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SLIDESHOW: Don Miller's Most Important Tips for Traders

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SLIDESHOW: Don Miller's Most Important Tips for Traders

In writing Chronicles of a Million Dollar Trader, Don Miller hoped to achieve one thing: he wanted to help traders avoid the mistakes that he had made.

This month, Miller told Benzinga all about the various blunders that he made as a trader.

Now he's outlined all of the important things that he has learned since he began investing.

"Make sure you keep trading in perspective," said Miller. "It's a business. It's a way to provide a service and to provide sustenance for you and your family. It's nothing else."

Miller also said that he personally learned that the financial industry needs "a lot more transparency."

"There [are] so many people that misunderstand the business of trading," he said. "They think it's this or that. The term 'day trading' was big in the '90s, but [actually] understanding what it is… It's a business and should be treated as such."

Louis Bedigian is the Senior Tech Analyst and Features Writer of Benzinga. You can reach him at 248-636-1322 or louis(at)benzingapro(dot)com. Follow him @LouisBedigianBZ

  • Education Comes First

    Education Comes First

    "I learned that people need to be educated," said Miller. "There's a tremendous lack of education in this business.

    "I had to learn a lot of that through trial and error. I spent easily $200,000 just understanding the fact that there was a way to get my transaction costs down.

    "Nobody told me any of this stuff! And it's still not readily available out there. So I felt it was important to let people know. Learn from my mistakes. You want to go at this seriously."

    Image Source: Wikimedia Commons
  • Beware of Fear and Greed

    Beware of Fear and Greed

    "The market is always going to be something that's reflective of emotions," said Miller. "Markets go up and down because of fear and greed.

    "There's a reason that prices climb. There's a whole supply/demand side of this. It just depends on the extent of how quickly they climb and fall and to what extent they climb and fall."

    Image Source: Wikimedia Commons
  • Learn from Poker Players

    Learn from Poker Players

    "At the poker table, your hand is important, but equally (if not more) important is what the other person has and what the other person is likely to do," said Miller.

    "If you understand what the other person is likely to do, you -- to mix metaphors back in the hockey world -- skate to where the puck is going to be, not where it is. I certainly learned that this is a business of human psychology."

    Image Source: Wikimedia Commons
  • Place Your Bets

    Place Your Bets

    "Another thing I learned -- hugely important -- especially in the years that I started doing very well, when everything is aligned properly, press your bets," said Miller.

    "That window of opportunity for whatever you may pursue in life may be open for a very short period of time. When that window opens, you jump through it with both feet.

    "You have protective mechanisms in place in case it doesn't work out, but that opportunity -- you go for it."

    Image Source: Wikimedia Commons
  • Increase Your Perspective

    Increase Your Perspective

    "Not only do you go for it, you increase your perspective, you increase your bet," said Miller.

    "If you play cards, you're gonna bet four Kings a whole lot different from how you're gonna bet a pair of 10s and a pair of Jacks. Recognize when you have the Kings and go for it.

    "From a bottom line perspective, that is the paramount secret. I call it an outlier. You create outliers so that you can accelerate your earnings exponentially."

    Image Source: Wikimedia Commons
  • Decide How to Build Your Wealth

    Decide How to Build Your Wealth

    "This is a business where you can decide how you wanna do it," said Miller. "You can spend 40 years making $50,000 a year.

    "You can spend 20 years making $100,000 a year. Or you can spend a year and a half making $2 million -- and they all add up to the same number.

    "And there's no right or wrong. It's how it fits in your life."

    Image Source: Wikimedia Commons
  • Top Financial Advisors

    Top Financial Advisors

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    See the full list.

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