Hey hey, what's up my friend, so in today's episode I only share with you my top 7 pieces of advice write the piece top 7 piece top 7 pieces yeah, whatever top 7 pieces of advice, write to new trader, so in other words, if I were to Start trading all over again or what would I tell myself? I would tell myself these 7 things right. Number. One trading - it's not a garish quick scheme trading - is not meant to replace your day job immediately right now, because trading is a profession. Just like you know, being a lawyer is a profession being a doctor is a profession.

Being an engineer is a profession. Let me ask you if you want to make money this month like now. What are you gon na be a doctor? Would you go be a lawyer, you know of man. I need to generate some income.

Let me go be a doctor. Doesn't make sense. Oh man, I need to put some food on the table and to pay my bills. Let me go be a lawyer, that's crap, but when it comes to trading, oh man, I need to you know, make some profit try to pay.

My mortgage. Let me go be a trader. Let me set up online brokerage account. What so, can you see where I'm coming from trading is a profession? This is not a get-rich-quick scheme.

You're not gon na make millions, and I'm gon na make thousands right overnight. Over a few weeks, it takes time to master your craft. It takes years so forget about all the get rich fantasies that you have right and, let's move on to point number two: don't hop from one trading system to the Nexo in trading right, as you know, by now there are winners. There are losers, you're dealing with probabilities, and you don't want to hop from one system to the next, because you must have a large sample size of traits right before you can come up with anything conclusive when your sample size is too small.

You know the results are just pretty much random. For example, let's say I give you a special coin and in your hands this coin right whenever it comes up here, you make $ 2. Whenever it comes up till you lose a dollar. Let's say you toss.

The coin 4 times are you guaranteed to make money based on it for toss of the coins? Yes, you have an expectance, a positive expectancy. Yes, you have an edge in a coin toss, but based on 4 toss of the coin, there's no guarantee that you'll make money, because the sample size of the coin toss is too small. Sorry, 4. 4 of the coin.

It's not enough! You probably need to toss a hundred times a thousand times and then you can be pretty sure you'll make money, provided you have an H in the markets, I mean provider, you have it in its coin toss, and this is the same as traded. You might have a trading system that works, but if you only go to no trade it four times five times and after a few losses, you're claimed it doesn't work, then guess what you're getting full by randomness. So don't hop from one trading system to the next. Don't hop from one trading strategy to the mix you've got to dedicate yourself to it.

You know generate a decent sample size before you come up with anything conclusive to whether that system works or not. Okay, don't boo don't be fooled by randomness number three. You must have a plan exit for every trade so many times when traders you just focus on the entry. All that pattern.

That signal - and they kind of you know - ignore body exits, but guess what exit is the one that determines whether you're gon na end up? In a profit or not it's your exit, okay, you can, you can buy and the most favorable price, but if you don't know when to exit you watch the market, move in your favor, go against you and get stopped out so focus on the exit as well. Not just your entries right, the exit is important. Number four! You want to limit your loss right to a fraction of your trading capital, so this is especially for those of you who treat leverage products like Forex futures right. You want to make sure I get every loss that you take right.

It's only a fraction of your capital. I really recommend 1 % of your trading capital, the loss of not more than 1 % of your trading capital on each trip, and the reason is simple right. When you take small losses, when your losses are like an n bite, you can take, you know five loss. Ten lost fifteen losses in a row, that's fine right! Your account is still not blown up by your account can still sustain that series of losses and eventually, when the market return back in your favor, you can, you know, go back out and you know make overcome those losses that you have some state.

But if you're risking like no ten percent twenty percent on each trader, each loss cost you twenty percent of your account, it's only a matter of time right, four or five losing trades where your account gets wiped out. Alright, so Rhys a fraction of your capital, or should I say you know, whenever you put on a trade right, if that trait turns into a loss, it should not be more than 1 % of your capital. I know some of you don't have large trading account right and it might be 2 or 3 percent, but you get where I'm coming from okay number: five: your entry is only one small part of the equation, so earlier we emphasize on the exits right and how Many traders - they are all obvious if the entries are the pattern, the signal, the crossover, yada yada bye, remember: your entry is only one part of the equation. You still have to consider right.

How much are you willing to lose? Where will you exit your trick if you're wrong? Where will you exit your trick if you're right, how will you manage your treats, which markets will you be treating what time frame will you be treating? Can you see that there's a lot of questions right that goes into this before you put on a trade, not just your entry? Try. Your entry is only one small part of the equation, and your entry alone will not make you a profitable trader. There are other factors at play, so don't neglect that other factors as well. I know the entry is a sexy part, because that's where you know after you put on the trick is where you know shortly: you'll find out where they make money or not.

But if you wan na be a consistently profitable trader, your entry is only one small part of the equation. Don't forget that and number six, your early years are for learning right. Your profit comes later right, so, in other words, I give yourself time right to master this trading craft right, give it a few years three years four years, don't expect to make money next week next month or next year, because again, like a doctor lawyer or engineer, They take years to be competent in your craft and if you treat yourself as a professional trader, you will give yourself right the ample time to be competent in that field in this trading field, all right unless you're short-sighted, unless you I know you've driven by the Wrong reasons: right now, you know you are pretty much setting up yourself to fill and finally, the seventh advice that I have for you is focus on the concept right. Not these strategy is not a tactics, not a indicators, not a parameters, not a setting so whatsoever.

So this is a concept that took me a long time to figure it out, and it's simple really. If you find a proven trading concept that works, so you can actually build multiple trading strategies from it. For example, trend-following is a proven concept that works. Where you make money, when the markets are trading, so you can develop.

You know medium-term trend following system, you can develop long term trend following system. You can develop trend following system that trades across you know different markets, but if you focus only on that strategy right without knowing the concept behind it, if the concept behind the strategy is wrong, no matter how you adjust or fix that strategy right, it's not gon Na work, because it's based on a wrong trading concept, so focus on the concept. First right, you know there are concepts like you know, trend-following mean reversion trading right focus on the concepts that work right understand why it works and then from then on develop trading strategies around it right, because you would have a much higher chance right of building something That actually works make sense. Okay, so we then said a quick recap right: the top seven advice that I have for new traders number one you're, not gon na get rich quick.

Don't fool yourself! Number two! Don't know how from one system to the next number. Three always have a plan for exit right, especially if the market moves against. You number four risk a fraction of your capital, or I mean this means that if you sustained a loss, it should be only a fraction of your trading account. Number five entry is only one part of the equation.

Don't forget the other factors as well. Number six, a years are for learning and number seven focus on a concept, not the strategy system, indicators or whatsoever. So we that's it. I wish you good luck and good trading until next time you.

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