How I was able to become profitable after 2.5 years of losing money

Summary

In this candid video, the speaker shares personal trading experiences, emphasizing the journey from losing around $25,000 in the first three years to becoming profitable with earnings of $330,000 and $300,000 in subsequent years. He discusses the pitfalls of seeking validation on social media and the importance of self-accountability and mental shifts in trading. The key takeaway is to focus on building good trading habits rather than being preoccupied with making money, as the latter often leads to poor decisions. The speaker also highlights the significance of journaling to identify and rectify personal trading issues, advocating for a mindset where one finds satisfaction in the process rather than the financial outcome.

Takeaways

• 📈 The speaker emphasizes the importance of focusing on the process of trading rather than the outcome of making money.
• 🔄 The video discusses the journey from losing to becoming profitable in trading, highlighting the mental shift required for success.
• 🤔 The speaker warns against the pitfalls of comparing oneself to others on social media, which can lead to a false sense of progress.
• 📉 The importance of learning from losses and becoming desensitized to them is stressed, as it's a part of trading and scaling.
• 🧠 There's a call for traders to practice self-accountability and self-recognition, acknowledging personal emotions and problems.
• 💡 The 'aha' moment for the speaker was realizing the need to shift focus from the idea of making money to building good trading habits.
• 💰 The speaker advises to be unattached to money in trading, suggesting that emotional control is key to scaling and long-term success.
• 🔢 Journaling is presented as a crucial tool for traders to identify and correct personal problems and to break even or improve.
• 🚫 The video script cautions against the trap of seeking validation from others and the pressure it can create to take unnecessary risks.
• 🔄 The concept of a 'mental trash bin' for money is introduced, where traders should be comfortable with the idea of losing a set amount of money as part of scaling up.
• 📝 The speaker encourages traders to find satisfaction in executing trades correctly, regardless of whether they result in profit or loss.

Q & A

What is the main theme of the video?

The main theme of the video is the speaker's personal journey and experiences in trading, emphasizing the importance of focusing on building good habits rather than just making money.

How did the speaker initially struggle with trading?

The speaker initially struggled by losing money for around 3 years, amounting to $25,000 to $30,000, due to being more focused on the perception of profitability rather than actual profitability.

What was the speaker's first year's profit after becoming profitable?

The speaker made $330,000 in their first profitable year.

What is the significance of being unattached to money in trading according to the speaker?

Being unattached to money in trading is significant because it allows traders to focus on the process and habits rather than the outcome, which in turn leads to better decision-making and long-term profitability.

What does the speaker suggest as a method to improve as a trader?

The speaker suggests journaling as a method to improve as a trader, as it helps in identifying and addressing personal problems and unnecessary losses.

Why does the speaker emphasize not comparing oneself to others in trading?

The speaker emphasizes not comparing oneself to others because everyone is on a unique journey with different experiences, and comparing can lead to unnecessary stress and incorrect self-perception.

How does the speaker describe the importance of mental maturity in trading?

The speaker describes mental maturity in trading as crucial for self-accountability and self-recognition, which are necessary for making rational decisions and avoiding emotional trading.

What is the 'mental trash bin' concept mentioned by the speaker?

The 'mental trash bin' concept refers to having a predetermined amount of money that one is mentally prepared to lose when scaling up in trading, which helps in being comfortable with larger trades and potential losses.

What advice does the speaker give for breaking the even stage in trading?

The speaker advises journaling to identify and fix personal problems that lead to unnecessary small losses, which is a common issue for traders at the break-even stage.

How does the speaker view the role of a trader?

The speaker views the role of a trader as an observer and a risk-taker, with no personal connection to the trades, and emphasizes the importance of making decisions based on habits and strategies rather than emotions.

What is the speaker's perspective on making money in trading?

The speaker's perspective is that making money in trading is not an end in itself but a result of following proper habits and strategies. He warns against the misconception that making money automatically means doing something right.