Mystery Behind Mastery
Mastery is not a function of genius or talent. It is a function of time and intense focus applied to a particular field of knowledge. One of the easiest ways to dramatically improve your skill as a trader is to focus on one market. Many of us may reject such a thought immediately.
When there are opportunities everywhere, Why limit me?, Why only one market?
Have you ever faced the dilemma while making the decision to put your money on various opportunities? Amateur traders think it’s better to trade everything but the hard truth is they’re not GREAT at trading anything.
As a novice trader, one might be quite knowledgeable at picking Growth Stocks, Pretty good at selling options, Better than average day trading stocks. They don’t excel in one niche. If this sounds like you, don’t get disheartened. It’s not your fault.
In this information world, we are flooded with many websites, which claim their master system has beaten the markets. And they show, how their system doing wonders for them when applied to various markets. Being hit by this flood of contradictions drives most to become a jack of all trades.
Secret of successful traders: Focus on One Market
Great traders, those rare individuals with decades of consistent profitability, almost always share a common trait, they only trade one market. Rare exceptions are there in every field.
As a trader, our goal is to be in the top 3% and for that it becomes essential to focus on one niche. Someone may negate the above statements, giving rare examples of Warren Buffet, Peter Lynch, George Soros or any other fund managers who are successful in minting money. Let me remind you, as a retail trader we are not managing Million dollar Fund. What we need to know is how real individual traders find success.
“Jack of all trades, master of none”~Brian Bain
Focusing on one market makes decision-making easier and removes any fear of missing out; knowing that what you already tracking and trading is good enough to achieve your goal. Why would you ever stress about chasing more, more, more again?
While investing your time deeply in one activity might deny us the breadth of experience we’d like, pursuing a breadth of experience denies us the opportunity to experience the rewards of the depth of experience. There are some experiences that you can have only when you’ve lived in the same place for five years when you’ve been with the same person for over a decade when you’ve been working on the same skill or craft for half your lifetime.
Beating the street: Focus is the Key
“Sticking things out is overrated, particularly if you stick out the wrong things. In fact, I think you’d be much better off quitting most of what you do so you have the resources to get through the hard slog I call the Dip. The challenge, then, is to not quit in the Dip, but instead to quit everything else so you have the focus to get through the slog of what matters.”~Seth Godin
Although most people aren’t able to beating the streets, you can beat the markets if you put enough effort into honing your market knowledge and skills. Make sure you focus your attention on specific areas. Successful and consistently profitable traders specialize in one market and trade it exceptionally well. They don’t try to master every corner of the investing universe.
Its really powerful and worth to focus only on one market. Thinking how you can do it. Its so Simple. Take action on following steps.
- Review your Profit &Loss.
- Compare your performance across different markets, strategies and time frames.
- Find where you have an edge.
- Then focus on YOUR market and trade it until you’re a master.
“The game has its ups and downs, but you can never lose focus of your individual goals and you can’t let yourself be beat because of lack of effort.” ~Michael Jordan