10 Highly Effective Habits of Successful Traders

10 Highly Effective Habits of Successful Traders

Do you have what it’s needed, and you don’t even realize it?

Habit is something that you have to constantly be doing and constantly working at it.

Well the internet may say that 10 highly effective habits that every successful trader has are:

  1. Successful Traders are Passionate
  2. Strong Determination to Succeed
  3. Successful Traders are Humble
  4. They have Positive but Realistic Expectations
  5. They Focus on Risk Management ahead of Making Profits
  6. They Enjoy Learning Curve
  7. Successful Traders Keep Good Records
  8. Good Traders Learn from Mistakes
  9. The Best Traders Focus on Flawless Execution
  10.   Most Successful Traders Persist!

I must say that I do not agree with this, because of course, successful traders are passionate, all of us are passionate. But being passionate is not a habit. You don’t wake up in the morning at 7:00 am. and suddenly you have your habit of being passionate. And of course, we are determined to succeed, but Success or Succeeding is not a habit. You need very specific processes out in a place that will help you develop habits. There is no habit of being humble, habit it’s something we do to create and to ultimately become passionate and successful and humble.

Here are REAL 10 highly effective habits that every successful trader has:

1.Obsessive Morning Routine(6:30 am)

The most successful traders have this obsessive morning routine. By obsessive I mean they are at their pinpoint the exact same time Monday to Friday. This is a habit that most successful traders in the world have. And they have been doing this job for 10-15 years and still come in at 6:30 am. And there is a reason for that. This has become so important to their success that they could almost not be successful by being in at any point after 6:30 am.

1 - 6 30

2. Trade The Opportunity, Not The Clock

 For successful traders, there is no clock when it comes to trading, only opportunities. If the markets are moving around inside the Bank of Japan, there is no clock. We don’t care what the clock says. We are there for the opportunity. Form a habit early in your career when the market exhibit opportunity, don’t look at the clock. Don’t work to the clock, work to the opportunity.

2 - Opportunity

3. Healthy Diet, Healthy Lifestyle, Healthy Mind

 If you ever come onto some trading floor and you look what the guys are eating for breakfast and lunch, I can guarantee it’s not high sugar diets, it’s not processed diets. Most of the time, they are eating incredible things, like salmon and spinach for breakfast, and then all sorts of crazy nutritious healthy food for lunch. And why? Because at the end of the day If you’ve got to sit there for 10 to 12 hours and focus and perform at the peak, you have to have a healthy diet and a healthy lifestyle. And you need to make sure that you got a maximum amount of sleep and that you are mentally always focused and strong.

3 -Breakfast

4. Regular Exercise

Regular exercise on any given day! Most of the traders will be forming some form of exercise, whether that’s cycling to and from work, or maybe even doing yoga on Wednesdays as a team in your company. There a lot of options, jujitsu, kickboxing, etc. And most of the time they are doing that together, pushing each other, because they know that regular exercise is a habit that they have to have, otherwise their performance will sink.

4 - Yoga in a company

5. Top Of The Hour Trading

 Again this is something that you will need to learn very early in your career. Any trader that has made some degree of success as a day trader in the industry will tell you that they are always at their desk at the top of the hour as best as possible. And it’s because a lot of the time news releases and commentary from central bankers always tends to come at the top of the hour. There was known that back in 2011-2012 was a period when particularly the Bank of China releasing interest rate hike at the top of the hour. That is why traders will go to lunch, not one minute before 12, but one minute past 12. Because, in the long, run this habit made them their money.

5 - Trader at the desk

6. Winning Trade Routine And Losing Trade Routine

 This is a fantastic habit. For example, a trader that takes a loss, will get up, raise his chin and walk away. Take three-four minutes away and then comes back and starts again. That is a fantastic trade routine that one trader can develop for himself, of course, if that works for him. And equally, some of the most successful traders when they performed to perfection, they reward themselves, they stand up and walk away.  They have done the job well and now they will need to take two-three minutes, reset and then start again.


7. Risk Warm-Up

 I bet most of you have never thought about the concept of risk warm up. As traders, you have to warm up. Just like professional athletes, traders have to stretch. Why? Because the first thing in the morning, your conceptualization of risk is very different from late on the day. Why? Because over the period of the day, you are taking a lot of trades, which means that you are getting warmed up. It takes you time to get into the flow, into the momentum, into understanding where the risk is. So most professional traders have a habit, first thing in the morning, they reduce their clip. They risk less early in the day until they warm and then they move their risk up.

7 - Risks

8. Structured Exact Morning Briefing and Afternoon Debrief

 You come into office any morning, and ask a trader, can I see your morning sheet. And guess what? They are filling in the exact same morning sheet that they’ve done probably for a couple of years. And again there is no super-secret to why they do it. That structured morning briefing allows them to be in a very specific mindset before the markets open. That is a technique called priming, you’ve got to prime your mind to be in the right mental state before the market opens. So every morning you prime your brain to be ready for and it’s the same thing in the afternoon. Afternoon debriefs can be incredible, some of them have a set of every note that dates back for six years, and If you see the concise manner in which it’s completed it is incredible. Because they are paying so much attention to details,  they are successful.

8 - Morning Briefing

9. Fundamentally Sensitive Markets

They have tied up a little bit with trading the opportunity, not the clock. Some traders, when the markets become more fundamentally sensitive, they are a little bit more sensitive to little comments. Not necessarily fundamentally moving news, but little comments. They will sit there for as long as humanly possible. If that means they leave at 11 o’clock at night and come at 6 o’clock in the morning, they will do it. They adjust themselves to the sensitivity of the markets. They don’t move, they just sit there and trade fundamentally sensitive markets.


10. Keep Execution Simple

 Every successful trader keeps the execution simple. They’re not looking to average, they’re not looking to do all sorts of crazy and wonderful exotic kind of ideas. They do the most simplistic trade strategies.

10 - Keep it simple

These are ten highly effective habits, and If you can implement them into your trading you will start to see the results! Why? Because they are tried and tested.  Of course, If you have all ten of this you will not suddenly start making money. It doesn’t work like that. But what it is going to happen is that If you come in every morning, and you’ve got the exact same trades to complete, and you complete your debrief every single day, you are going to see consistency and that is a key to building a habit. You build that consistency through proper habit development and that is the key! If some of these habits don’t work for you, just leave them out, but If some of them do, implement them and form a habit.