Foreign everyone? Well, uh, we're gonna go ahead and get started here. In today's episode, this is a special episode on becoming a more consistent day trader. This is a topic that Traders are always asking me about and in this current market that we've been in. you know, for those that are watching this months or years down the road, you know the market will be whatever happens to be at that time.

Right now, we're in a very difficult Bear market and this is a time that is very, uh, challenging for a lot of beginner. Traders Because it's not an easy time to trade, it's not as easy as being in a bull market. However, this is a market that can help teach you some really good discipline and that discipline ultimately is the foundation that you can use to build the rest of your career as a Trader So um, I want to walk you through the process that I've gone through to become a more consistent Trader I've got the Whiteboard right here. I've got my screen share up.

We're going to look at the metrics I'm going to share with you a couple of tips and tricks that I think will help you as you're going through your journey. Reminder: As always, my results are not typical and trading is risky and there's no guarantee that you'll find success. So please take it slow and do yourself a favor by practicing in a simulator before you put real money on the line. Also for everyone tuning in today for this live broadcast I will be donating a dollar to charity for every thumbs up we get.

So thank you for hitting the thumbs up! I Will also donate two dollars to charity for every person that hits the share button. So thank you guys for hitting the thumbs up. Thank you for hitting the share on this episode. It makes a huge difference for the channel.

Okay so um, this is one of the things that we talked about in my Trader Rehab class. becoming a more consistent Trader So one of the things that a lot of beginner Traders struggle with obviously is consistency and what I'd like to do is um kind of walk you through the way I look at um the best way to approach this. So you sort of have a very typical problem that a lot of Traders have which is that you have small winners and big losers and I'm sure many of you can relate to this. You'll take you know 5, 10, 15 trades your average winners or let's say 100 100 bucks and then when you get these losers they end up being 300 400.

They're huge losses and so the losses are far exceeding your average winners. You have a negative profit loss ratio and even if your accuracy is let's say 50, they're still losing money. So as you probably know, if you make um, a hundred dollars is that? uh, maybe let me try a darker color. Um, if you make a hundred dollars on average winners, a hundred and you lose a hundred on your average losers, you need to be right fifty percent of the time to be a break even.

Trader Fifty percent is Break Even Well, you know the fact is, if your accuracy is fifty percent, you really would prefer not to just be Break Even You'd like to be able to make a little bit of money. Now, if you've got a profit loss ratio where your average winners are 200 and your average losers are a hundred, you actually only need to be right 33 percent of the time in order to break even. But if your average winners are a hundred and your average losers are 200, you would need to be right 66 percent of the time to break even. And this is where most Traders struggle because most Traders find themselves with big losses and smaller winners on average, right? These are your averages.

So when you have this negative profit loss ratio, you end up in this position where you're sort of chronically losing money. Two steps forward. Two steps back. Two steps forward.

Two steps back. This is my uh, the P. L of you know my last 60 days of trading and you'll see that there are going to be a couple of losses in here. A couple of red days, but these red days are really small relative to the green days.

Getting to this place doesn't happen overnight, but what I would do is I would set consistency as your goal. and these are the steps that I'm going to walk you through to become a more consistent Trader step number one trade Less you're not all going to want to hear that you're not all going to, you know, think that? that's a good idea but less is more so I Was looking at the piano of a um of a member recently and they shared their their P L. kind of like this and what was interesting about it was they had I'll kind of give you like a calendar so you know they had the they had the calendar here and so when you do the calendar view you know it's showing you uh basically each of the days. so five six and let's see one, two, three, four, five six and then seven right? So you've got obviously your your five weekdays.

so Monday Tuesday Wednesday Thursday Friday whatever. So I guess seven all right. So his um his his P L was kind of like this. He had green day here no trades Green Day here no trades Green Day here no trades Green Day Here you want to stretch with no trades and then there was like you know a small red day here and then there was a green day here and here and I love seeing a P L like this a calendar view because what it shows me is this is a Trader who is not over trading.

