“You’re
battling your fear, your greed, your hope. All those human emotions are your
challenge.”
Forex trading is as rewarding as it’s challenging. For those who’ve
mastered the art of trading, it’s an unlimited ATM machine. However, certain
conditions must be met before the ATM machine can be unlocked. According to one
writer, you don’t need to build your muscle at a gym or go for a fancy
university degree in order to face the challenge successfully.
What do you think successful people do in other areas of human endeavors?
They give all it takes to achieve their goals, and they don’t give up in the
face of failures, hopelessness, hurdles and disappointments. They believe in themselves and their dreams
even when others jeer at them and think they’re bound to fail.
They also take responsibilities for any breakthrough or flops along the
way – they don’t blame others for their flops. These kind of people just keep
on working towards their goals, irrespective of the hindrances along the way.
Can you see that these facts can be applied to trading?
Traders who want to achieve success must admit that they need to stop
their negative orders from being open, especially at a predetermined exit;
whether or not the market would ever reach their entry levels again. One who
honors their stops may sometimes look like a fool, but one needs to admit that
one doesn’t know the future and close negative orders when it’s clear that
things aren’t going in one’s favor.
It doesn’t matter if the market reverses and starts going in your direction
after you cut your loss. Those ‘wise’ speculators who often fail to honor their
stops may look smart sometimes, but it’s guaranteed that their career would be
short-lived.
Regardless the outcome of your last orders, whether positive or negative,
you must admit that you need to place new orders when your entry criteria are
met, without being 100% sure whether the outcome of the new orders would be
positive or negative. An order you’re skeptical about may win or lose, while
the one you’re confident about may win or lose. What matters most here is that
you open new orders flawlessly according to your plan, regardless of the
results. You must make new orders to make more money or attempt to recover some
recent loss, no matter what the outcome would be. In the long run, positive
expectancy will bring the odds to your favor.
Conclusion: What it takes
to be a successful trader is easier said than done. But doing it is what would
indicate what your eventual fate in the markets will be. This is the disparity between
success and failure. The principles that bring lasting trading success are easy
to preach but very difficult to follow, and that’s why a very small percentage
attain lasting success in the markets. The lasting success is within your reach
only if you could develop a mindset that accepts the realities of trading and
bring your trading approaches in harmony with them. Your key to success lies in
your ability to do what most other people find difficult to do. The 2nd
part in this series would reveal the exact trading approaches that can improve
your experience.
The quote at the beginning of this article is from Peter Brandt. Another
quote from him ends this article.
“Consistent performance isn’t necessarily based on the
dollars you make, but on the things you need to do to perform – repeating and
repeating what you think are your best practices. The goal is to be a
consistent performer and then let the money take care of itself.”
Source: www.tallinex.com
Eye-opening trading lessons: Lessons from Expert Traders