Earning a degree in Finance offers a lot of flexibility for college graduates. While other industries have limited room for growth or only select career choices for advancement, the finance industry has a wide range of job choices for just about everyone. From entry-level positions to upper management and even self employment options, new grads have the opportunity to really find their niche.
Because of the popularity of careers in this industry, it isn’t hard for future traders to find a finance degree program that speaks to their interests. For example, UCSF in the San Francisco Bay Area offers a degree in Financial Analysis, as well as certificate programs for students to choose from.
Unfortunately, upon graduation too many eager aspiring traders jump into the market and start making mistakes without being aware of it. If any of the following sounds familiar, chances are you’ve been guilty of these common trading mistakes as a newbie:
Letting Ego Affect Decision Making
Traders must know how to operate under pressure, multitask and possess a keen sense for decision making. Allowing emotions—good or bad—to play a factor in the equation is one of the worst mistakes new traders can make. However, this is much easier said than done for those new to the game.
Dealing with a loss oftentimes results in new traders hoping to get things back in good standing within a short amount of time. This typically means making the mistake of aggressively trading without clearly thinking things through.
Instead of being blinded by loss it’s important to take a step back and analyze the actions that led up to those end results in order to avoid a repeat performance.
Being a Know-It-All
Even those fresh out of college seem to think they have the answers and often make costly mistakes as a result. Traders of all experience levels know the importance of being humble and knowing when to seek additional education for their field.
There’s nothing wrong with seeking additional resources outside of school to better understand one’s craft. Sites like 2ndskiesforex.com are just one of many that can provide great insight and tips for traders of all levels, including newbies.
Setting Unrealistic Standards/Expectations
Stepping onto a trading floor for first timers could feel something like a scene out of a movie. However, it’s not Hollywood and the trades being done have huge rewards as well as consequences. First time traders need to get the stars out of their eyes and see the industry for what it is: big business.
There’s nothing wrong with setting goals but it is more effective to ensure those goals are well grounded in reality. Doing so lowers the chances of being disappointed or disillusioned when things don’t go your way. Even the most skilled of traders have bad days. Knowing how to strike a balance between the two and how to handle any situation properly can make all the difference in how long a new trader’s career can last.