Uncover the Myths of Stock Trading

By W. Alan Gay

As a Stock Trader for over 15 years, I have learned a lot about the ins and outs of the business. I started out on my own, rather than with a big brokerage firm with fancy employee training courses. I took seminars and self study classes and learned as I went, many times through sheer trial and error.

While this method may have taken me longer to succeed, I have accumulated a lot more real world knowledge about stock trading than a lot of those brokerage house taught investment advisors who only know what they learned from their boss. For instance, I have learned over the years that there are misunderstandings that constantly recur when talking about stock trading. Here are three of them:

First, is the myth that only certain types of people make successful stock traders. True, those folks who can analyze stock trends and pick the big winners are typically left brained thinkers (more than 60%), which is probably how this myth originated.

But there really is something in stock trading for every type of thinker. If you aren't a left brained analytical type, you just need to find a process that works well for you. I am definitely right brained, and I am being completely honest when I tell you I would hate to sit around and analyze stocks all day. Despite this, I have made a great living trading stocks. Anyone else can too.

Second, is the belief that stock trading is speculative, and carries as much or more risk as owning your own business. Yes, people have lost everything in the stock market, and those are the stories the media loves to report on that intimidate a lot of people.

But I have discovered that if you can establish a process for setting your stops can limit your risks to a tolerable comfort level, stock trading is really a very low risk profession. To illustrate, I have created a system for myself that allows me to trade with a success rate of up to 75% , which is hard to beat! I can't think of any other business that can give me that kind of low risk return.

Finally, I hear again and again that to really make money in the stock market you must commit to it full time and then some. And I agree, this is absolutely true for some types of trading and particularly if you don't have a good stock picking service. Then you have to do all the leg work in a fast paced environment. That does take a lot of time.

However, rest assured it is possible to make a full time living trading stock for 2-4 hours a day. What you do with the rest of the day is up to you! The trick is to find a process that meets your comfort level of risk and is very efficient with your time. There are a lot of courses available and I agree it can be intimidating to find the one that's right for you. Investigate several choices and make sure to ask lots of questions before signing up. If you don't get satisfactory answers to your questions, move on fast, customer will not improve once they have your money! If you research your options knowing the right process is there for you, you will be on your way to success at stock trading before you know it. - 23218

About the Author:

W. Alan Gay has been a stock trader and coach for fifteen years. His free report describes Alan's voyage to becoming accomplished at trading stocks and gives useful tips he and his students have used to consistently trade profitably. Click to obtain a free copy of his report and learn more about how you could be trading stocks profitably in as little as two weeks.