Stock Market Wizard, U.S. Investing Champion Mark Minervini Shares Ideas and Wisdom Here FREE!
July 21, 2014
When I began trading in the early 1980s, I endured a six-year period when I didn’t make any money in stocks. In fact, I had a net loss. It wasn’t until 1989 that I began to achieve meaningful success. What kept me going? Unconditional persistence.
When you make an unshakable commitment to a way of life, you put yourself way ahead of most others in the race for success. Why? Because most people have a natural tendency to overestimate what they can achieve in the short run and underestimate what they can accomplish over the long haul. They think they’ve made a commitment, but when they run into difficulty, they lose steam or quit.
Most people get interested in trading but few make a real commitment. The difference between interest and commitment is the will not to give up. When you truly commit to something, you have no alternative but success. Getting interested will get you started, but commitment gets you to the finish line.
The first and best investment you can make is an investment in yourself, a commitment to do what it takes and to persist.
Persistence is more important than knowledge. You must persevere if you wish to succeed in anything. Knowledge and skill can be acquired through study and practice, but nothing great comes to those who quit.
When Opportunity Meets Preparedness
When people hear my success story, the two questions they ask most often are, how did you do it? And, did you just get lucky? The assumption is that I must have taken a lot of big risks or been lucky along the way.
So how did I do it?
For years I worked on perfecting my trading skills, plugging away 70 to 80 hours a week, often staying up to pore over stock charts and company financials until the sun came up the next day. Even though the results weren’t there yet, I persevered. I spent years separating the proverbial wheat from the chaff, perfecting my process by analyzing my successes and, more important, my failures. Then something wonderful happened. My preparation intersected with opportunity.
I had been honing my skills for years, and by 1990 I was fully equipped to take advantage of a new emerging bull market. With all the lessons I had learned from my trial-and-error days in the 1980s, the pitch was now coming across the plate, and I was staring at my chance to knock the ball out of the park. I was 100 percent prepared, like an Olympic athlete who has practiced and practiced and is now ready to perform with perfection.
Opportunities in the stock market can spring to life on short notice. To take advantage of them you must be prepared and ready to act. Right now, somewhere out in the world someone is tirelessly preparing for success. If you fail to prepare, that somebody probably will make big money while you only dream about what you could have been and should have done.
So prepare, prepare, prepare, because when opportunity knocks, which it definitely will, you want to be there to answer the door.
Excerpt from Trade Like A Stock Market Wizard by Mark Minervini (McGraw Hill Publishing –2012)
Attend this year's Master Trader Program with Mark Minervini and 3-time U.S. Investing Champion David Ryan