Almost every retail Forex trader end up in Forex industry because of his/her desire to make money, have an opportunity to make more and hopefully be that person who would call himself Financially independent.
Unfortunately, the Forex dream is not for everyone! Some people are simply not made to be a Forex trader, partially due to their personal disposition, their attitude, their personal resources, and their scope of knowledge. However, some people are just discouraged by external resources that they should be quitting trading and get back to their day-jobs.
There will be many people against you but, you know yourself if you are fit to trade Forex or not. You must know if you have that seed to make it into an opportunity tree. There is a famous Mexican proverb saying "They tried to bury us, they did not know we were seeds!"
Here are some reasons how you should get back to Forex trading and trade like a pro:
1. Discipline yourself!
Are you a type of a person often breaking his commitments and reneging on promises?
If you won't be able to develop trading style fitting your personality, you will end up entering trading positions on impulse and emotions which is very likely to have disastrous consequences on your Forex account.
Quit trading now if you just keep giving yourself excuses!
2. Don't trade with emotions!
When I met with Yagub Rahimov in Groningen, the Netherlands during our studies for the first time, he told "Forex is not a game, it is a business where you must have rules. Once you end up Hoping, Wishing or Praying it is time for you to leave the market for that day."
Each entry in Forex or any other financial market requires a solid reasoning, and you are the only one who has the details of those reasons. So make the right calculation before entering a position because you will be the only person responsible for that position.
Educate yourself first with the aim of learning how to trade, practice and then focus on trading. AtoZ Forex offers unlimited educational seminars and training opportunities too.
If you have done the right type of calculation and you have a valid strategy, it is even advisable to simply switch off your screen, once you have set up your entry, SL and TP levels and go for a walk and log on later on to evaluate your decision!
Quit trading now if you trade with emotions!
3. Find your trading desire!
When you wake up in the morning, you must have that good feeling about the market. No, I am not talking about the feeling about making money, but the feeling to enjoy what you are doing.
You need to have a passion for what you do. It is not only good for your account's financial stability but also good for your morale, stress and emotion too.
Quit trading now if you trade just to get rich fast!
4. Know when to trade!
Some traders just don't have the necessary time to look at the market and some just spend too much time behind their screens ending up over-trading.
Similar to the first point it is imperative to trade with a primary KPIs but also understand when you can enter a position.
Quit trading now if you trade randomly just because you enjoy the adrenaline!
5. Follow a set-stone strategy!
What are the basic things that a Forex trader needs for success?
a. You need funds!
b. You need Internet and a device to trade!
c. You need a reliable Forex broker!
d. You need to have a reliable Forex strategy that fits your personality!
Often traders would have a working strategy fitting their personality but their desire to change and alter the strategy according to how they want to see the market would mess up their performance.
Thus it is important to limit the number of unnecessary indicators on your trading platform, start using a trading journal both for your entries and exits.
Unless you make your strategy to be a set-stone strategy, you will be failing in Forex market.
Quit trading now if you trade jump from one strategy to another!
6. Trade with a trusted broker!
Although this is something most of the new traders forget about, it is probably the most important part of Forex trading, often even more important than your strategy.
It is important to trade with a reliable broker that not only technically seems to fit your requirements but also would be paying your profits.
Often brokers would make their product seem so appealing with bonuses and give-away gadgets, traders but that paradise would only last until you place your withdrawal, then all the nice and cozy feeling would disappear.
Follow AtoZ Forex next week for the brand new AtoZ Forex broker directory with tested reliable brokers' listing.
Take a brake now if you don't feel that you can rely on your broker!
7. Know your objectives!
Be reasonable about your operations. There are too many scammers out there promoting Forex services in such a way that you should be doubling your money in a day or two.
Forex is not a get rich fast type of business, although often you would get amazing unusual opportunities too!
So, set yourself a realistic targets and consider a drawdown. The way I look at the market is with 1/2 Risk Reward Ratio. If I am ready to risk 5% of my account every month I would be expecting to make 10% return, which would be realistic. At the end it is more important for a novice trader to preserve his account than to make money.
Quit trading now if you trade Forex to be a millionaire within months!