3 Reasons You’re Not Consistently Making Money With Your Investments
It’s a scary thought, especially if you are new to trading and investing, but around 90 percent of all traders fail to make consistent profits through their investments. With this figure in mind, it’s surprising that anyone bothers to invest at all. However, the fact that millions of people do still invest, and do still trade, means that there must be something to it – there must be some kind of draw.
The problem is, this draw doesn’t mean you’ll make a profit, at least not consistently, and that’s the issue. Yet, as with most things in life, if you do find that trading isn’t working out for you, there may well be a reason behind the issue. Read on to discover some of the reasons why people don’t consistently make money with their investments. If any ring true for you, you’ll know what you need to change to make all the difference.
The Wrong Platform
There are dozens of trading platforms available, and although they might all look similar, they are not all the same. In fact, some are far superior to others, and if you are using one that doesn’t work for you, that is hard to understand, difficult to navigate, and doesn’t give you the tools you need to do well in the world of investment, then this could be the sole reason – or at least part of the reason – why you aren’t consistently making money.
By opting for a well-known and popular trading platform such as MT4, you can be sure that not only will you have more success because the platform is easier to use and therefore you’ll be more willing to adapt it to your needs, but there will also be plenty of help and advice for you to use to make things even easier. The more obscure and complicated a platform you use, the less chance you’ll have of success.
No Trading Strategy
If you saw anyone close their eyes and point at the screen full of potential investments, picking whichever one their finger fell on, you would think they had no idea what they were doing when it came to trading. However, if you’re trying to trade without a strategy in place and no trading plan, this is essentially what you are doing. You’re just picking whatever looks good, fairly randomly, and hoping for the best.
If you were to have a trading plan in place that you spent time putting together and then carefully developed it as you learned more, you would have much more success. You’ll know exactly which trades are the right ones for you, you’ll know how much to risk, and you’ll know when to enter and leave the trade.
Lack Of Discipline
If you want to be a successful trader and have consistently good profits, you’ll need to be exceptionally disciplined. A lack of discipline could be one of the biggest reasons you’re not doing as well as you should be, and although it will take a change of mindset and focus to fix, once you do, it will be worth it.
The discipline we’re talking about is the discipline to trade without emotion. When you can do this, you won’t make errors such as executing trades too soon, breaking your own trading rules, over-trading, or making any kind of impulsive decision. You should see trading as a business; there are rules to follow, and if you follow them to the letter, profits should be made.