Do You Have an Accountability Partner?
If you are brand new to the world of trading, I am guessing you do not even know what an accountability partner is. If you already have a background trading, you may be familiar with the idea. No matter what your background is, I am sure you know what accountability means. It means being answerable to somebody regarding your activities. Accountability is a great tool when you are trading. It is not necessarily a must, but for many traders it can make all the difference in the world.
An accountability partner is someone you can talk to about your trading. Indeed, its someone you have to talk to about your trading, on a regular, routine basis. Pretty much anyone can be an accountability partner. Your partner may be someone you know online or offline. It could be another trader who is at the same level you are, or a trader who has been successful for much longer than you. Maybe it is a mentor who has taught you about trading options. Or perhaps it is a friend who does not trade at all, but has a positive effect on you and tends to keep you honest. Your accountability partner could also be a family member such as a spouse, someone who you are accountable to for other reasons (personal and financial responsibility). He/she can also help you decide if you need to quit or take a break from trading.
Why have an accountability partner? Here are some benefits:
An accountability partner keeps you honest, first and foremost. Some people have a hard time being honest with themselves about their losses. It may be easier to be accountable to someone you have some emotional connection to who is outside of yourself. A family member who depends on you deserves your honesty, because you made a commitment. A friend or mentor is someone you would not want to disappoint. Another trader is someone you would not want to let down, since you probably rely on each other in part to succeed. Accountability partners can also be team members, if you trade with others. There is absolutely no way to succeed in trading if you are not able to be honest with yourself.
Your accountability partner can give you encouragement. There is no reason to isolate yourself when you are trading, though many traders do it by default. The trading community is very friendly, though, and friends and family members want you to do well. Choose to be accountable to someone who can help you stay committed when your confidence or discipline faulters.
Your accountability partner can help you spot mistakes and can provide you with ideas for improvement. Sometimes you need a little outside perspective to understand the mistakes you have been making. You might be wrestling with your system only to realize that trading emotionally is what you were doing wrong—but you might never see it without the objective perspective of a third party. Someone with trading experience is best in this regard, but even a friend or family member may notice when you are not at your best.
- Your accountability partner can stop you from trading. You may want to consider giving your accountability partner the power to actually stop you from trading. If you have difficulty controlling yourself or seeing what you are doing clearly, your partner should be able to tell you to stop until they believe you are fit to trade again. This is particularly recommended if you struggle with addictive behavior. It is also recommended if you have dependent family members.
Self-discipline and honestly are real problems for the majority of binary options traders, but both are vital for success. Having some sense of community and connectedness can be very empowering, and can not only help you stay on track, but can also provide you with encouragement when the going gets tough.
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