This is a Trader who's not desperate to trade every single day. This is someone who is happy to take trades when good opportunities present themselves, but is really focusing on highest quality trait. So my biggest recommendation is to trade less by focusing on trading less. The reason you're doing that is because you're only trading a quality setups.

You're trading the best quality setups. So this is the thing that I say a lot. Trade the best, Leave the rest. Trade the highest quality setups.

The result: you will be trading less each day. But generally speaking, your accuracy will improve because when you trade the best quality steps when you trade A Plus setups, although you will naturally have some losses, usually those losses will be smaller because an A quality setup means you're managing your risk. So whether that's because you're trading a bull flag, a flat top breakout, an ABCD pattern. Whatever, the pattern is that you're trading, it's a pattern that you have high conviction in.

You consider an A plus setup. While the losses happen, they'll be smaller. Your winners will be bigger because it's an A quality setup. So now you've got two things going for you.

Because you're focusing on a quality setups, your accuracy is going to improve. so instead of being down at well, you know whatever your accuracy might be right now for a lot of beginner. Traders When I was getting started, my accuracy was like you know, 30 to 40 percent so my accuracy was was pretty low. It was not great now.

I got to a point where my accuracy got up to about 50. but you know what the problem was. My average winners were only about 10 cents per share and my average losers were still 20 cents per share. and so I had a negative profit loss ratio and even though my accuracy was 50, I was still losing money.

So what I had to do was I had to train myself to focus on a quality setups right? A Plus setups. and if you're not trading the best, that's when you're going to get yourself in trouble. So this was probably the most important thing for me at this point today. The reason that when you look at my chart you'll see that I trade pretty much you know every day is because at this point I'm able to find enough opportunities and even at you know I can trade a B or C quality setup and still have pretty good accuracy because I'm pretty good at weeding out when or not when I should or should not take that trade as a beginner.

Trader You're not going to have that same level of intuition so you're not going to be able to make that decision with his with the same degree of success that I can now. So the way you mitigate that is as a beginner. Trader Number one rule is trading less and for my students at where you're trading that are in the trade or rehab program, you know what? I tell them one trade a day, one trade a day and I say that's the small account way. One trade a day.

That's it. Do not over trade one trade each day. And so the nice thing about that rule and this is really important for Traders who get emotionally activated. when you're focusing and you're limiting yourself to only one trade, you are naturally going to focus on the best trade.

So when you see something pop up, you might be like I only have one trade today, right? I Don't want to waste it on this kind of so-so setup. Now sometimes a so-so setup will end up ripping and you'll feel like oh, shoot, maybe I should have taken it and okay, that happens sometimes. but generally speaking, those are going to be the ones that while they sometimes work when they don't work, they can also be bigger losses. So you wait for the ones that you have a high level of conviction in.

And when you see that setup forming boom, you take the trade. Now the purpose of this episode is not to walk you through what I think the best setups are I'll put two Links at the end of this episode to other episodes other videos that you can watch on. YouTube that will suggest what I think are my favorite setups which I think are good for beginner Traders so you can tune into that separately. but this is more about the steps to becoming more consistent.

So the first one is trade less all the way down. potentially to one trade a day trade the best, leave the rest. So if you're taking one trade a day and if you're red, you know. Okay, that's it.

It's a red day. Now if you do that for 10 days and you're Red Seven of those 10 days. That tells me that your accuracy is poor and you probably shouldn't be trading with real money. If you're grain seven of those days, then your accuracy is good.

Now the profit loss ratio: Okay, so we would hope during that period of time that you've been able to maintain a profit loss ratio of approximately two to one, two winners being twice the size of losers. And if you've been able to do that and you're at 60 65 70 accuracy being green, six or seven out of the ten days, that's a really strong Foundation that you can build on and you know what follows a stretch like that. That type of consistency produces confidence. and then you start having the confidence to step up to the plate and trade a little more aggressively.

