Qualities of an Investor

Before you delve into share trading, you have to ask yourself if you have the qualities of an investor. Making consistent profits from the stock market isn't about discovering some ultimate strategy that will guarantee money. Ultimately all your decisions will determine whether you will earn money or blow your account.

Am I Suited for Investing?

First you have to look at the requirements to become a successful investor and see if it matches your personality, your lifestyle and your goals in the long run. If you're a person who thrives on new experiences, meeting new people and generally prefer the outdoors then trading may not be suited for you. If you are a cautious person who doesn't like taking risks, then you may find it hard to thrive in the market. If you want to make a lot of money in a short period of time with minimal effort, then you won't survive in the stock market. You should also consider your financial status. If you don't have money that you can't lose, then its better to save up first.

The qualities needed are patience, tenacity, self reliance, flexibility, and open mindedness. You should be willing to do countless hours of research, admit mistakes, able to handle financial stress and ignore general panic. Trading takes a lot of analysis, number crunching and study. It's a mathematically driven task, so if you hate numbers and pouring your time into details, then trading is not for you.

If you're new into the game and relatively young, then its better to figure yourself out first and know what you really want. It will take a lifetime to earn a lot of money, and you can't turn back time once you realise that all you ever did was sit in front of the computer screen to trade a couple of hundred bucks. However if this is your thing, and earning money is what you really love to do and not just do it for the sake of paying bills, then there's no place that you will be more fulfilled.