Character Traits For Successful Traders
One of the most overlooked aspects of trading binary options is psychology. You’ll find fewer resources dedicated to this at this point in time than pretty much anything else, which should tell you something about the mindset that a lot of people approach binary options with. Most people who trade binary options are gamblers who are going to blow their bankrolls overnight and be out in the cold the next day. If you’re serious about succeeding as a trader, however, you’re going to have to start by examining your own personality and traits.
Consistency Is Key
One of the most important traits you can develop as a trader is consistency. If you’re not consistent in your actions and choices and the basis for those choices, you’re not going to achieve consistent success. You might achieve intermittent success, but eventually you will lose everything since you’re relying too much on luck. Consistency requires that you come up with trade rules that have some specific basis; that you test those trade rules and see how they work before going live; and that you then continue to use those trade rules when you trade in real life. Making arbitrary decisions only results in arbitrary profits and losses. Adjust your methodology as needed when the market changes, but do so with specific reasons and testing behind your decision, not because you’re arbitrarily changing things.
Discipline And Motivation
In order to trade consistently, you’ll need to be disciplined and motivated to do a lot of hard work. No one becomes a successful trader overnight—not for the long term. Would you rather have one huge win and then blow all your money, or would you rather have a lot of small wins which eventually add up to something huge you can hold onto? This will also take a lot of patience. Most people who trade successfully in any market take years to get there—that’s right, years. When you see advertisements which say, “Turn $500 into $50,000 in 1 week,” those advertisements are aimed at people who are not going to succeed.
Honesty Is #1
The most important quality in a trader is probably honesty. If you can’t be honest with yourself about your strengths and weaknesses, you have no way to improve. There is nothing wrong with gambling purely for the sake of entertainment, and budgeting your gambling money as entertainment money. There’s also nothing wrong with deciding to trade seriously and professionally with plans to do so over the long term.
There is a problem when you’re a gambler but you’re telling yourself that you’re a pro. That’s the kind of thing that leads to foolish financial decisions, like spending money which you need to get by on something which for you is ultimately a form of entertainment. There is a problem when you tell yourself you’re a market expert and you’re not. So start out by asking yourself why you really want to trade, and if you have realistic expectations. Always know what you want and what your real strengths and assets are before you start investing your money.
Discover Our Top Binary Option Brokers
If you want to put your new binary knowledge to good use, why not register with one of our top brokers? Our experts have tested these brokers to ensure they’re safe, fair, and rewarding. Below, you can learn more about each binary broker. Once you’ve found the right one for you, register for a demo or live trading account to practice your skills.
- IQ Option:
IQ Option is a well-respected broker with top-tier regulation from CySEC. They offer a diverse range of binary options, with potential returns of up to 95%. You can start trading these options for as little as $1 or open a free demo account with $10,000 of virtual funds. Besides binary options, IQ Option also offers FX options, digital options, forex currency pairs and over 250 other CFDs ranging from commodities to cryptocurrencies.
Register with IQ Options to trade binary options safely now, or visit our IQ Option review - RaceOption:
A popular international binary broker, RaceOption stands out from the crowd by having one of the best trading platforms around. With state-of-the-art technology, you can expect non-stop trading, super quick withdrawals, and instant execution. RaceOption has a reasonable minimum deposit requirement of $250 and a $1 minimum trade size, which makes it perfect for beginners. You can also take advantage of multiple bonuses, contests and promotions.
Sign up to RaceOption to experience speedy trading today. - Binarycent:
Binarycent gives you access to options, forex and CFDs via an easy-to-use trading platform. You can select from three account types with a minimum deposit of just $250. Each account comes with a rewarding deposit bonus, quick withdrawals, 24/7 support, and a demo account too. Binary trades start from just $0.10 and the broker boasts a potential returns rate of up to 95%.
Visit Binarycent to claim a bonus of up to 100% now. - ExpertOption:
ExpertOption is a global binary broker, serving customers from 48 different countries. With a trading platform that works on all devices, you can easily access over 100 assets whenever and wherever you want. ExpertOption offers six different account types, including a Micro account that only requires $10 to get started. You can also take advantage of the broker’s social trading platform, which enables you to study the trades of VIP clients.
Join over 50,000,000 loyal clients at ExpertOption