A little more aggressively, a little more aggressively. and that's where you're building a really strong foundation and the confidence to start to size up is based on your actual track record. So let's go back to the Whiteboard here and I'll put the Whiteboard up here so you can see it all right. So Number One keys to becoming a more consistent Trader Number One is trade Less and this is also trade Um A Quality Setups Now I'll put a dot dot c Um, see episodes for more details Deets on setups.

So I'll put the link um to those episodes at the end of this broadcast. All right. So number One is trade less and focus on a quality setups. Number Two, Let me show you my metrics here.

So number Two here. let me show you the metrics from the month of September. All right. so this is the month of September I Don't know why I'm getting this connection error issues.

Hopefully the broadcast is coming through Okay, so detail. this is only coming like having a hard time loading this page. All right. Well, it seems the broadcast is still running okay on.

um YouTube So what? I'll just go over here and what I was going to show you was my profit to loss ratio. So the first step is trade less trade A Quality setups, right? That's that's your first step. Number Two: Small share size. So many beginner.

Traders Get into this habit of trading with big size. So one of the things that I did and I will do this from time to time when I'm kind of struggling. when I feel like I'm in a rut I'm going to cap my share size. It is so much easier to get in and get out to buy and sell.

When you're trading with a thousand shares versus twenty thousand shares, you have no issues with slippage. And one of the things that for me causes me to hold my losers too long is this issue with slippage. You know you get into a position that's a little too big. Five thousand, ten thousand, fifteen thousand shares.

and next thing you know, you don't want to hit the bid because you know you're gonna get some slippage on the exit and so you start to hold. and Hope So one of the ways that I cure that bad habit of holding losers too long is sizing down. Now for me, when I size down my Max is 10 000 shares, that's still a big position. For some of you guys sizing down might be going to 100 shares or maybe I don't know 50 shares.

Whatever it is for you that size down the reason that you want to focus on sizing down the reason this helps you become a more consistent Trader is smaller size reduces the emotions because so many Traders go on the roller coaster and so let me show you this this roller coaster that I'm talking about and some of you guys are going to relate to this. So you go on these roller coasters where you have these big green days here like this and then you have these huge losses where you give it all back and then you rally back up and then you give it all back. and while maybe you're generally still a little bit profitable for some Traders after fees and commissions, you're not. You're actually going to be losing money and for a lot of Traders these down periods right in here and right in here create a huge amount of emotion.

You get super stressed out, you get super frustrated, you feel like oh my gosh am I no longer going to be able to pay my bills and so all of the emotional pressure here during these down stretches can create emotionally fueled trading, a lack of discipline, and it can be very sloppy. and so I made a conscientious decision that I would rather you know. For me, let's say um, you know this is zero in profit and this is 500k right here. Although you know and maybe this is like 100k or something like that.

What I would rather do is rather than be on this roller coaster of huge ups and downs and I would rather have these small base hits. Now you know what small base hits mean. You're not going to get the glory of hitting any home runs. You're not going to have these big green days here.

You're not going to have 7 500, 000 Green days. Well, you know that's that would be for me. So and I'm not having those types of green days right now. My biggest green days right now are like 25 000.

a year ago I was having a 100, 200, 000 Green days. but I was also having really big red days. So I'm focusing on consistency and this right here builds so much confidence. So much confidence.

We actually had a student. um, it was quite a bit earlier today. I don't know if I'll still be able to find his um his his post. uh Timmy if you're still around.

if you want to post that again, your Equity curve. um it was. It was really a beautiful uh P L and it's exactly what I'm talking about here. so let me just see if I can find it real quick.

Um, this was from earlier this morning. I'm not sure if Timmy is still tuning in and by the way, for those that have just tuned in, thank you for tuning in to the special broadcast of the Steps to becoming a more consistent Trader I've got a couple more tips that I want to share with you as we continue on and I want to remind you to please hit the thumbs up because I'll be donating a dollar to charity for everyone that hits the thumbs up today. All right. So this is taking too long to go back so I'm not going to do that.

