The goal of a successful trader is to make the best trades. Money is secondary.
Interpretation
Successful trading is about making wise decisions, while money is a byproduct of those decisions.
This quote highlights the principle that in trading, the focus should be on executing well-considered trades rather than fixating on the immediate financial gains. By prioritizing skillful trading strategies, success naturally follows, as profits are a result of consistent good decision-making rather than the main objective.
In practice
In a financial seminar discussing investment strategies, one might say, 'As Alexander Elder once noted, the goal of a successful trader is to make the best trades; money is secondary.'
Every winner needs to master three essential components of trading; a sound individual psychology, a logical trading system and good money management. These essentials are like three legs of a stool β remove one and the stool will fall, together with the person who sits on it.
Beginners focus on analysis, but professionals operate in a three dimensional space. They are aware of trading psychology their own feelings and the mass psychology of the markets.
The market does not know you exist. You can do nothing to influence it. You can only control your behavior.
Traders lose because the game is hard, or out of ignorance, or lack of discipline or because of both.
Thatβs when I first learned that it wasnβt enough to just do your job, you had to have an interest in it, even a passion for it.
If you wish to succeed, you must brave the risk of failure.
Success is more dangerous than failure, the ripples break over a wider coastline.
You can talk all you want about having a clear purpose and strategy for your life, but ultimately this means nothing if you are not investing the resources you have in a way that is consistent with your strategy. In the end, a strategy is nothing but good intentions unless it's effectively implemented.
Patience; this is the greatest business asset. Wait for the right time to make your moves.
They don't give you gold medals for beating somebody. They give you gold medals for beating everybody.
Subscribe for the occasional hand-picked quote. No noise.