Important Lessons Every Trader Must Learn from Lions

Lions are the animals that are adored and feared equally by humans. Lions are considered the world’s greatest predators because of their brute strength, cunning, and speed when they are up for hunting. Well, there is a time when these great cats are harmless and that time is their nap time. Do you know lions spend two-thirds of their day napping? Yes, it is true, at the time of hunting they are harmless until the hunting time comes.

Do not worry, we will not only discuss lions but some lessons that traders should learn from lions. In this guide, we will show you some lessons to become a better trader on the IQ Option platform.

So let’s get started.

Calculating and ruthlessly executes the hunt

What do lions do when they hunt? What is the main thing that they look to to choose their prey? Lions look for old, injured, or weak to hunt which increases the chances of a successful hunt.

When hunting, lions spread out and take their positions and slowly move in. After getting near to their target and isolating their main target.

In trading, there are many traders who simply open their accounts and get started with trading without any plan. they do not have any plan regarding what asset to trade with what conditions.

Jumping into trading without any plan and mindset makes it less possible to win trades.

But what if the hunt isn’t successful?

Lions group again and wait for the next and settle down again in their positions and repeat the process again.

What lions teach you is that even if you lose your trade, sit back again regroup and wait for the right time and right market to enter in and then enter a trading position.

Adapts to the current conditions

For lions, their life is not always as good. It is true that they have plenty of options for food and can hunt any animal to feed on but there are times when they do not have any choice and have to hunt that’s available which can be buffalo, zebra, or antelope.

A similar condition arrives in the financial markets. There will be times when the market will be in your favour with your trading style and preferences but there also will be times when market conditions will not support your trading styles and preferences. So, what to do in these conditions? You should be prepared with any market conditions, create strategies for every market condition that will make you money.

Each hunt is carefully planned before being executed

No lion hunt from an early age but are taught how to hunt. Lion cubs learn how to hunt and when they reach a certain age they are allowed to hunt their prey. Likewise in trading, you must go through this. Every trader is not perfect by birth, you must first study different strategies, indicators, and money management tactics and practice on the IQ Options practice account.

Every lion has a different approach to hunting its prey. They decide which member of the group will scatter and drive the target towards the ambush area. This process is important for a lion to follow to get a meal that allows them to survive.

There are times when a lion gets too soon or too late to get their prey and their prey gets time to escape. This is not because their plan was wrong but it is the execution that went wrong.

In the financial market as a trader, with a good plan, you should know the right time to make a profit.

Lions focus on easy targets

The main object of prey for lions is the animals who live in herds and prey on the animals who are injured, weak or young. This strategy of lions make their hunt easy and increase the odds of successful hunts. If lions found live prey scarce they then look for the kills made by other smaller animals.

So how does this apply to trading?

There are many traders who trade in all market conditions which leads them to a huge loss. The profitable route would be to trade in the market where you are comfortable and the market that is compatible with your trading style, and preferences. Then build the strategies to apply in these markets.

Always recharging their energy

Lions spend most of the day sleeping under the shade. It’s not that they’re lazy.

As mentioned above, lions spend most of their time sleeping under the shade. It is not that they are lazy but this allows them to conserve their energy to enable their readiness for the next hunt. During their sleep time, they do not think about the hunt that went wrong, they plan for the future hunt to be successful.

With this example, it is not that traders should have a good sleep after a part of the day but to know the time when to trade when not to. Choose your hours when the market will be in a favourable condition which could be a 2 to 5 hours window. And in this window make the best out of your trading.

In the extra time, you can connect with your friends and family to relax or you can do anything of your interest to anticipate your next trading session.

Lions never let go of prey

Once lions have pounced on their target, it has little chance of escape. All lions will jump on it, clawing, biting and suffocating it. They know letting the prey go simply means wasted energy. It also puts the pride’s survival on the line.

As a trader, this lesson teaches you to protect your profits. Remember, profits can only be counted when they’re safely deposited in your bank account. Avoid reinvesting your profits back into your next trades. One loss could mean that all effort exerted to make those profits is lost.

Start like a lion cub

Note that cubs do not hunt directly as they grow big, they first watch their adults how do they hunt and spend months to learn from it. Also, they learn hunting while playing with their siblings. These learning months of a lion’s life form a foundation on which the lion’s superior hunting skills are built.

As a trader, you must do the same. You should invest weeks or months of your life to learn how to trade. You can do this by reading blogs, books, or forums and then applying what you have learned on your IQ Options practice account.

Being a successful trader takes a lot of patience and if you have decided to take trading as your career then continuous learning is a must. Do not forget that lions are also get killed by large herds. Similarly, traders’ accounts are wiped out by the markets. But to survive, the lion must know which herd member to target and which strategy to use while hunting.

Good luck!