Persistence

This is perhaps, the single most important of all qualities that a trader can possess.

Trading is an endeavour which requires the ability to continue trading even when results have not been good.

Due to the nature of the markets and trading systems, bad times are frequently followed by good times; and good times are frequently followed by bad. Some of a trader's greatest successes will occur following a string of losses. This is why it is extremely important for traders to be persistent in applying their trading methods, and to continue using them for a reasonable period of time.

Those who quit too soon will not be in the markets when their systems begin to work; those who quit too late will run out of trading capital. Therefore, while persistence is important, it is also important to know when a trader has been too patient, when it is time to quit and not play any longer using the system which you have been using.

If persistence is so important, then how does the trader develop it?

While the answer is simple, the implementation is not.

Persistence is developed by being persistent. While this may sound to you like a circular answer, it is truly not.

The only way to be persistent is to force yourself initially to do everything which must be done according to the dictates of your systems or method.

Try this approach if you are having difficulty;

Make a commitment to a trading system or method.

Follow through with that approach for a specific amount of time making every trade according to the rules or, if the system is subjective, attempting to trade the system with as much consistency as possible.

If you have been consistent in applying your rules, then you will find that, in most cases your consistency will have paid off and you have profits to show your efforts.

Even if your trading can follow a system or method, that you can trade in a disciplined fashion and, moreover, that the only way to do so is to be persistent by following as many of the trades and rules as possible. Compare this to the ignorance and confusion which come from haphazard trading or by applying trading rules inconsistently.

Think back to your experiences as a trader. Remember your worst losing trades. You will find that those losses which have been taken according to a system or method are easier to accept psychologically, whereas those which have not been accepted according to the rules have often turned into terrible monsters, ultimately costing you much, much more than they should have financially as well as psychologically.

If you would like to master the skill of persistence, then you will need to practice it.

Make the commitment and I think you will see some wonderful results, even over the short term.