Having troubles following the same trading strategy? We provide you with 3 essential tips on how to stick to one Forex Trading strategy.
AtoZForex - After conducting a lot of research, I believe that one of the ways to success in Forex trading is to stick with one advanced trading strategy. Most traders don’t follow such practice, while they keep on changing their strategies very often.
How to stick to one Forex Trading strategy
A few believe that the capability to stick to one Forex trading strategy is something that simply happens by itself. However, I believe it takes some time and effort to master one trading strategy. Today, we will discuss how to stay focused on one Forex trading strategy.
1. Fix the target in your mind
As obvious as it might sound, it is necessary to fix your mind about your target. Firstly, choose what you want to become- the Forex full-time trader or a part-time trader?
Furthermore, you need to write down your PRECISE goals and the reason WHY you want to achieve them. This will serve as a great source of the motivation for you. However, it is very important to be as precise as possible, when formulating your goals. For instance, if you just write that you want to make more money, this is not concrete.
But for example, if your goal is to manage your money so you can travel to Paris with your significant other, this might help you to stick to your trading strategy. This works because your mind is more motivated in order to get closer to the goal.
2. Ignore the unnecessary info
I believe that you need to limit the information that enters your mind. This implies that you don’t need to try and be best at everything – choose something that interests you. However, I am not calling for you to close yourself from the information completely. It is very important to choose 3 – 4 topics that you like and become great at them.
In order to master one trading strategy in Forex, you need to focus your attention on it. If you see some information on the internet about this, proceed and read it. In oppose to that, if you see some controversial topic, I suggest skipping it.
One more point here: usually, newcomers in Forex try and read about everything at once, while searching for something like “how to trade Forex successfully”. I believe that the key here is to be more specific, as it will bring you real results.
Furthermore, you will need to really be patient and spend a lot of time mastering your trading execution. I recommend making it a habit to learn something news every day about the topic you are trying to master.
3. Understand how your Forex trading strategy works
Very often, we tend to switch to a new strategy when things are not really going as we planned it. We notice that our trading strategy is not really bringing the results we were expecting. However, is it really things going bad or is this a usual drawdown for our strategy?
Most of the time, it is the second option. I suggest testing the current strategy at a different point in time. It might show you the very similar drawdown. Do you think you are able to stick to one Forex trading strategy? Share your thoughts with us in the comments section below. For more interesting educational articles, I advise you to visit our list of Forex "How to" articles.
About the contributor
The article about Forex trading was provided by Venkatesh Endugu. If you like the article, give credit to the author in the comments section below.