subject: Winning Consistently Is Way Better Than Making A Killing Once In A Blue Moon [print this page] Some people believe that winning big is the key factor that differentiates big from small players. Although there is some truth in this statement, I believe that winning consistently is way more important than having one or two big winners. Of course, it will really depend on which kind of trading strategies and setups you will be using, but I believe that as a general rule, aim for consistent winners and not once-in-a-lifetime winners.
Winning consistently might provide you with better and more predictable results than if you have one big winner every once in a while. Winners like that, almost like black swan winners to paraphrase Nassim Taleb in his famous and most awarded book The Black Swan, will highly impact your trades but will offer you no guidance or aid to plan your future. It is just way easier to plan and prepare yourself if you have a mindset and results that show you a profit month after month, instead of six months of loses and one month of profit.
This is not easily achievable but I believe that the sooner you start planning your trades to have a constant win ratio, the better off you will be. Sure, you might end up selling (or buying back if you a shorting the market) way too soon just to see the stock going off. That will happen more often than not and you will get used to. The important thing in this aspect is to have enough maturity to let it go and waste no time on looking on something that could have been.
This is really important. Many people that have come to me asking for guidance to improve their performance, had such a detailed and carefully organized explanation and notes of one trade that they have missed and how they could not understood how they havent spotted it in time. What I usually say is that if they have spent all that time analyzing and taking notes on that trade that they could no longer have it and spent it searching a new trade, they might have found one already. It seems that in the stock market the grass is also greener on other side.
