A trader should deeply understand:
---
1. Risk Management:
The most important aspect for a professional trader. Making a profit in trading is essential, but it is even more important to know how to minimize losses. This involves stop-loss, position sizing, and portfolio balancing.
---
2. Trading Psychology:
Greed, fear, pride—understanding how these emotions affect trading decisions and how to control them is crucial.
---
3. Technical Analysis:
Understanding market trends using chart patterns, support-resistance, RSI, MACD, moving averages, etc.
---
4. Fundamental Analysis:
Evaluating the market based on a company, coin, or economic report. This is important for long-term trading or investment.
---