7 Trading Habits That Made Me Consistently Profitable.

every Trader out there loses thousands of dollars making these mistakes if you can avoid each one of these mistakes you will be light years ahead of every Trader out there these are mistakes I constantly see failing Traders making and I myself have had to overcome these mistakes to become a consistently profitable Trader so the first thing most people figure out is when you come to trading you have to have a trading plan now my trading plan is super super simple I generally just look for reversal trades I like to see a support Zone I like to see the trend broken and then I look to look for a reversal Candlestick pattern that gives me a signal to get in it's kind of a one two three punch and then I jump in on a trade now the biggest mistake though that I make sometimes and I see a lot of people doing is not actually following that plan is you follow it most of the time but there's times when you slip up following it you have to stick to your plane rigorously that is the thing that is going to keep you profitable and consistent as a Trader is because you've spent all this time building in a profitable plan or a plan that theoretically should be profitable and you have to give it time to actually work out and for me right here to show you an example of this mistake I was making I had number two of my checklist were line up and I had number three of my checklist but there was no real support level down here that I was looking for I really was just seeing hey the market kind of came in this downtrend and it's kind of chopping here and so you know I fomo'd in wanting to jump on this level of thinking oh well you know maybe I don't have a support level here that I've drawn from before but maybe it'll still work out because I have two and three of my checklist but I don't have one and you have to have all of your plan line up two signal trade otherwise you're just randomly trading and you cannot be doing that because that's not repeatable and you have to have something that you can consistently repeat in the markets to be consistently profitable and of course when you do something like this it's always going to turn out to be a lot loss maybe you'll get a lucky a couple times which is really bad because it'll reinforce you taking a bad trade because well you won but maybe it wasn't a bad trade but in reality you have to stick to your rules or you're going to end up losing a lot of money and waste a lot of time so to walk through another big mistake and example is well this one I'm following my plan I have a support level the downtrend is broken there's even a little one right here that's broken and then there's a nice Candlestick entry pattern but the biggest mistake I see people make and I'm making here is if you look at the market see how the market is acting if you look at all these candlesticks they are very very stacked on top of each other there's a lot of back and forth and choppiness in the market and so because of that you have to realize that if the Market's gonna make a big swing like this in One Direction it's going to be very very hard to capture that movement because even if the market does go in your favor it's going to have a lot of back and forth and when you're at kind of the lows like I am right here trying to catch reversal to the highs and because the Market's choppy it's more likely that you get false signals because the Market's just going back and forth and chopping around and because of that it's also likely that you get trapped or the market just doesn't work out because it's more likely to just kind of stagnate and sit there versus giving a nice swing in your direction and because of that as well it's hard to capture a big clean move in the market because it's likely that even here you can see there is a massive sell-off here but because the Market's choppy it's likely to just reverse that back up and continue to sit there so even if a move happens it's unlikely that you can easily capture that move now one of the hardest things to grasp in trading is when you take a perfect looking Trade It lines up with all your rules and it just doesn't work out right here this trade is awesome there a resistance level up here and the uptrend is broken and there is a really sick reversal Candlestick right here and so I think for me for my strategy I think this looks amazing for the market to break going lower because we've had a nice friend break it's kind of lost some steam it made one more attempt to keep going higher and then there's massive rejection right here from Sellers and so I think it's very likely that we keep going lower and I would take this trade every single time but sometimes the market gives you a signal it looks really good and it still doesn't work out and that is totally part of trading you have to accept that you are going to have losses even on the best looking trades and so that's why you have to have really good risk management when it comes to trading as well you want every trade to be the same size because if I saw this trade right here that looks amazing and I thought this is a hundred percent guaranteed to work out the moment you start thinking that run away and if I bet you know my whole account on it well there's a chance that it doesn't work out and this trade does end up being a loser even though it looks so good and I would take this trade every single time but again that's a part of trading and if you didn't have good risk management and sizing you would end up losing your whole account and that is another mistake people make is they go