Why Forex traders should value their time

Every trader summarizes his trading activity at the end of the year. But there is one factor they don't consider and often forget about: how valuable our time is. It may seem obvious, but you can't "save" time, it just passes you by. It is believed that when we are born into the world, we are filled with time that awaits us throughout our lives, but no one can define this wealth or know how long a person's life will last.

However, this wealth is undeniable because time can be used for anything as far as our free will allows. Remember, when we make a decision, we choose a new path and leave others behind, so it is our choice that points the way. In short, we spend more time on those things that motivate us the most, which can be efficiency, saving money, work, responsibility, etc. Interestingly, in many cases we use our time as a medium of exchange.

Traders exchange time all the time

For traders, this concept is particularly applicable. A trader trades some of their time for the opportunity to utilize more of it. What does this mean? Depending on your desires and goals, you invest your money in the financial markets to get more money and more time. Let's explain in more detail what this means.

Time and money are by far the two most important resources we can invest and utilize. But money is a system of payment, exchange and circulation, and it is a truly valuable investment because it allows us to make a profit. On the other hand, when we invest our time, it is not easy to determine what we will get in return, and only in some cases do we get a return in the form of money. For example, we exchange our time for payment for our labor; in other cases, the exchange is less tangible, such as when we want to expand our knowledge through learning.

Paradoxically, the fundamental difference between these resources is that they can be managed, lost, spent, saved, and are not infinite, but only money can be earned. If you lose money, you can get it back through time, but if you lose time, you can't get it back even if you buy money. Subconsciously, money is more valuable than time, but other than age, older people value time more because they realize how scarce it is. Time can be used as you see fit, it is the fairest resource. It is intuitive that everyone has time. The question is how to use it.

Use of time and money

The same amount of money and time in different hands, even if from the same source, can be used for different purposes. It is easy to answer that time is the primary resource we should strive for, but we must also recognize that money is crucial to our future: new experiences or special desires require a large investment of money, and enjoying them requires an investment of time. Time precedes the creation of money and is commonly associated with productivity. Benjamin Franklin once said: "Time is money." He explained that time spent working for money is time well spent, while time spent doing something else is time wasted. This logic is only true in some cases and makes no sense in others, because time spent usefully not only brings money, but also creates many benefits beyond money.

Time and money are spent even if nothing is accomplished. Time spent is time wasted. If you do nothing with your money, such as letting it lie idle, it will eventually lose its original value due to inflation. This is one of the basic theories of finance: the price of money stays the same, but its value fluctuates over time.

Investing is a timing choice

In the world of investing, you have to spend a lot of time to get results. Ironically, there is a disproportionate return between when you have money you have to invest time to make money and when you have money you have more control over your time. More money does not equal more time. Time has nothing to do with the amount of money - people with a lot of money invest a lot of time and need a lot of time to manage that money.

Of course, everyone is happy in their own way, but those with less money and more time to devote to themselves and their family are likely to be happier. A study conducted by the Journal of Social Psychology and Personality Science found that 64 percent of participants chose money over free time, but when asked about happiness, the results were different. In fact, the study showed that the amount of money saved had nothing to do with happiness. In this sense, the rich are indeed less happy than the poor. According to the experts, the threshold for happiness is 60,000 euros a year. 60,000 euros a year? How can this be achieved? There are several important factors to consider here.

Time

Traders invest time because the more money they have, the better they can use it. This is true, but how do traders use their time to their advantage? Traders need to be able to manage the time they invest in their work. If learning how to trade requires a lot of time and effort, then you shouldn't spend 10 hours doing nothing. Some will say that it all depends on how much money you can make - this is true, but only partially true. Some say that business is about freedom, but this statement has its limits. If you spend money on useless luxuries for the sake of freedom, or sit in front of your computer for hours only to regret it in the end, and burn your relationship with the outside world, you will never be happy, and this we all know. Things change when you spend your time doing quality things like socializing with loved ones or having experiences that enrich you as a person.

Trading is a process of growth

Trading can be seen as a big ladder where you grow step by step as a person as a trader. Trading is a constant exchange of time and money, so it has to be quality, but the most important thing is how we see ourselves and how we live the life we want to live. We realize that life is unique and we never know the exact time when we will be gone, so we must take responsibility for ourselves along the way. We must guard against negative thoughts, lack of purpose, and being overwhelmed during difficult times in our careers.

Time is our most valuable asset. Unfortunately, we rarely consciously value it. Time is shrinking and inevitably moving toward zero balance. The past fades into the future and there is no getting it back. This is why we need to manage our time. If you want to achieve something, the first thing you need to do is to realize it. Not doing so is pathetic, illogical and doomed.