[00:00] I'm going to talk about something that irritates a lot of people in trading. And it's one of the things that feels almost impossible for traders to handle emotionally.
[00:12] And it's so simple. But when you think about it or when you're actually doing it, you want to feel like you're doing something. That one thing is patience. I've struggled with it for my entire life as an adult.
[00:28] I'm the most impatient person. I don't like waiting in lines at the store. I don't like waiting in lines at McDonald's. Waiting for a trade setup is one of the hardest things you can possibly do when it comes to day trading.
[00:44] Because let's say your job is manual labor. You're building a house. When you get to work, you start doing something. You're moving two-by-fours from A to Z. You're getting all your tools in order. you're nailing the two by fours to the frame, framing the house, measuring things, the whole
[01:01] time you're doing something. So you feel productive. When you are day trading, it doesn't feel productive. You're sitting there and waiting for a setup that might not even happen that day. So you feel like you wasted your day. Now I'm going to show you a trade that I'm in right now
[01:17] using the exact same strategy that I explained in yesterday's video. It's on the five minute chart and I find it extremely irritating because each five-minute candle feels like it takes an eternity to form.
[01:31] All right, so the two indicators or drawings I have up on this chart is a box around the overnight range, and I waiting for a breakout of this range Now in the meantime I saw a nice fat momentum swing down This had zero retracements nice momentum push and then it jolt back up So
[01:53] immediately, I grabbed my Fibonacci retracement tool and drew it from the top of the impulse move to the bottom of the impulse move, and then we got a wick above the Fibonacci retracement to the
[02:05] 0.618. Once we started getting a bearish candle here, I immediately entered. Now, my normal rule for this strategy is like this. You want to enter the trade within the Fibonacci gold zone, and you
[02:18] want your stop loss to be the top of the impulse move in a bearish move, and the take profit to be at the bottom of the impulse move. The reason being why I don't like to go for the Fibonacci extensions is because if price makes a double bottom and then shoots up, I could have still
[02:35] captured the move without getting stopped out. I entered this trade, I entered this trade 70 minutes ago. And I've been sitting here in my office monitoring this trade, doing other clerical
[02:48] work, checking emails and so on. And you can see the first 35 minutes of this move literally were sideways. So every single second that the clock was ticking, I'm sitting here being impatient,
[03:01] waiting for that quick get to my take profit, have a nice day. As you can see here, I'm in the trade and it's almost at the take profit level. But while I've been in this trade, like I normally, I know I struggle with this, so I always try to do something else while I'm in a trade. But while
[03:16] I been super engaged in this trade and watching every single candle I realized that this is one of the hardest things for traders to do is just sit there and wait for the move to play out without panicking without worrying about drawdown And it one of the most irritating things that you can do But what I want you to do is start doing something else Start to learn
[03:37] to enter a trade, set up your take profit and stop loss, and whatever the result may be, you don't have to stress about it. Go do something else. There's probably something in your apartment or your house that needs fixing. You probably need to take out the trash. You
[03:54] probably need to do some laundry. You probably need to walk the dog. If you have all of your house obligations taken care of and you have some free time and this trade is doing what it needs to do, go, I don't know, to the local pond and go fishing. Go ride your bike. Go for a walk.
[04:12] clear your head. Patience is a thing that you learn by waiting. You don't magically learn to be patient somehow through a book. Your brain earns the right to be called patient when you
[04:26] actually practice patience. Sitting there, waiting, doing nothing, without bitching about it, without complaining, without trying to manipulate the situation so that it happens faster. Patience
[04:40] is a virtue that is one of the hardest to get. And especially if you're somebody that has kids and you're a parent, being patient is one of the most important things that you can give to your
[04:52] children as well as your significant other. So if you're struggling with patience and you're sitting there waiting for something to happen, sit with that feeling. Learn that feeling. Become
[05:04] friends with that feeling Because once you get used to it and you done it enough times even if it feels irritating and you feel frustrated you know that eventually the wait will be over
[05:17] The trade will either work out or it won't. Once that happens, then move on to the next one. But for the time being, sit there, don't do anything, and become friends with the irritated part of you that does not like to be patient.
[05:31] Now, there are many other aspects of day trading that you need to learn. market structure, price action, support and resistance, how momentum indicators work. If you haven't gotten a full grasp yet on everything when it comes to day trading and
[05:45] you need more education, you need a step-by-step process, you want the curriculum to take you from where you are now to where you want to be, I highly suggest using a website called The Trading Floor. It's trbfloor.com. They have an entire system that will literally take you from zero
[06:03] knowledge to making your first profitable trade. It is a step-by-step process called the roadmap. And if I had something like that when I was starting out, I'd be in a way better position
[06:16] than I am now. Because the way that I learned caused me years of anguish and tens of thousands, if not $100,000 or more of losses. They also give you like daily trade ideas. So while you're still
[06:28] learning, you can actually be active in the market, taking some trades, and seeing how it feels to actively be in the market. Again, that's trdfloor.com, one of the best education platforms you can find.
[06:40] Thank you so much for watching. I really hope that you're able to practice patience and become more comfortable with it. If you know anybody that needs to hear this video, please send it to them. Again, thank you so much for watching, and we will see you in the next one.