Over-Analysis Paralysis

Anytime you make a big, important decision in life, you want to spend some time thinking and praying about it.  However, at some point you do have to act or you're going to miss that opportunity.

As a trader, you have to understand that action becomes very important. Many times, there are going to be terrific opportunities that present themselves. You  have to make the choice to act on the knowledge and training you have received.

You may begin to overthink everything at a time that you should simplify the process. Do not over-analyze. Keep these basic tips in mind:

  • Start with market tone. Make sure you understand what the market is doing.

  • Look for individual stocks that have patterns that line up with the overall movement of the market.

  • Once you find a stock that's at a good buy point and  lines up with the market tone, you have the three legs that you need for the trading table. So go in to your broker, push those buttons and get into that trade.

One of the worst things a trader can do is become paralyzed by over-analysis. Use what you have learned.  If you do not put to use the skill sets you have learned with TRADEway, you stunt your potential for growth.