How to start trading:

source: http://www.smbtraining.com/blog/3-2-1-live

1) You do not learn how to make $5000 in a day by losing $5000. Losing $5000 teaches you how to lose $5000. First learn how to not lose money, then making a small amount, then a little more, then a little more, then more…….

2) The first day you trade live will be the worst you ever are as a professional trader. We are not good at anything until we put in our hours. For trading this means thousands of hours of screen time. Trade with very little size. Why risk money when this is the worst you will ever be?

3) The most important thing you can do during your beginning is to improve everyday. Turn one day into ten days of experience, one trade into ten trades of experience through simulation.

4) Develop a list of the things that anger you while trading. Perform visualization exercises to combat trading on tilt intraday.

5) Develop a tight intraday stop loss. Follow it.

6) Stick with a few stocks. On our desk we do not allow any new trader to trade more than 5 stocks when they first trade live. Don’t prove how badly you can trade too many stocks. Work on your trading skills by focusing on just a few.

7) Develop good habits. It’s the thousand little things you do consistently well that will determine your success. Prepare properly, keep a detailed journal, talk trading, etc.

8) Find a good mentor. We get better by receiving critical feedback. Acquiring domain knowledge, motivation, critical feedback, and simulation is the process for all great performers to turn knowledge into elite performance (See The Talent Code: Greatness Isn’t Born. It’s Grown. Here’s How.)

9) Set process goals. Your job is not to make money but to improve everyday.

10) What is your ultimate goal? To make millions? Freedom? Date a model? Buy a Ferrari? You will never reach these goals unless you do not embrace the life philosophy of becoming an elite performer. And in this world money is not your greatest reward.