But in any case, um, Timmy's P L was. you know this kind of very, very smooth and steady. So I made the decision that I'd be willing potentially even to make less if I could do it with less stress, less of the roller coaster. So I made a decision to step off the roller coaster.

I Said, you know what? I'm just going to go for base hits and so going back here. Base Hits That's smaller share size so a quality setups with smaller share size. This is where we start to get dialed in to really being focused on base hit trading base hits versus home runs. Now you can still have a strikeout, you know? I Suppose when you're going for a base hit, you could still have losses, You could still have unexpected losses, and when you're doing base hits, your average winners will naturally be a little bit smaller.

You're not going to have those big big Winners But when you're trading with small share size, it becomes so much less emotional just to cut the loss. And Let It Go When a trade is not working, you just you're ruthless about it Because who cares when you're holding a thousand shares, Just cut it. Just let it go. and then the next step.

So we're focusing first on trading, less focusing on a quality setups. What we want to see out of this period is improved accuracy. You want to see accuracy go up right here and you want to see profit loss ratio improve. You want to see Improvement in your metrics.

That's the way you know that these steps you're taking are actually helping you. So trading last trading a quality setups should result in improved accuracy. you know Target of oh hey there Tom Just posted a nice one. um so yeah.

so there's Tom uh oh and he posted Timmy So this was Timmy's post from earlier so um you know he had this period of kind of kind of slow and steady and this is really really clean. Sorry let me put on screen share for you. that's a really that's a really clean Equity curve right there I mean that there. You cannot fault this.

Now the profit is only twenty five thousand dollars. Only twenty five thousand. So on something like this, you might say gosh, Timmy You've been trading for nine months here. you're only up.

Twenty five thousand dollars. Is that enough to pay your bills? Maybe maybe not. I Don't know. It's certainly, uh, a long ways away from becoming a millionaire.

But this is the foundation and this is a rock solid foundation. and he's doing it by focusing on consistency. He's trading less, he's trading a quality setups and he's trading with small size and he's taking those base hits. So when I talked about taking one trade a day, One of the things that I encourage is the mindset of trying to capture 15 to 20 cents out of the market per day.

Maybe 10 cents if you, you know, if that's all you want. But let's just say 20 cents a day. 20 cents a day. One trade a day.

20 cents a day. If you did that with a thousand shares, that'd be 200 bucks. That would be pretty consistent, right? 200 a day? You know? of course, if you figure one loser a week, so you're probably averaging like 150 a day, it's probably going to put you on track for like 37 to 45 000 on the year. That's not home run stuff, but if you were able to do that trading for two hours a day I think you'd probably feel pretty good about yourself.

And here's the reality. After a period of doing that, what do you think is, what do you think Timmy's gonna do Over the next six months, he's going to start feeling more confident. Almost invariably, he's going to start feeling more confident to start trading with slightly larger share size. So whatever his average is right now, let's say it's 500 shares a month from now.

Two months from now. Maybe it's going to go up to 600 shares, 700 shares, 800 shares, 900. a thousand. There's no reason that he couldn't be trading with 5 000 shares.

and I know that he's not trading with that size right now. So if he's if he increases his average share size times five, would he be up 125 000 this year? You know based on this on the math that that you know the math works out that that's probably true. There is the reality that when you increase your share size, then you start dealing with factors of slippage which can make your average winner smaller potentially or your average loser is bigger. And you also deal with the emotions of trading with larger amounts of money, right? So you can't just go.

You know, increase your position size times five overnight. No one should do that. But when you think about where you are today and where you want to be six months down the road, eight months down the road, A year, we're down the road Two years down the road. I Think part of the calculation has to be how do I get there.

How do I become a more consistent Trader SO Trading less and with smaller share size? Those are great techniques to help you get re-centered to sort of clear the slate and get back on Solid Ground And within two weeks, right, within 10 trading days. You're Gonna know right away whether or not you should even still be trading with real money because in those first 10 days, if you're doing one trade a day, you'd want to be right at least 60 percent of the time. So if your right's only 30, you know 20 or 30 percent of time you got to go back and practice more in the simulator. The the downside of one trade a day is that during that period of time you're not getting as much experience trading because you're just taking one trade, you're getting out and you're done.

