Today we are going to be talking about the major differences that set apart those who are winners from those who are losers when it comes to trading within the stock market. While everyone will be a winner or a loser at different time periods when trading, it's these attributes and habits that make you a winner in the long run. As zip traders, we understand that we and we alone are responsible for our own success and thus everything that's going to be on this list are things that you can control and implement right after watching this video. That means that after watching this video, you could start doing things that will greatly improve your odds of success.

For example, losers tend to preach the 95% of day traders fail and thus it must not be worth it for you to try because of those odds. But what they don't realize is that 40% of traders quit within the first month the first month, and after three years, only 13% of traders remain. So knowing this is important because if you want to be a winner, you can drastically improve your odds of that by simply not quitting. What a shocker, right? And another thing that winners always do is they always hit that beautiful like button and subscribe for more short, sweet and simplified videos on how to trade the stock market.

Ok, so you already know the main difference between those who succeed at trading and those who fail. and it's that those who succeeded put in the prolonged and consistent effort to learn while those who didn't didn't But there are many other things that separate the best from the rest. Number 1: When trading, winners wait for confirmation while losers get in. When it feels right now.

this is something that I go over often. but winners know that the stock market does not care about their feelings. Thus, even when employing the best strategies and finding the best setups, they still need to see a confirmation. If their hypothesis is indeed correct, they still need that confirmation that the stock is going to go where they think it's going to go.

That means that for example, just because something has hit support that does not mean you're going to take a position. Rather, you're going to wait to see some sort of confirmation that it is indeed about to experience an uptrend before taking that position. On this channel, we often talk about the first candlestick above the SMA line as confirmation, but there are many other types of confirmations based on your risk tolerance. But the key is finding something that confirms that you're getting in.

When it makes sense, you want to get in when it makes sense and the time is always at the confirmation, so always wait for confirmation. Number two: Losers tend to focus on upward potential Winners tend to focus on both upward and downward potential. Now, it's common knowledge that you want to take positions that have a lot of upward versus downward potential Winners want to take positions that have a much larger amount of upward potential relative to downward potential. But losers only.

look at the upward potential. They analyze a stock and think to themselves, oh my God. I could finally move out of Papa's closet. And the problem here is that even with the best setups, the price action can still go the wrong way.

So it's important to manage your risk by having more upward potential in comparison to downward potential. Okay, number three. So Number Three's winners buy undervalued stocks, while losers buy overvalued stocks. Winners know that it's very important regardless of the position to get in when a stock is below fair value on the RSI.

Even better if it's oversold since there is so much they can go wrong in a trade. Winners know that they need this margin of error to greater increase their success rate and minimize their risk. Losers, on the other hand, easily find out about stocks after they become winning positions. That means that these losers Buy in when the stock is seriously overbought and they don't care because they think oh well, if everyone's doing it, then it must be a good idea.

Dandy. And while this may work, sometimes, it's not sustainable over the long run. And that leads us to number four. So number four is that winners focus on slaughtering sheep while losers focus on being cheap.

One of the most common patterns in the market is known as the Sheep slaughter pattern, and this is also known as overhyping or a bubble. This is when a stock starts trending up rapidly. Everyone, everybody starts learning about it, and more and more people buy in, causing the price to rise even faster. Then the bubble pops, that all the late comers lose their money.

Now, Winners buy in before the Sheep. That means that they buy in after the original warning signs of a reversal. And more importantly, after seeing that confirmation, they know that overhyping happens every day, unless they use that to their advantage when trading. This leads me to number 5.

So number 5 Winners buy after losers, sell and sell after Losers buy. Now, the key here is after Winners focus on buying stocks after everyone else has sold off because they know that this is the prime opportunity to get in at a discount. They then sell off after all the losers bought in and then propped up the share price. They also wait for the confirmation and use upward versus downward potential to justify their position.

And with this in mind, you can see how all of the attributes of winners are pretty interlinked. Now, the next one is more related to the mindset of winners as compared to losers. While winners trade to learn, losers trade to earn. Obviously, we as traders all want to make money.

That's a given, but the difference between winners and losers is what we will do in order to get that money. A winner is entering the stock market without the expectation of making money anytime soon, but rather with the expectation of learning learning. Winners enter every trade, rather it be simulated or real with the expectation that they are going to learn something. Winners realize that trading isn't easy and the only way that they can expect to come out on top is by taking the time to learn and practice the strategies first.

Once they learn, they know they'll earn And with this in mind, the learning never stops. A loser. On the other hand, well, the loser expects to start trading from day one and make money. Then when they don't, they start complaining and sometimes even pointing fingers at other people.

Oh, I Can't make money because the stock market is rigged Oh Trading is a scam. No, we are responsible for our own success. A great analogy of this would be learning a new language such as German and then getting pissed off when you can't speak fluently after the first day. That's incredibly stupid.

