It's also very important you understand what your resources are. These include your capital, and how much of that can you afford to lose? Why trade a system requiring a large capital base if all you have is $10,000.
Time is also a resource. How much can you allocate to trading, learning, back-testing, managing etc? Do you honestly think trading is just placing trades? The longer you are a trader, the less learning time will be required.
Skills, as mentioned before, these are resources too. Are you good at certain things but need help with others such as using a computer? Math is an obvious one, but there is also the writing of journals and logging your trades, keeping accounts and so on.
Strengths are resources. When you are strong at something such as being disciplined this will become one of your assets and one of your edges in trading. Know what you're strengths are.
Software and hardware are resources. Do you know how to use your trading platform? Is your internet speed and your computers processing power sufficient for your method of trading?
When you list your skills and resources, and everything you can think of that may contribute to and affect your trading business, you'll find choosing the right style and method of trading that is going to help you achieve your goals that much easier.
You won't spend good hard earned money on trading systems that can not possibly function with your list of resources. It is better you know yourself, your resources and what you can bring to the markets than trying to fit into something created by somebody else who has a completely different list of skills and resources.
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