Johannesburg, 17 Oct 2022
Trading goods and services has been an integral part of human society since its earliest inception. Even before the rise of civilisation, hunters, gatherers and farmers would exchange their goods, which would eventually lead to the creation of the first, primitive systems of trade. Since those days, humans have not stopped trading, and the practice, albeit vastly different than it once was, continues in today’s society.
Once upon a time, it was very difficult, even unthinkable, for an average, everyday person to engage with the stock market. The privilege was reserved only for certain employees in the largest financial companies, banks and brokerages. In the past couple of decades, however, this has changed drastically. Thanks to the numerous discount brokerages that have opened their doors, the public at large is now much more interested in, and much more capable of, engaging with the stock market. The same can be said for the various sites opening up that have brought online trading in South Africa.
However, the fact remains that trading is still a rather demanding task. While it isn’t as complex as some people make it out to be, there is still a degree of difficulty that comes with being a trader. This difficulty is largely one of personal character, which means that, with just a little effort, anyone can overcome it and become a trader with a little help. In this press release, we aim to give you that help by listing a few of the qualities that you will need to hone if you want to become a stock trader.
Perseverance
The first quality one needs to work on if they want to be successful in trade is perseverance. This isn’t anything new and it can apply to pretty much any walk of life. There is a saying that goes something like “20% of business is perseverance and the rest is luck”. Now, luck is not something you can work on, but perseverance certainly is. So, if you are looking to start trading and make some cash, make sure that you don’t quit at the first sight of trouble or difficulty. Certainly, trading isn’t a particularly easy task and it will require some work. However, if you can buckle down and get to business, the reward will certainly be worth the trouble.
Keeping calm
When asked, most old-school, experienced traders will say that the most important part of the job is to be able to remain calm in difficult situations. Keeping calm is certainly a valuable skill to have in any walk of life. After all, the consequences of succumbing to stress have been well documented. Losing your cool under pressure often results in failing relationships and underperformance in the workplace. And the same is true for traders. When a trader loses their cool, they make poor decisions, which of course leads to more stress, which in turn, leads to more bad decisions. At that point, the whole thing becomes a vicious cycle, nearly impossible to break out of. So remember, before making a trade, that it might all go south, and if it does, you will need to calm down, take a deep breath and come up with solutions or simply soldier on.
Savvy knowledge of the current zeitgeist
Any trader worth their salt will say that a good stock trader needs to have savvy knowledge of the popular zeitgeist and popular culture of their time. Why? It’s simple really. Companies make their money based on how well their goods, products and services are selling. Think back to the start of the century, when Amazon consisted of a small group of people with a very good idea (that being online shopping). Many didn’t believe in the product, however, the savvy investors knew full well that people want the convenience of shopping from the comfort of their home. The ones that backed Amazon at the time are certainly happy now, having made quite a hefty sum of cash off of their investment. This same idea can be applied to quite a few products and companies from the turn of the century. Facebook, Twitter, smartphone companies, etc, all serve as an example of shrewd investors who believed in a product because they had a deep understanding of the directions that our society was going.
People skills
Last but not least, any trader should have a certain degree of people skills. This is because at some point in your career, you might need to enter into certain partnerships, and people skills will help you assess whether your partner is worth their salt. And if they are, having the ability to have a pleasant conversation and a good time is much more likely to get your partner on your side. Over all, people skills are of utmost importance when it comes to maintaining a cordial relationship with your business partners.
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