THE ADVANTAGES OF INDEPENDENT TRADER

Trader should trade alone first before he or she decides to trade with other people. This allows the individual to develop his own philosophy and his own understanding about himself and the market. However, that not everybody can trade alone because it requires a set of beliefs and values to be part of the trader’s character. Not all people are created with the same set of characteristics.

There are people who do not have faith in their abilities and in their capacity to learn to trade successfully. I know of individuals who need constant reassurance before they take any step towards their goals. In similar circumstances, trading in a group may be the only option available for some people to give them the push they need: otherwise, they may never start.

Not everyone can operate under the solitude of the journey. For example, there are people who need social contact more than others. Individuals who are social by nature and those who solve problems by talking to other people, may have difficulty undertaking a solitary endeavour. An independent trader are free to make their own decisions without having to find a way to explain the rationale of your decisions to anybody else. The time and effort can be focussed on what the market is doing and how to react to it, instead of worrying about the psychological and emotional dynamics of a trading group.

An independent trader also responsible and accountable for their own success or failure. They cannot shift the blame to anybody else. It could be disappointing to some knowing that they cannot blame anyone else if they fail. For others, it is very empowering to know that they, and they alone, are in charge of their own destiny. No one can blame you for their failures. No time is wasted on justifying your actions or feeling guilty about the impact of your trading blunders on someone else’s financial situation.