The Joy of Consistency in Trading is the Reward of commitment.

In trading, the joy of consistency is the reward of commitment says Yvan Byajee who is a trader and a blogger.

While trading we traders desire that we make profits everyday in the market. Whether we trade stocks, index, commodities or something else. But to our utter dismay we find that this is not possible. There are profit trades and there are losing trades. Sometimes losing trades continue for a stretch. Then our mind begins to ruminate on this. It begins to frighten us and tells us to forget about our trading plans and take decisions that are inconsistent and not according to our plans.

Now the question arises: Is it not possible to make profits in the market through trading. It is possible. We can make consistent profits over time. The problem is we want to earn profits from day one we begin to trade and from the very first trade that we make. This will not give us the result that we are looking for. What is required is consistency. When we have a tested plan, we should follow the plan irrespective of what other information comes to us. We are barraged with information from the TV, Newspapers, the Internet and from all the trading gurus. Now if we begin to hear them and follow them too then we will never make profits let alone consistent profits. We must be committed to our trading plans.

Laird Hamilton, an American big wave surfer. says “Make sure your worst enemy does not live between your two ears.”. Our minds are like small chatter boxes. It is the inner conversation or inner monologue that goes on constantly in the mind. … It is a sort of inner voice that constantly analyses everything about our life. When we give more attention to the external information about trading, price movements, etc., thoughts in our mind begin to happen automatically. When we realise these thoughts are not us, they are just thoughts that happen without our doing anything, it becomes easier to trade. We trade without any stress or fear. Losses will be there we can never wish them away. But when we trade consistently with a commitment to our trading plan, we will make profits. The winning trades will automatically take care of the losing trades.

Trading is simple. When prices are going up we buy, when they stop going we sell. In the same manner when they are going down we sell, when they stop going down we buy. We unfortunately make it a complicated activity and mess up the whole thing when we are not consistent and committed to our trading plans.

With a tested trading plan that tell us when to enter a trade, when to exit from it and where to place a stop loss order we should be able to make trading a joyful activity with consistent profits.