Have you ever felt like the guy or girl who cannot seem to get anything right? Literally, nothing right! I most definitely have. I used to play cricket back in high school, and I loved it! It was such a thrill representing my high school, and better yet, doing it with my closest friends!
Although my friends and I had achieved several things on the field and won some crucial games, there was that ONE school we couldn’t beat!
You would be better believing none of it.
If I’m honest, this is a frustrating article to write because the Forex trading industry has been polluted by “Forex traders” claiming to know how to trade and teach you how to trade…
Whenever I get the chance to play video games, I am thrilled. I wasn’t like most kids who had a console to play online and better their skills, whether that be in playing FIFA or Call of Duty – whatever the game was.
I wasn’t any good initially, to the point where all my friends came over to the house for a sleepover, and we ended up playing FIFA (this was my first time in several YEARS)!
At the beginning of our journey as Forex traders, we cannot focus on every aspect of our trading – From risk management, money management, psychology, and our individual perspectives on the market.
Granted, it is tough to focus on every aspect of trading initially, or ever for that matter.
“One of the biggest reasons why I struggled with trading for so long was because I valued other people’s opinions over my own. When you respect others so greatly, it can be challenging to trust yourself when there’s conflict. Believe in yourself. You got this!”
For the past two weeks, I’ve been focused on my psychology and not so much on the numbers. By the numbers, I mean how much money I am losing or making at a given time – these two weeks have had ABSOLUTELY NOTHING to do with money.
In a world where information is just one click away, it is easy to find 1000 opinions that differ from your own. This makes it extremely difficult to believe in your trades and manage them correctly.
Fortunately, there are ways to focus on your own game.
If you want to become a consistently profitable Forex trader, one of the significant psychological obstacles you will have to overcome is greed.
When a trade is going your way, or you are on a winning streak, the brain will automatically go into “more, more, and more” mode.
Having a bad trading day? Having a bad trading week? Or month? Guess what, that’s normal! Drawdowns come to winning traders too. How you behave during that drawdown will determine whether you will come out ahead or go further into the hole.
There are many myths that we all encounter when studying the market. These myths are based on historical data, but we aren’t meant to look at historical data alone to inform our future decisions.
Indicators, fundamentals, and opinions do not paint a crystal clear picture. Price action is crucial when analyzing our charts.