How to Become a Better Forex Trader
Suppose to tell you that you can be a better trader from next week! It’s perfect and under your control. Just change your thinking and behavior in relation to business and market. If you are not satisfied with the results of the transaction now, it’s time to change, do not you agree?
The most common reasons why traders never reach peak levels in the business are getting stuck in the crazy cycle of trading, checking up and down the price of overwrought trading instruments, and the unexpected manipulation of live trades, so early withdrawal. Or too late for them.
These traders instinctively know that the size of their positions is very large. Large-scale trade makes most people obsessed with the uptrend and downtrend of the market and are busy thinking of their dealings. Have you ever seen a mobile or computer check up during the day that you wake up in the middle of the night with the idea of a bargain and feel that you need to check its profit or loss?
This malicious behavior has quickly become an unlucky way of life and ultimately creates serious interference with the financial and psychological behavior of the trader.
One of the key elements of becoming a better Forex trader, is to start trading with one of the best forex brokers in the world.
Why do traders become caught up with this malicious psychological ring?
Indeed, why do many traders involved with this destructive psychological ring mean over-concern about their deals? There are three main reasons for this:
A large position deal that makes the trader too worried about losing money at risk (the money they can not afford).
Many traders start trading without having the skills or insights of a professional trader, and so on the market, like gambling, which puts all of them at the casino on the table. As such, many traders sell unconsciously for gambling and do not consider it a profession.
Addiction to trade – Many traders are professional technicians, but they watch the screen for day-to-day activities (and even at night), in addition to their brains secretion of dopamine created at the time of entry Has been addicted to deals.
The trader should start trading, distance, and forget about the normal course of the market, instead of obsessively paying attention to the deals. Your presence on the market is due to its fluctuations, so do not interfere with it. All you can do is to define your business plan and run it properly, but after entering the deal, you should not have a role to play; watching the chart does not help anything!
4 solutions to treat this thought and become a better forex trader
If you listen to the 4 points below and run them, your business will change completely …
1. The size of the trading position should be consistent with your knowledge and ability.
Most novice traders have fallen into the pot and quickly lose a lot of money on the market. This is a very big error that should be resolved or prevented until late.
Be realistic, if you only trade for 6 months or a year, you still do not have enough knowledge and you need to risk small amounts of total capital and net worth. As long as you are not a professional trader and you need such training courses, you are still new to the job; so be humble and remind yourself that a novice trader should not pretend to have the skills to assign, for example, 20 Percentage of its capital has a deal.
If you want to become as durable in the marketplace as to become a profitable trader, you need to give yourself enough time to experience the ups and downs of trading to see live training. If you want your presence in the market to continue, you must deal with your financial, commercial, and psychological ability to protect your financial backing. Always protect your capital with a good defense system.
2. Select the size of the position so that you do not fall asleep at night.
Forget about what others are saying about risking a certain percentage of dollars per deal or how much money you have in your account. The only important thing is to know how much of your investment you can put in each transaction at risk. Know your limits and rest easy without thinking about how much you’re ready to lose.
You should choose the size of the position that is psychologically fit to sleep at the usual time and do not wake up because of thinking about the deal.
To do this, you need to seriously and honestly determine your real risk. How much is your income? How much debt do you have How much is your total net worth? Make your own calculations to find out the amount you can risk without worrying about any deal. The best method of “simple sleep test” is if you can sleep as usual and do not wake up with the thought of trading, if that is the amount you are assigning it is acceptable to you (this varies for each trader).
Remember that you have to start from somewhere, if you can not get money in the small positions, how do you want to do this in the bigger positions? The market will always be available; therefore, think of “necessity” or “fear of losing” because they are completely mental.
3. A system to regain commercial confidence
If you lose your business discipline, you can get it again by doing the following:
The most important thing is to focus on rebuilding your self confidence in business. You should eliminate fear and doubt, but if you are too addicted to trading and you’ve lost a lot of money in this way, that will not be easy. You need to practice your brain correctly and apply the right habits and routines to increase confidence in your ability to practice your brand.
For example, you can execute 20 successive transactions by setting 100 percent and forgetting the mind. Risk less risky than before and try to make a one-to-one bonus for each deal. Remember that this is a practice to prepare your brain for a transaction, so believe in the deal and keep it away from the normal course of the market. You are preparing yourself for dropping out and getting less engaged with deals. Do this for up to 20 successive deals to see if you have success and regain confidence, so that your brain is properly planned and you will properly understand the value of distance.
4. The best intellectual change
Many traders (even good traders) are simply bored, causing addiction to trade, which can be avoided by changing the mindset. You can do this in a variety of ways, including hobbies, spending time with the family, traveling on vacation, etc. But perhaps your best endeavor is to acquire knowledge and improve your business skills, ideally, all of the items Top up. In fact, you want to do things to be busy, get past time, and no longer have time to check transactions or worries about the money you risk. Try to be energetic and refreshing instead of sitting in front of the charts and watching one-of-a-kind market tickers that, apart from the poor commercial results and unnecessary stress, do not have to look after.