At this level, the trader is driven by emotion and "gut feelings." They often buy because a stock is rising or sell because of fear. They lack a defined system and often overlook risk management. 2. The Student Stage (Conscious Incompetence)
Using historical data to prove a strategy works before risking real money. trading basics evolution of a trader wiley tradingpdf
A slight evolution from buy-and-hold where traders use technical analysis to exit positions before significant trend reversals occur. At this level, the trader is driven by