But there's a there's a place in your career and early on you want to get as much chair time as you can practicing in the simulator. and then there's you're actually you know, like actually doing the trading. and when you're actually doing the trading, that's the time where you want to start to pull yourself back. Focus on the times that you do the absolute best, focus on the type of trade, the type of setups that you trade, the best focus on accuracy, and do Not let yourself fall into the traps in the market Because you guys all know there's a lot of traps in the market and one of the big traps are.

um, they come with emotions. So this was trading with 10 shares for months. This was uh, this is uh Marcelo right? So and look at that, look at that. That's phenomenal Now hey it's nice when you have a stretch like that where your your P L goes basically straight up.

That's not going to happen to everyone, but that's really nice. Thank you for sharing that anyone else that feels like sharing theirs um as well. So he's got um, he has a profitability badge so he's verified his profits which is great and Timmy's verified his profits as well. So those are those are all good to see.

So these are traders that are in different places of course in their Journey um than where I am I'm at uh Chris he's gonna. Oh, so there's Umberto So this is that you want to see the roller coaster. That's what it looks like. He went on the roller coaster first down, back up swinging those big swings there.

that's all super emotionally fueled. and you know what? this big green day here if I was going to take a guess I would guess if that was luck I would guess that that was luck. He got lucky, he gave back a little bit of it and then he was able to get his head straight. He realized he was probably being way too aggressive.

He started to get his head straight, got pretty steady, but he's He's definitely still on a little bit of a roller coaster. He's still trying to kind of work it out. So when you see these different um, these different Equity curves, you know this is one of nice steady progress up to over 200. Grand But the drawdowns are steep.

They happen. But they're steep, right? So you may have to think a little bit about what type of equity curve you want for yourself, right? Danny He's been on the roller coaster a little bit here. Big UPS Big Downs Big Ups Big Downs Blake Phenomenal. Absolutely phenomenal.

This is I mean it doesn't get cleaner than that. Isn't that what we would all like? So how you doing it? Blake Tell us your secret, Tell us your average share size. That's what I'm curious about. So um, you know.

And I As always I mean I'm happy to, um, share with you traders who are successful and are doing well. They're not the the average. They're not the norm. We know that there's no guarantee that you'll find success because of course, trading is risky.

There's my disclaimer as a reminder. as always: Uh, we I am super proud of those who have found success. Uh, and and we're really right now. we're not talking about what it takes to become a millionaire trading.

What we're really talking about is what it takes to Simply become a more consistent Trader And that can mean more consistently hitting 25 000 a year, 50 000 a year, maybe seventy five or a hundred. And maybe it takes you five years, eight years before you clear a million dollars in profit. But you know what, if your alternative was working a job you didn't really like making twenty five thirty thousand a year, then you might be perfectly happy with those smaller gains and playing the long game, right? So back to the Whiteboard here trade. less focus on a quality setups, smaller share size base hits.

Okay, now number three review metrics closely right? Which is another way. in other words, monitor progress. For some of you guys who are not currently monitoring your progress, you know there's so much data available that you can be looking at to help you better understand what you're doing right and what you're doing wrong. So you really should try to monitor that progress.

And from that you can have takeaways of okay, you know. I'm ready to start taking two trades a day. I'm ready to start taking three trades a day. I'm ready to start scaling up.

Um or I'm not ready to start scaling up. So let's see. Ryan just posted his um, there you go. So there's a nice one from Ryan trading with 10? Oh, which one? Um, sorry, which one did he post I don't know, he posted something else.

Um, the Sim trades for three months. So you know, kind of sideways. So you know this is the area. If you're going sideways, that's the area where you're gaining a lot of experience.

