1. Being unconsciously incompetent. That’s when you don’t know anything about the markets. Unfortunately most people get in the markets, on the last wave of a bull market. The only thing required is to be in the markets. Everything is going up.
2.Consciously incompetent. That’s when you’ve realised that making money in the markets has nothing to do with buying low and sell it higher. So you start learning technical analysis. But you still loose money.
3. Consciously competent. If you haven’t given up by now. You have started to gain experience. You can read the markets and feel the pulse. You’re discovering that there are more advanced things that you can use;Indicators. But unfortunately you still lose money.
4. Unconsciously competent. That’s the zone guys. That’s where you’ve managed to put all the pieces together. You’ve been through it all. You’ve learned to master yourself, and you’ve done such a great job, that you’re trading without forcing yourself to do it. You’re relaxed, and all the pieces, are there. Think of the way you guys drive your cars. You don’t think of it, you just do it!