If I could pass a message back to myself 4 years ago it would be to not go live until I had thoroughly tested a simple system. When I think back it amazes me that I thought I would be able to make money without a properly thought out and tested system of somekind, whether completely mechanical or with some discretion involved. There are many tools available to new traders to enable them to learn how to trade such as trading simulators (my top recommendation) and demo accounts but how many actually have sat and traded a half thought out system on a simulator to get an idea of how it trades in real time?
That would be the one thing that I would pass on to new traders, get yourself some system ideas (search for trading strategies on a search engine and go through the simple ideas you can find there) and then test the daylights out of anything and everything. If you can't make money trading it on a simulator then you probably won't make money trading it on demo and therefore you probably won't make money trading it live. So why bother? If you haven't even bothered to do the above and you are trading by the seat of your pants you will most likely lose money anyway, and quickly!
To all experienced traders, what one thing would you pass on to a trader just starting out?
That would be the one thing that I would pass on to new traders, get yourself some system ideas (search for trading strategies on a search engine and go through the simple ideas you can find there) and then test the daylights out of anything and everything. If you can't make money trading it on a simulator then you probably won't make money trading it on demo and therefore you probably won't make money trading it live. So why bother? If you haven't even bothered to do the above and you are trading by the seat of your pants you will most likely lose money anyway, and quickly!
To all experienced traders, what one thing would you pass on to a trader just starting out?