Uh, but that doesn't necessarily warrant trading with real money just yet. And that's fine. You know, if you're not there for real money just yet, you're not there yet. So review metrics closely monitor progress and begin a uh uh, began a uh I Don't know.

Begin scaling. So begin scaling up in small increments. All right. So you want to start scaling up in small increments.

So that means going from whatever your average position is. If your average position is, you know 100 shares going up to 125, up to 150, up to 200 up to 250.. And I think I got distracted there. One of the things I was mentioning before is trying to focus on uh, 20 cents a day, right? So a thousand shares? 20 cents a day? That's 200 bucks.

If you could do that with a hundred shares 20 cents, you're gonna say Russ I'm only making 20 bucks. but it is proof of concept. It's proof of concept. If you can consistently make 20 cents per day, you can scale that up.

This is the biggest mistake that I see Traders make. They say Ross I'm only trading with 100 shares I want to make a hundred dollars a day? So you're telling me your goal is to pull one dollar a share out of the market every single day from a small cap stock. Okay, that's a really aggressive goal. Here's the fact: if you can start pulling a dollar a share out of the market, when you scale up to ten thousand shares, you're gonna be making ten thousand a day.

10 000 a day. You're starting to talk about multi-million dollar years. If that person who's making 5 million a year or whatever drops their share size down to 100 a day and sets that same goal it, it's just. It's way too aggressive.

A goal that is expert level. Trying to get a dollar a share out of the market consistently from small caps is expert level that is not the realistic place to start. The realistic place to start is 10 to 20 cents per day. And you're gonna say Ross 10 20 cents with 100 shares is only 10 to 20 dollars.

That's not enough money. Okay, I Understand that for the first six months, trade with 100 shares and as your metrics support scaling up. Begin scaling up with the goal that a year from now or in 12 months you want to be trading with 1 000 share minimum size and now 10 to 20 cents a day is 100 to 200 dollars. So many Traders get this stuck in their head that they have to be making you know whatever.

A hundred dollars a day on a hundred shares and I just I have not met really any Traders who've been able to consistently pull a dollar a share out of the market that is setting the bar way too high. So when you set the bar that high and you say well, I'm only trading 100 shares and I'm not going to scale up, then you could just end up spending months making only 10 to 20 a day. You never scale up because you set this unrealistic goal that you'll be able to get a full dollar share out of the market and you're just going to suffer. It's not that that is just not the way that I think it works and again, this is just my opinion.

Um, you know, do as you'd like. But from what I've seen from traders who have been successful, they're not making the success based on home runs. They're doing it based on base hits. Small 10 15, 25 cent base hits and you know what? Sometimes you go in for a base hit and ends up turning into a home run or not necessarily a home run, but it ends up turning into a really nice winner.

You know? my trades today on Atxi I wasn't expecting the stock to go from 5.84 cents all the way up to you know, 11 bucks. but it did and I made nine thousand dollars trading it I started small and I just kept trading base hit after base hit after base hit. and all those trades today I only had a couple losses I lost on these two stocks and I had a couple losses on Atxi, so no doubt my accuracy today was really good. All right, so sometimes you end up getting ones that open up.

But um, so back to the Whiteboard One thing that I should add here is um trade less trade a Quality setups and let's see, let me get a better color. So a note is profit at 10 to 20 cents and one of the things that you can do and a lot of Traders will do this is they'll press the buy button so they'll buy. You know, maybe it's shift one shift plus one is the buy button and then they'll press um uh, shift plus P which is profit Target So you can already you can get in and you can set a 15 profit Target The second you get in to sell half the position and as soon as it squeezes up, boom, you're out half the position right? You have to be super disciplined about taking those base hits. Base hit after base hit, after base hit.

That's what you have to do. So the process of becoming a more consistent Trader It doesn't happen overnight. It's not going to happen for everyone because the reality is to become more consistent. You need to be very disciplined.

You need to have the discipline and the patience. Going back to step number one. to trade less, you need to have the discipline of patients to focus on a quality setups to not swing for home runs. You need to have the patience and discipline to cut your losers ruthlessly.

