5 Rules for Entrepreneurs Who Want to Get Rich Trading Stocks
Trading stocks can be a lucrative alternative to building a company or pursuing a professional career.
Opinions expressed by Entrepreneur contributors are their own.
The rules of the world we live in are changing fast and the ways that wealth is created are changing faster than ever. What worked yesterday is no longer going to work tomorrow. This is a new era of wealth and the good news is, the playing field has never been more level than it is right now and anybody can get into the game. It requires breaking down some mental barriers and changing some longstanding beliefs about how the world works. But I've seen first hand that anybody can become a millionaire if they put in the necessary sacrifice, hard work and persistence.
Here are some of the new rules I've learned first hand about making your first million.
Don't settle for a profession or corporate career.
This is one of the biggest pieces of advice that I have for anyone who wants to be a millionaire. There are so many people who think that being a doctor or a lawyer or corporate executive is the key to becoming a millionaire. This is false. Many times these "traditional" fields have limits to how much you can earn from your salary. If you really want to have unlimited income potential then you need to consider some non-traditional options.
Be grateful for small profits.
I was able to turn a small amount of money into millions of dollars by taking a few thousand dollars in profits at a time on each stock trade. This approach, instead of focusing on big approaches, was my key to earning a great deal in profits.
Stock trading is equal opportunity.
No matter who you are, what age you are or what type of educational background you have, you can make a living trading. You just need to be take the time, do your homework and put in the work. Don't worry you are too young or old to make this type of money. Mental obstacles such as those only get in your way to success.
Test various strategies.
There is no one "set way" to become a millionaire through trading. You need to test different strategies and hypothesis, then stick with your strategy long enough to see if it works. When a strategy works, you need to be willing to bet bigger. When a strategy doesn't work, you need to be willing to abandon that strategy.
Utilize new technologies.
In today's world of online trading, technology is king. When I started trading, the internet wasn't as commonly used as it is now. Back in 1999-2001, the Internet was new, especially for financial research. I utilized the power of the internet to my advantage then. There are even more technologies, tools, apps and programs to help you gain insight and make trading even easier.
Adapting to the market environment.
I started trading during the most volatile few years of the stock market. I was a little naïve but mostly in the right place at the right time. I basically made my first million dollars riding the stock market up. The key is adapting to the market environment.