This article is a continuation of the article, the naked truth about trading and it focuses on some myths that are present in the trading world right now. There are many of them but in this article I will mention only a couple of them.
3. Trading Is Easy
This is one of those myths that do not even make sense in my head yet. I mean why is it even out there in the first place. The statistics alone will show you that this sport is not easy at all. Then when you add in other factors as well you will see that trading is far from easy. Over 90 percent of traders fail to make it in the industry. Trading if anything is one of the hardest professions out there because it does not only require academic intelligence but also emotional intelligence and proper risk management. These 3 rarely come together. People often get paid to be good at only one of them. However, trading requires a person to be extremely good at them all.
4. Trading is an Overnight Success Path
Trading can be all these other things in this list but this. Trading cannot be used as an overnight success rollercoaster. This conversation put lights on it in a way I love:
New trader: I heard it is easy to make a million in trading.
Veteran trader: yeah, it is. When you have a billion.
What is easy to do overnight is to lose all the money you deposited overnight. This is because anyone who comes to the markets with the mentality to trade a small amount into a fortune in a short period of time are just gamblers. And we all know that gamblers are constantly playing a losing game. Thus, it is easy for them to lose all the money that they deposit in the end.