Just let them go. You have to have the patience and discipline to take those quick profits when you have them and then not Chase it with Boma But just to come back and do it again tomorrow Traders that took part in my Trader rehab program uh, earlier this year. We're super happy With taking that approach of focusing on one trade a day for a period of two weeks. It it helps bring the emotions way down.

And I'm telling you, if you do this for two weeks if you're someone out there who's really emotionally activated, who's on the roller coaster, if you commit to do this for two weeks, you're gonna feel so much better. Two weeks from today, you're gonna feel so much calmer, you're going to feel like I'm starting to get this dialed in and you know what if after those two weeks your consistency is low then it tells you you have to go back and keep focusing on strategy. And this isn't the time to trade with real money. the market will be here for you.

Don't get Fomo, it'll be here for you. You can trade it when you know when your metrics support you. Trading with real money, so focus on trading less have the discipline to do it. Focus on small share size, not forever, just for right now.

While you prove that you can make good decisions while you build your metrics while you build your track record, it's the track record that you have those metrics that I was just showing you from me from all the other people that have them. Everyone has their metrics. Those are the metrics that give you the confidence to keep investing in yourself to keep investing the time it takes to become a more consistent. Trader So look at those metrics every week.

You should be looking at your metrics. What's my profit loss ratio? What's my accuracy? What's working well in this market? What's not working well? And then as you review your metrics closely and monitor your progress, begin a process of scaling up in small increments. This is so important. This is the this is the process right here of becoming a more consistent Trader I'm giving you the roadmap.

This is what you need to do: trade, less focus on small size, review your metrics closely, and scale up as profitability supports scaling. Now that sounds pretty simple. Those are three steps right there to become a more consistent. Trader Now as you know, trading is not easy.

Some of you will not get past you know step one or two because you're going to find your accuracy is not strong enough. And what. That tells me. and you know.

I've looked at so many Traders metrics that are like that. That tells me that your entry points are not good. You're not choosing good entries. Maybe you're buying too high.

Maybe your setups that you're choosing that you think are a quality really are not a quality. Okay, so you know then that comes back to you needing to get better from a strategy standpoint. But there's a lot of Traders out there who have strategy dialed in pretty well but are trading super emotionally. Huge.

p L swings big green, big red and that's a choice now now if you like gambling, if you like swinging, if you like The Thrill of the huge win and you don't mind the the pain of the big loss, then a roller coaster Trader You know, maybe that's for you. but for me, what I found in myself was that these emotional swings that come with those p L swings were just too much and I said I'd rather make less money but just be consistent. If I can consistently make you know 2 000 a day, that would be less than maybe I've made in in hotter markets. But if it just is like I just come in I take a couple trades I hit my you know my quick profits Profit: Target You know control P shift p whatever 10 20 cents and I'm up a thousand two thousand dollars then hey, that's enough for me.

That works. Uh I have a couple more metrics to show you here. So Thomas uh, showing his here he's using some different software I guess um so you know. Interesting, nice kind of little Equity curve.

It's nice to get a bigger winner here and there and that does happen, but you know it's it's not. You know it's just part of the deal. Sometimes you'll get a bigger winner and and other times it's a little bit more of a struggle. So let me go back to the Whiteboard here.

Um, one more time. So this is the place to start. I We we have what we call the Profit Trifecta The Profit Trifecta Uh, Profit trifecta. These are the three core components to profitability.

Number one is Um. accuracy. Oops. Number two is profit loss ratio.

and then number three. Over here is consistency. So this is the way it works. You start by focusing on accuracy.

This is number one. That means you're focusing on a plus setups when you focus on accuracy. What usually follows if you've got your strategy dialed in, is your profit loss ratio improves. It goes up.

It goes from one to one to one, point, five to one to two to one. It starts to go up when your accuracy and profit loss ratio go up. Consistency follows right. And then you know in this equation isn't total profit, right? Profit is the byproduct of being a consistent Trader So we're not.

