the real money Robbins World Cup Championship of Futures Trading in 3 consecutive years of 2008, 2009 and 2010. It is the first time anyone has won the event three years in a row in the event’s 25-year history.
As I said, Andrea is a successful day trader, but as for most professional traders, life didn’t begin with a computer screen, a keyboard and a trading account. Andrea was an engineer and spent most part of a decade in middle management for a major company in Italy. It wasn’t until 1997, that Andrea developed an interest in the markets.
Let’s now hear what Andrea’s one piece of advice is for the aspiring traders..
“There are several categories of traders, or aspiring traders, most of them have one thing in common: they want to be right. To become a successful trader, you need to accept your mistakes, and you need to understand that not always your beliefs are right.
You need to plan your trading, and then you need to the plan, and your plan must also face the possibility of failure, and act consequently.
There are many ways to trade the markets; choose a way that fits your personality. Can you stand quiet in front of many losing trades in a row, but you feel bad with a big loss? Well, you need a system with a limited stop loss that is capable of catching the big move.
Don’t try to adapt the markets to your beliefs. You will have to figure out how the market behave, test your ideas, and review the results. If they’re not in line with your expectations, be ready to change your mind and to consider new approaches. Time spent on trying to make a poor idea work can be better spent developing new, more successful, approaches.
Always be curious and consider that market changes and you have to discover day by day how they are doing it and what your should do to go on having the right edge. Don’t find excuses to avoid a necessary task; when you are making your plan, don’t stop in front of silly obstacles. If you really want to become a trader, you need to go straight ahead.
Last but not least, never overestimate the potential of the market. Looking at charts from the past, it seems awfully easy to catch substantial gains, ”if I bought here, if I sold here…” That’s wishful thinking. The reality is different. If you happen to buy on the lows and sell on the highs, it’s more due to chance than good trading. It will just be a very lucky trade. You don’t have to look to pick tops and bottoms to succeed. You just need to construct a sound method of trading that complements your personality, and with it go ahead week after week, month after month, year after year.”
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