There are things we know that we know.
There are things we know that we don’t know; and, worst of all.
There are things that we don’t know we don’t know.
Now, you might find these three statements ridiculously obvious.
But there’s a reason why they’ve been enthusiastically deployed by experts in the fields of relationship and project management.
And their importance for traders is they’re also absolutely crucial to anyone whose survival depends on accurate risk assessment.
If you’re new to the markets, the things you know you know, that’s to say your technical knowledge and practical experience of trades placed – will be limited.
The good news is, both your knowledge and practical experience can increase rapidly with focus, hard work, and daily practice.
If you want to see proof that stock trading is now a truly global opportunity, look no further than Saudi Arabian physician Nabil Demian. Searching for a way to build both his income and capital, Nabil recently conducted extensive research before finally deciding to sign up for Jeff Bishop’s Bullseye Trades service.
Medina, Saudi Arabia
Traders are also vulnerable to the unknown unknowns of trading.
These are the so-called “Black Swan” events, such as COVID-19, war, or a major terrorist incident, which can precipitate a sudden crash in all instruments’ value.
No amount of skill or experience will help you predict these episodes.
All you can do is make sure you never enter a trade without observing strict risk management protocols. And you are never putting at risk any more than a small percentage of your account on any one trade.
But does a lack of technical knowledge and the risks always inherent in the markets mean they’re too dangerous a place for the newbie trader?
After all, how are you to develop the skills and experience you need without placing live trades?
Paper trading has its place, of course.
It’s an indispensable educational tool for traders of all levels. The problem is that it’s not possible to replicate the psychological stress of trading without risking real money.
So, with sensible precautions and the right mentorship, new traders should be encouraged to get started just as soon as they feel ready.
And armed with a keen awareness of the many things they don’t know and need to learn, it’s then possible for them to trade safely and profitably right from the get-go.
Take the example of Saudi Arabian physician, Nabil Demian.
Like so many people, Nabil became interested in trading as a way to increase both his income and capital in pursuit of financial independence.
But unlike many, he was under no illusions about how much he had to learn, and Nabil was prepared to conduct detailed research to find the right mentorship he knew he needed.
“My main challenge is that I was not a trader. This was the first time I ever made an options trade.”
“I did extensive research on you and your reviews on Google,” Nabil told Jeff Bishop of Bullseye Trades. “They were all positive reviews. Every one of them confirmed that you are a true master in options trading and a respectable mentor in the field.
“Also, I believed what you were saying on your website after I thoroughly checked everything,” he adds.
This kind of due diligence is, unfortunately, all too rare among new traders. But it’s truly essential. Not all mentors are of the same quality or integrity. And even the good ones may be teaching a style of trading that’s not a good fit for your personality or financial goals.
But Nabil immediately felt at home when he started working with Jeff, and his confidence was to be very quickly justified.
Ask him about the greatest difficulty he thinks he was facing, and he will say with great honesty: “My major challenge is that I was not a trader. I consider myself a beginner when it comes to options trading.”
“I did extensive research on you and your reviews on Google. They were all positive reviews. Every one of them confirmed that you are a true master in options trading and a respectable mentor in the field.”
Now, it’s true that options have a reputation for being technically challenging, and some trading educators even warn beginners to stay away from them altogether. This, of course, confirms the importance of finding the right mentor.
Fortunately, Nabil was not easily deterred. So, with the thoroughness developed by his profession, he set about learning how to place his first trade.
“I set up the trade with great difficulty,” he recalls, “copying your trade, I bought 5 contracts at $3.90, after 5 hours near the closing of the market. The trade was a winner, but I sold it at $5.25. This made me a $778 profit in about 6 hours!”
Perhaps Nabil could and should have let it run further, but a 34.6% profit in such a short period is nothing to be ashamed of.
“I set up the trade with great difficulty. Copying your trade, I bought 5 contracts at $3.90, after 5 hours near the closing of the market. The trade was a winner, but I sold it at $5.25. This made me a $778 profit in about 6 hours!”
Not surprisingly, this winning experience has fueled Nabil’s desire to learn more.
He also has a keen awareness of compounding the power to turn a series of wins like this, or even significantly smaller ones, into a tremendous and rapid expansion of his trading account.
For all that, his feet remain firmly on the ground.
“Nothing has changed much yet,” he says, “‘except my appetite to grow my account balance and to increase the stake of the next trade. Hopefully, I can do the same over and over with Jeff Bishop’s guidance.”
With that attitude, there’s no doubt that Nabil can and will achieve his goals.
Raging Bull does NOT track or verify subscribers’ individual trading results and these individual experiences should NOT be understood as typical as or representative. Please see our Testimonials Disclaimer here: https://ragingbull.com/disclaimer.