It's you can't have that as your focus. That's the result of being consistent. And that means you're focusing on accuracy, prefer loss ratio, keeping your losses really small, and then right here. consistency follows.

And so this can be self-fulfilling Become this positive feedback loop right? As you have more consistency, you gain more confidence, Your accuracy keeps improving, your profit ratio keeps improving, but it can also start to decline when you have poor accuracy. Then, all of a sudden, your profit loss ratio declines and then your consistency declines. So this can be both a positive feedback loop or a negative feedback loop depending on really. right here at the very top.

Whether you're focusing on high quality trades or you're a Trader who's getting in the habit of chasing everything that moves. When you start chasing everything that moves, you're getting desperate. you're grasping for straws. And Desperation does not lead to profitability, so you need to be calm, cool, and collected.

I Know I've done interviews with a number of Um Traders here at Warrior trading who have made over a million dollars and we have 11 traders who have made over a million dollars. Uh, three of them have made over two million, one of them 2.5 million. So I've talked with a lot of traders who have found a lot of success in the market and one of the things that um I have found to be sort of an interesting attribute that a lot of those successful Traders have. A lot of them came into the market with very little pressure.

they genuinely wanted to learn they were not financially strapped and this is in other words, the traders who needed the money the least were the ones who tend to make the most. And it feels so unfair. You know it feels so unfair that Trader who doesn't need to make money because they're already? You know they have a part-time job or another job or whatever it is, find success. And while that feels unfair I Think the takeaway there that's more important is that traders who don't have a lot of pressure on them are less likely to fall into the traps of desperation.

and Fomo, They are more likely to approach trading from a position of being calm, cool, collected, genuinely curious. Okay, if they miss a trade, they'll get the next one. They're just calmer about it. They have a calmer disposition.

If you're not able to be in that position in reality, how can you fake it? fake it till you make it. How can you approach trading from the same mindset as these traders who have done so well? And so that may mean putting some bumpers on yourself to help control and minimize falling into these traps fomo desperation? So focusing on one a trade a day, keeping it really simple for a period of time, right? That can be a great way to clean the Slate Avoiding comparing yourself to other people, avoiding looking at the market when you're finished trading, just focusing on getting in, getting your 10 to 15 cents a day, and getting out. Now if you want to watch some interviews from those successful Traders I Did a um I did a blog post about what I call our All-Star Traders Here at Warrior trading, I'll put a link to the all-star page down below. On that page, you can watch an interview that I've done with millionaire Traders I Also want to encourage you if you're at a place where you don't have strategy dialed in yet so you're kind of shooting from the hip, you do a little of this.

A little of that. You don't feel like there's a lot of consistency behind your metrics because they're just there's not a real strategy you're following. I'm going to put a link to an episode uh, right up here in just a second on scalp trading micro pullbacks because that's one of the ones that for me has been. I I Say in a lot of ways, the most consistent regardless of Market Condition bear Market Bull Market when you have strong momentum, doing quick scalp trades on micro pullbacks is for me, one of the easier ways to get my 10 15 20 cents of profit.

Now I might do that 10 or 15 times in one day because I now have the intuition of knowing when to scale up and be aggressive. But as a beginner Trader you first need to build your track record slow and steady. One trade a day. Really? do it for two weeks and see how it feels.

Come back and tell me I Think it's going to help you And as always, if you want to learn from me, if you want to trade side by side with me, you're welcome to become a member. Over at: Warrior Trading At Where You're Trading That's where I teach classes. It's Where I'm trading live every single day so you can check out our Warrior starter program our Warrior Pro two membership levels both very popular so check those out and I'll put a link to the videos that I recommend right here and right here I Hope you watch them I Hope you keep learning and thank you guys all please hit the thumbs up if this video has helped you. If you've enjoyed it, it helps tell YouTube that this is a video other Traders should watch.

so thank you for doing that and I'll see you back here for the next episode right here on YouTube Thanks so much for tuning in I Hope this will help you become a more consistent Trader.