"All battles are decided before they are ever fought,"
~Sun Tzu.
That is, one should be able to get into a situation where victory is guaranteed through careful planning and preparation prior to a conflict.
Traders should position themselves before trading so that they can significantly lessen the significance of their losses and thus ensure victory.
When you have to trade successfully in order to survive, the emotional traps of trading become much more apparent.
Money is almost completely ignored by the most successful traders.
People who are attached to the result are those who have a financial need.
This attachment typically has a negative impact on decision-making because fear is exaggerated and distorts reality.
Before considering the best-case scenario, traders need to be at ease with the worst-case scenario.
The wealthiest traders have grown accustomed to the notion that they could lose everything; ironically, this notion gives them a sense of security.
The amount of money that you can afford to lose is something that only you know.
It is important that the money you trade with is something you can live without.
Think this through thoroughly before deciding to pursue a career in day trading.
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