If you want to compete in the “game of games” and play against the best traders in the world, then you need to get ready. Too many gamblers are entering the arena without any plan or strategy, completely unprepared, and that's why they lose.Trading a system will dramatically increase your chances to succeed in trading, because it eliminates five of the top six reasons why unprepared traders fail.

Here are the top six reasons why traders fail, and how a trading system eliminates them

Let's take a look at the reasons why traders lose money:

    1. Lack of a Trading Plan
    2. Lack of Discipline to Follow the Plan
    3. Failure to Control Emotions
    4. Failure to Accept and Limit Losses
    5. Lack of Commitment
    6. Over-Trading

By all means you have to avoid these mistakes if you want to win.Here's how a trading system eliminates 5 of the 6 top reasons why traders fail:

Solution #1: Having a trading plan

Having a trading system means having a pre-defined set of rules you have developed to guide your trading. Therefore you HAVE a trading
plan, eliminating the No.1 cause for failure.

Solution #2: Following the trading plan

 The easiest way to follow a trading plan is to automate it. Almost every trading system can be automated, and you could let the computer
trade for you. You won't have to worry about your discipline any longer, as the computer mechanically trades every setup for you.

Solution #3: Controlling emotions

Trading with a system removes emotions from trading. If you don't have a strategy and you try to make decisions when the market is
moving, you are liable to become emotionally attached to positions. You may experience panic and indecision when the market does not move
in your favor, as you do not have a prepared response. That's when most traders lose their money. If you follow a system you will know
what to do no matter what the market does.

Solution #4: Controlling your losses

You probably have heard the saying “Let your profits run”. Unfortunately most traders let their losses run. A trading system will
get you out of a position when the predefined stop is hit. Unless you override the system to “give the trade a little bit more room” it will
stop the loss and therefore limit your losses.

Solution #5: Commitment

You won't believe how many traders show a lack of commitment and therefore lose money. Lack of commitment means that they stop trading
after the first loss, and don't give their system a chance to make back the money they lost. Trading is not a one-way street, and losses
are part of our business. If you can't accept the fact that there will be losses, you shouldn't trade. Fortunately a trading system can help
you to overcome this problem; an automated trading system continues trading according to the rules, and therefore adds much more
consistency to your trading.

As you can see,

Five of the six top reasons why traders lose money in the markets are simply eliminated when you start trading with a system.

Without any guarantee, your chances of making money rise incredibly when starting with a profitable trading system.

By Markus Heitkoetter, http://www.rockwelltrading.com