Posted on January 29, 2010 - by Alvin

Capital is key to Profitable Trading

Photo by The urban snapper

Today, I finally took action and made a step out of my comfort zone.

I think it started from my trading goals (guess by now some of you know about my trading goals for 2010). And this is why we must set goals. At first, we may not have a clue on how to achieve our goals. But along the way, we tend to see possibilities that we previously failed to recognise and begin to make adjustments. If you asked me, I did not know how to achieve my trading goals but I want to attain them.

Recently, T3B organised the annual gathering for 2010 where Keane shared his insights on the markets in 2010. I had a brief moment of enlightenment when Keane commented on people having not enough capital for trading. It kind of hit the bull’s eye of my current obstacle to my trading goals which I did not see as a real problem. Trading a large capital in turn requires stronger psychology when it comes to handling wins and losses, as well as money management. Initially I thought that by cultivating and having good trading skills, it would help me gain bigger profits and meet my goals. It was until the issue on capital that created the paradigm shift in my perception. The key to bigger profits is to have a sizeable capital and strong psychology. Read more…

Related posts:

1. Trading Goals for 2010
2. A capital question: how much to have or how much to use?
3. Your investment capital looks like this