This is your mindset. You deserve to fail at whatever you're doing. And as the Germans say, stop pumping yourself. Just kidding.

thump actually means 5. This is a family channel. number 7. Winners handle losing positions differently than losers.

Do losers tend to see a losing position and then hold and hope for it to come back? But winners tend to sell losing positions and free up the capital to take on more positions. They understand that there's an opportunity cost to keeping money in a position, and the more it goes down, the less capital you have by simply not holding on to losing positions. You can substantially improve your odds of making money in the long run. I Know Shocking.

Now this makes sense that winners wouldn't want to do this because they know that making a lot of money on one trade is absolutely useless if they just go and lose all that money on a failing position in the future. They also know that money tied up in one position means that they are going to be losing out on other opportunities for positions that they could have taken. And that leads me to Number Eight. Number Eight.

Winners tend to acknowledge that losses are a cost of doing business as a trader. while losers tend to assume that if they have any loss, they must not be cut out to be a trader. As traders, we know that we are going to lose money at some point. The key is to learn and do better in the future.

Number Nine Winners tend to hone and adjust their strategies. Losers tend to take everything at surface value and don't adjust anything. It's no secret that most strategies that traders utilize every single day are heavily influenced by the people who teach them within this niche. Even if you've been trading for a decade, you odds are strong that you learn from a book or somebody who had originally taught different pattern recognition.

But that does not mean that you should completely follow anything that any teacher mentor guru says. You should take what's valuable and make it your own. For example, the simple strategy of buying in at Support and sell it out at Resistance has been passed around since the beginning of price charting. But when I started using this strategy, there are many times that I was trading that the price would not quite make it back to that resistance level that people tell you to sell out at it would go to just under resistance and then crash down to support or halfway to support.

Which meant that now I have lost money. So I quickly realized that I could increase the amount of money I made overall by decreasing the amount of time and emphasis that I spent on waiting for it to hit resistance. So in order to accomplish this, I adjusted the strategy As a result. Unless I see price strength, I will almost always sell seventy-five percent of the way to resistance.

The key here is that you should adjust the strategies that you've learned and not take them just at face value. Okay, number 10. This is going to be no surprise for you. Number 10 is that winners always have a plan and losers don't.

If you don't plan to succeed by default, you're planning to fail now. I Know I'm probably beating a dead horse with this. but if you are taking a position in something, just having a plan can substantially improve your odds of success. Luckily, having a plan is quite simple.

Step one: Plan your entry point. What needs to happen in order for you to enter a position? Step two: Plan your exit point. What needs to happen for you to eggs in a position you need to have an A And B plan A is what you're going to do if the stock goes up. Plan B is what you're going to do if the stock goes down and that, ladies and gentlemen, is all you need to know in order to formulate a plan.

And last but not least, winners worked smart while losers work hard. I Found that losers within the stock market tend to rank the quality of their work based on how hard it was to accomplish, as well as how long it took. But winners rank the quality of their work by how much they got done and how efficient it was to complete. For example, if you know that you're a person that learns best by actually doing something, actually practicing it, then sitting and reading a 1500 page book on technical analysis is not only not the best use of your time, but it's just plain stupid.

You'll probably learn something from it, but it's not going to be as valuable as if you had spent that time actually practicing and simulated trades. And this this is a very common theme in our society. A lot of people think that hard work means valuable work, but that's not true. If I went out in the yard in front of my house and I started digging holes, that would be hard work, but it also would not be valuable.

Another example of working smart versus hard is the concept of how you practice. If you know that you don't have much time to practice trading or to pay per trade during market hours, you shouldn't just wait for the small amount of time that you do have to practice trade in during market hours. Instead, you should use a simulated platform that allows you to rewind to any period of time and trade off of whatever price action during during the time that you do have to practice. This allows you to trade at any point and I'm very aware that a lot of people watching this video have a day job or are in school or have other commitments.

That's not shocking to me whatsoever. What is shocking to me is that you don't practice even though there are resources out there that allow you to. Well that when it comes to working hard versus working smart, there's a lot of different examples that I can give. But the biggest piece of evidence for this and I think the most motivational is the fact that there is somebody that made 1,000 times as much as you made today.

Do you really think that that person worked 1,000 times harder than you? No, But odds are that person worked much smarter than you did, so keep that in the back of your mind when you're learning how to trade. Another thing that I found helpful when learning how to become a better trader is to set very short-term and attainable goals. Everybody wants to make a lot of money, but the first step to doing that is to set an attainable goal that you can hit soon. For example, setting a goal of making fifty dollars just fifty dollars every single day perhaps worker school is a lot more doable than quitting whatever you're doing to just start making $500 a day trading one is realistic in the near future, the other is just unrealistic.

The beauty is that once you hit that fifty dollar threshold, you can then set the next goal to a hundred dollars, then you can set it to 200, and then eventually you will hit that lofty goal that you had set yourself up at in the beginning. I Really do think that's the best way to handle your goals within the market.