How the rules to be a successful poker player are the same rules to be a successful trader?
In every one of my stock market trading seminars, I ask each attendee his profession. I do this not only to break the ice but to give them confidence. I think all of us bring something to the table that can help us to be successful in the stock market. For example, engineers are much disciplined and are good at following rule-based systems. When they follow a rule-based back-tested system, this can help control emotional behavior. Emotions play a large part in financial markets. Medical doctors are scientific and base their decisions on logic and evidence. Successful investors weigh the facts and a doctor’s thought process will give him an edge over those who make decisions based on emotions. The best traders are able to separate their emotions from the trading process. Accountants bring the edge of risk management to the table. The job of an accountant is to manage the risk of his clients. Risk management, in my opinion, is the essence of successful trading. Even a housewife who follo
