All investors approach active investing or trading with the same goal: Making Money. Reality is, it’s just not that easy to consistently make money without first gaining a lot of knowledge and experience for most new traders. The “investment†of a new trader’s time, effort, energy and CAPITAL, before they begin to make money is often called “paying market tuitionâ€. It’s easy to see why. Having been professional options traders, technicians and educators for many years, we’ve heard and seen most of the mistakes that new investors tend to make and find difficult to stop making. It can cost them a great deal of money and time, and produce a bunch of stress. Making money in the markets is challenging, especially when new to them, so you need to put as many factors as possible on YOUR side.
One of the top complaints or reasons cited, when we’ve asked newer investors why they aren’t making money with their trading, usually sounds something like this: “Well, I feel that I’m very close. I make pretty good calls on where stocks will move to but I usually get “stopped out†(chased out of the trade) before the move that I expected finally happens.†What this means is that a trade that would have made money for an investor, turned into a loser instead of the winner they foresaw and that eventually did play out. Clearly, this scenario playing out over and over again would bring on a lot of frustration and second-guessing. This is the infamous “woulda/coulda/shoulda†issue that hampers new traders on their way to making money in trading, that is, if they last long enough.
The concept of “Lasting long enough†not only applies to their trading “careers†but to each individual trade or position. We’ve all had to learn some things the hard way. One thing that newer options investors realize is that picking the right options to use for their investments is more difficult than it would initially appear. The thing is, there are VERY SIMPLE solutions to the “got stopped out†problem that stock traders experience and to the “the option didn’t work for me like I expected†problem that new options investors are plagued by.
The issues that prevent new traders from making money that we discussed above and many other challenges that new investors face that we cover in other articles were all taken into consideration and addressed in the development process of our Hidden Money Methods course and service. Please consider exploring our materials further as we truly believe that we can greatly help investors to reach their goal of consistently making money in the markets.