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Why you have to take a risk to be a trader

by , 13 May 2015

You may have heard the expression: You have to speculate to accumulate.

This expression goes hand in hand with trading. Trading involves speculating by putting on trades to accumulate by making a profit.

But with this comes high levels of risk. Taking risks fills many people with dread.

So how can overcome your fear of taking a risk?

Read on to find out…


Risk results in fear


Many people just aren’t comfortable taking a risk. They would rather stick with what they know.

The thing about risk is it means there’s a chance something will go wrong. When it comes to trading, this means losing money.

But it you don’t ever take any risks, you’re also missing out on a chance to make things different and better.

If you take a closer look at some of the most successful people you know, you’ll see they have taken risks in the past. They had to do this to get ahead.
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The minute you try anything new, you’re taking a risk. A risk that things won’t work out as you wanted them to.

Think back over your life so far. There will be key moments when you took a risk and decided to do something new. Think how different your life would be now if you hadn’t taken that risk.


The risk side of trading


If you’re not prepared to take any risks, trading isn’t for you.

But if you’re sitting on the fence and not quite whether to try trading, remember the expression: You have to speculate to accumulate.

It could prove to be a turning point.

Yes you’re taking on risk and it might not work out. That’s the speculation side of things. But unless you give it a try you’ll never know.

You could uncover something that will change your life. If you want to give trading a go, you have to speculate to accumulate.

You can control the risks you take on when you trade. Only trade with money you’re willing to lose. In other words, you’re prepared to speculate with.

And if you don’t want to risk any of your money, use a demo trading account. This way you can see how everything works whilst playing with ‘virtual’ money.

Any new venture requires some risk. If you want to give trading a go, but fear risk, don’t let it stop you.

So there you have it, why you have to take a risk to be a trader.

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