Low-Risk, Boring Trades - Laurens Bensdorp


Your automated trading strategy does not benefit from adrenaline.  In fact, if you’re pumped up about something the only thing you can do is screw up your strategy.  That’s because adrenaline puts your brain into ‘fight or flight’ mode, which is great when you’re fighting a wild animal on the savannah or running from a burning building, but really bad when you’re looking at historical price action.

So here’s a crucial rule all successful traders follow:  

Don’t trade at all on days in which there are no ‘low-risk’ trades available.

Many new traders think they’ve got to trade all day, every day.  This is a huge mistake.  Trading when you don’t have a low-risk (think high probability), trade will only lead to big losses.  

It’s perfectly fine to ‘sit out’ a day and do nothing at all.  Remember that most days have very little price movement.  If you go hunting after a trade when the odds are against you, you’re no longer trading, you’re gambling.  

You probably know that gamblers lose in the long run.  That’s because they’re not using the full power of their intellect and reason...they’re addicted to the ‘high’ that comes from gambling, which leads me to another important rule:

Good trading is boring.

When I was first learning to trade, it was exciting.  It was also financially devastating.  I followed my instinct, or my emotions, and the thrill of trading became an addiction.  It wasn’t until I put that emotional baggage aside and applied cold hard reasoning to the statistics of price action and unplugged myself from the process that I became enormously successful.

Now I have a trading strategy that does all the work for me.  Even the profits are no longer as exciting to me because they’ve become so….routine.  It’s numbers on a report that my assistant emails me. 

Now of course I want to make money, not lose it.  I’m not so detached that I don’t care, it’s just that trading isn’t filling a psychological need for me, it’s fulfilling a material need to provide for my family, support my passions and help others.  It’s just business.

Trading your portfolio needs to be ‘just business’.  It might take some effort for you to become emotionally disconnected from your money, but it’s critical, not just so that you can develop your own automated trading strategy but so you can live your life in peace.

If you’re ready to develop a fully personalized automated trading strategy that will put your portfolio on the fast track to boring profits month after month, year after year, I’d like to invite you to join my Elite Mentoring Program here.
Have a profitable day!


Laurens Bensdorp
Founder Trading Mastery School
TradingMasterySchool.com

Location: Plaza de la Solidaridad, 12, 29006 Málaga, Spain

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