If you want to win at Forex trading, you can but you need to be aware that most traders lose money however, if you read and understand the tips enclosed, you will be on the road to currency trading success and a great second income.
Here are the tips which anyone can follow, to help you become a successful currency trader from home.
1. Use Forex Technical Analysis
If you use charts, you have a time efficient way of making money and best of all, its very simple to learn and means you don’t need to know the news or study economics, you just use visual high odds chart pattern set ups, to enter your trades. You are not interested in why prices are moving and opinions, you are focusing on trading the price action as it unfolds.
2. Keep Your Strategy Simple and Focused on Trading Price Action
Complex trading strategies may be clever but the problem is – if you make a strategy to clever, it will end up having to many elements to break. Keep your strategy to just chart patterns and a handful of confirming indicators and you will have a strategy that can win.
3. Learn to Love Your Losses
You have to because you are going to have a lot of them. Contrary to popular belief, the best traders don’t win more trades than they lose – they lose far more than they win but because they keep their losses small, they make a lot of money. Make sure you take losses quickly, most traders don’t, run them and hope they turn around but this leads to a wipe out. All the best strategies take losses quickly and keep them small and yours must do this too.
4. Don’t Focus on Perfection – Focus on Making Money
Today there is a huge industry telling you, that you can win 95% of the time and trade with drawdown of under 1% etc but these claims are laughable. If you want to win, understand that you won’t win all the time with your trades – You will miss some and you won’t get in at exact tops and bottoms but that doesn’t matter, you don’t need to be perfect to make money in Forex. Be humble and focus on following your strategy with discipline which leads me to the next point.
Getting the Mindset of a Pro Trader
You need the discipline to follow your plan, cut losses and run profits and keep your emotions out of your trading and getting the mindset of a pro trader involves accepting the points we made above in not running losses and not seeking perfection but focusing on following your plan.
Why You can Win
As you can see from the above points, Forex trading is simple to learn and the really important factor in determining if you will win is if you can trade with discipline. If you choose to have a disciplined mindset, there is nothing to stop you making huge long term gains.