The recipe for succeeding in any given field is hardly a mystery: good ideas, hard work, discipline, imagination, perseverance and maybe a little luck. Oh, and let’s not forget failure, which Dashun Wang and his colleagues at Northwestern University call “the essential prerequisite for success” in a new paper that, among other things, is based on an analysis of 776,721 grant applications submitted to the National Institutes of Health from 1985 to 2015.
More here – Scientific American
Failure is an essential prerequisite for success with trading. Every trading error has been experienced at some time by other traders. My first major trading error was putting all of my trading capital on a small cap ASX IT stock called MBX. I payed for that error dearly, but nevertheless I kept going by promising never to repeat this same error again. Buying stocks below a declining 150-day moving average was another trading error I made, payed the price, but eventually learnt my lesson never to do it again. Eventually when a trader survives long enough in the market, you run out of trading errors. The trading errors are documented in a trading diary, solutions are formed, and eventually these solutions are added to an evolving trading plan. This is how a trader eventually fails his or her way to success.