This article may seem philosophical as I was listening to an interview with a successful trader recently and the topic was about trading the markets.
Naturally, the first question was how did he get so successful trading the markets?
In light humor fashion, he cheekily responded the question with a question, "Do you think it is because I am a financial guru that thoroughly understands the market inside out? What factors affects and influence at the macro and micro perspective?"
"Well, if you are expecting such a typical textbook answer, I must be is BS-ing you!"
He went on to explain that the only predictable thing about the market is that it is unpredictable. What is important is to focus on your interaction to this unpredictable animal, i.e. how do you perceive and react to the markets. Everything in this world is relative to the most important ......
Hi,
I agree with you. Simply, it means Know Yourself!
In addition,
how well do you know your opponent?
How well do you know your terrain?
How well do you know the (financial) climate?
Before knowing or understanding all the above, most inexperience investors jump into the investment arena!
It would take years to know, understand and change yourself to become a trader. Add on the other few points, it might take a decade or two!
Patience and passion are two criteria you must have. The other is time and luck.
Making money or learning to invest is never easy. Either you have or you don’t!
Good luck
Yes Patrick, as Sun Tzu said it too, know oneself, know thy enemy, a hundred battles fought, a hundred won. Nice sum up of it.