Becoming a MASTER of One Setup

Filed under: Learn Forex Trading |

 

Screen shot 2013-03-14 at 10.37.21There are so many different ways of entering a trade, that it might be best to simply become a master of one setup, and once you have mastered one setup and know everything about it, you could then add to your trading arsenal by becoming the master of another setup… and another… and another.

 

What is not going to be beneficial to you as a beginner trader is to try to learn every trading strategy and setup possible and then use them all at the same time. I feel it would be much better to simply focus on one (or maybe two or three if you are not a complete beginner) strategy, and learn everything about that strategy until you become something of a master. For example, you may choose to trade using pin bar confirmations at significant areas of support/resistance. More specifically, you could look for significant horizontal zones in the market (which will act as support/resistance levels) on the daily charts, and then look for pin bar confirmations at retracements back into these levels that confirm a continuation of the dominant trend.

 

I showed you one such example of this kind of trade on the GBP/USD pair today, which was a bearish pin bar confirming a level of support/resistance, and going with the dominant bearish trend.

 

When you keep trading the same kind of setup over and over, and you start to build a profitable record using this setup, you will then get the confidence to move forward and start to build upon your trading arsenal. After a few years, you might be a master of a number of different strategies and setups, and then, you may be in a position where you can trade for a living. But until then, my advice is to take baby steps and learn one trading strategy at a time.

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