The Mindset of a Successful Forex Trader

Filed under: Learn Forex Trading |

Some people might enter the world of forex, having been very successful in other disciplines through hard work – and they might expect that putting in some hard work in the forex markets might yield similar success. However, oddly, it seems that those who do not work as hard tend to be more successful in the forex markets. Let me explain…

 

If you spend your every waking moment watching the movements of the markets and the trades that you have in play, this can in fact be counter productive to success. For example, if you have a trade in play and you keep watching the ebb and flow of the markets, you will be more likely to meddle with the trade, by moving your stop losses around and perhaps taking profits too early. It is actually much better to actually step away from the markets when you have some trades in play. Go and play some golf or do some shopping – anything to get you away from your trading screen! Let the market do its thing; that is why you have stop losses in place and target levels to close when a certain level has been reached. You must give the market room to breath as it NEVER moves in a straight line.

 

So, my advice is to create a trading habit and a schedule for yourself. Personally, I only check my charts every four hours in case there are any setups on the four hour charts – and my main analysis of the markets comes at the close of the daily candles once per day. In between these times, regardless of whether I have any trades in play or not, I try not to look at the markets: although I do keep getting tempted to see whether my trades are in profit or not!

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