What are the traits of a successful person? Researchers found that extroversion, conscientiousness, and emotional stability have the strongest effects on a person’s career development. But they didn’t measure one thing—laziness.
It can be hard to believe that laziness is one of the most important qualities of a successful trader because it’s always looked down on. This article will show you the hidden, productive side of laziness and explain why it makes trading better.
1. You’re not glued to the charts
“You need to trade with your eyes open, recognize real trends and turns, and not waste time or energy on regrets and wishful thinking”Trading for a Living, Alexander Elder
Successful traders don’t bother monitoring the charts all the time because being stuck in front of the monitor accomplishes nothing. They understand that there is no reason to know where the asset is moving unless there is a favorable trade setup. They analyze the market only when they need to.
They check their account in the morning, set up their orders/signals, and return to the computer when alerted. Of course, the routine may be slightly different, but the main point is the same—set your signals and give your trading edge a fair shot to play out.
This approach not only saves time but also frees your trading activity from unnecessary stress.
2. You don’t overtrade
Lazy traders know how to deal with emotions that cause overtrading, such as:
- The fear that makes people chase their losses
- The excitement that tempts traders to open positions without analysis
- The greed that creates the obsession over possessing capital
Perhaps you don’t have the time and passion to trade more. You’re content with the trades you have. When you close a position, you open another one, without entering more “just in case.”
3. You count on big winners
Many traders believe in The Pareto principle— the 80/20 rule. It says that 80% of your results come from 20% of your actions. That combines both a lazy and smart attitude to trading. If you look around, this rule works everywhere— 80% of sales come from 20% of customers, 80% of decisions in a meeting are made in 20% of the time, and 20% of drivers cause 80% of all traffic accidents.
So, there is a high chance that 20% of your trades will generate 80% of your returns. As a lazy successful trader, this arrangement works perfectly well for you.
4. You have confidence
Lazy people don’t live under constant pressure. They don’t have the energy to doubt themselves, they’d rather be doing something else. That is something that overachievers can take note of.
There is even research that confirms procrastinating away from work and spending unproductive time can be good for your mental health.
5. You have your priorities straight
“I choose a lazy person to do a hard job. Because a lazy person will find an easy way to do it.”Bill Gates
Because lazy people want to carefully manage how much energy they exert, they tend to avoid unnecessary tasks. They know that it’s better to trade well than to trade more. That is also why successful traders’ strategies focus on giving minimum input and receiving the outsized output.
Lastly, laziness gives you an opportunity to recharge your body and mind, thus avoiding burnout.
How to develop positive trading habits as a lazy trader
Lazy traders need rules, too. If you’re one of them, here are the most important points to develop the right trading mindset:
- Your trading setup should fit on one page. Make sure all your planned activities for the day fit on one page. A routine on multiple sheets of paper is no use for a lazy trader.
- Expect failed attempts. It’s hard to figure everything out on your first, second, or third try. Don’t be discouraged by false expectations and just carry on making small trades.
- Find your niche. Consider specializing and focusing on what works well for you. This way, there is little chance of your strategy mismatching your personality and trading style.
- Stick to your trading strategy. Instead of hopping from strategy to strategy, give one strategy the time to show what it’s capable of.
- Balance life outside of trading. No matter how early you want to get in on the action, it’s not a good idea to be sitting at 4 a.m. watching where the Yen will move.
Now that you know more about how to become a successful trader, it’s time to put your lazy yet productive attitude to good use!