too big a size on certain trades you want to have good risk management with your trading because not all trades are going to win that's a part of trading again we're in it for the long haul the numbers game you want to be consistently profitable over 100 trades and of course some of those are going to be losers and that is totally okay because again that is just a part of the game trading now this mistake right here plagued me for years and this is why I have my checklist of entering we have a good resistance level up here the uptrend is broken and there's kind of a good signal here but it's jumping the gun on a trade when you see the potential coming right when you are trading you want to have a and of what you're looking for and when you see that plan starting to a line up of one resistance level and two the uptrend is broken looking for a reversal well you start to get antsy and say okay all we need is one more thing just need the final confirmation we want a a good bearish Candlestick and you can jump the gun when not everything is quite aligned and it can cause a lot of consistent losses because you're just getting into aggressively in the market and it can be really really frustrating doing that versus waiting for that actual strong confirmation that your plan asks for for my plan right here this Candlestick didn't really show enough of rejection of that level because it didn't even give back this green bullish bar right in reality it was just a little pullback in this uptrend we had but here this Candlestick we had some consolidation with these two candlesticks and then a massive rejection Candlestick and that's when I got in on a short betting that the market was going to go lower and that's where you need to be looking out for when your training is in anticipating that a trade is coming and sitting on your hands and knees until everything lines up properly because I have made so many mistakes where I see a potential trade coming I'm theoretically correct because I in hindsight I see the market go down but I jump in too early and it can be extremely frustrating because I'll jump in take a loss be upset with myself and maybe just be done for the day and if I waited just another literally five more minutes the actual trade would have set up and so that is something that is extremely hard to do for me over the time of training is just wait another five minutes for that final confirmation because generally those are the best cleanest and easiest trades to end up taking is the ones that look insanely strong not the ones that look pretty good and they might work out if it's going through your head that hey this looks pretty good it might work out it's not a good enough setup to be taken you want to be taking those trades that you see that line up perfectly and you're like wow this trade looks amazing I have to get in this right now because it fits my strategy perfectly and I patiently waited for it to set up like this so here's another trade I'm in and this one actually ends up becoming a winner but I lose out on hundreds of dollars because the big mistake I'm making here and it's one that I think a lot of people potentially do when they're trading and it's getting too greedy when it comes to your trades when you see them work out you have to take your profits when the Market's telling you to when the market was up this High I was up three or four times my risk I was up five or six hundred dollars and that's a great amount to make on a trade you cannot get greedy trying to say okay well you know maybe the market will pull back here and then go all the way up just take the easy money and get out you're gonna lose a lot of money trying to give the market a lot of wiggle room in your trades hoping that it maybe does some crazy move that you can catch and you can get a home run just go through the quick easy wins and make a lot of money that way because again consistently making three or four times your risk is Gonna Make You insanely profitable in the long run another mistake that I made was looking at stock chart patterns and thinking that oh I could just learn these and the market will fit them and I'll be able to know what the Market's doing and the market really never fits these patterns in real time it can be easy to spot them in hindsight sometimes but when you're actually reading the market it can be pretty hard to spot these and quite often even if you see them they don't necessarily play out that way and so what I found is the most important thing is just learn to read the candle six of a chart and understand Trends and the nuts and bolts of just what those are telling you and you will be able to know way more about what the market is doing than just trying to match pictures of potential chart patterns onto your chart now if you like some of the trades I walk through in this video check out this video right here I go way more in depth into my plan that I use to consistently be profitable trading in the markets thanks great I hope

Channel: Riley Coleman

Views: 50,761

Keywords: live day trading futures, day trading strategies, futures trading, futures trading for beginners, futures trading strategies, trading strategies, trade ideas live, day trading live, stock market for beginners, price action trading, Price action trading strategy, price action trading system, price action trading live, price action trading for beginners, price action trading small account, trading price action, Trade ideas live, live day trading, scalping, scalping strategy

Id: SJ19b8-VPGI

Length: 10min 12sec (612 seconds)

Published: Sun May 07 2023