5 Secret Traits of Successful Forex Traders
Website design By BotEap.comHave you ever wondered what makes a successful forex trader tick? What separates winning traders from the average trader? Research shows that every successful trader possesses these 5 specific characteristics:
Website design By BotEap.com1) Be disciplined
2) persevere
3) Treat trading like a business, not a hobby
4) Be impassive
5) Set goals Website design By BotEap.comRead, understand and emulate them to help you become a more profitable trader. Website design By BotEap.com1) Be disciplined Website design By BotEap.comAnyone can get lucky and make money in the forex market; however, only the disciplined can earn money consistently over time. Being disciplined is by far the most important factor that determines your success. Every professional trader knows that the trading method or strategy does not determine the success of it. What matters is how you follow the strategy. Website design By BotEap.comYour trading strategy is your compass and it will tell you where to go and how to get there. Do not miss. Don’t trade because you “like” a specific currency, or because you “think” there will be a sharp rise in a specific currency. When you start making arbitrary decisions like these, you will lose yourself and start losing money. Website design By BotEap.comFollowing your system is always your best option. You must have the discipline to stick with your strategy even through a series of losses. Website design By BotEap.com2) persevere Website design By BotEap.comEveryone fails. But not everyone knows how to come back from failure. Many successful forex traders today began their trading careers by losing all their funds. Millions of people are lured into Forex by the promises of easy money, and sadly, most of us who try lose a lot of money. So is losing money a prerequisite for forex success? Of course not. Website design By BotEap.comMost people who lose money will never succeed. They become depressed, discouraged and immediately stop trading. At the other extreme, some people who lose their first $10,000 will borrow another $10,000 and lose it in exactly the same way. Website design By BotEap.comBeginners will lose money; That is a fact. But not learning from your failures will be your biggest mistake. Website design By BotEap.comTake the opportunity to learn from your mistakes. Did you trade based on emotion? Were you negotiating based on a tip? Does your strategy fit current market trends? Risked too much money on a trade? Did you misread the graphics? Are you impatient? These are the questions to ask yourself when you fail. But the most important question is this: Website design By BotEap.comWhy did I fail? Website design By BotEap.comIf you can answer this and learn from it, you will certainly be on your way to becoming a successful forex trader. Website design By BotEap.com3) Treat trading like a business, not a hobby Website design By BotEap.comLet’s face it, not all of us can quit our day jobs and start trading currencies full time. Not yet anyway. Professional forex traders are better traders than most people for the simple reason that they spend at least 40 hours a week trading currencies or researching the forex market. Website design By BotEap.comForex trading is a business for professionals. If they lose money trading, they will lose their jobs. That is a very good motivation to be good at what you do. You should adopt the same attitude even if trading is not your full time job. Treat it like a business and not just a hobby. A hobby is something you do for fun in your free time. A business is a business to make money. Website design By BotEap.comI do forex trading to make money, not for fun. I have many other activities that I can do for fun. I enjoy running, traveling and watching TV, none of which will make me any money. In fact, most hobbies will cost you money. Trading shouldn’t cost you money, it should make you money. Website design By BotEap.comIf you approach trading as a business, your perspective changes completely. Losing money is not acceptable in business because if you do it long enough, you are out of business. You will take all possible steps to stop losing money. Website design By BotEap.comA business will not grow by itself. You must spend time learning how to become a profitable business. Use your free time to do some market research, read some good books, and attend training seminars. Stop wasting time on things that cost you money and start investing your time in learning how to trade correctly, which will get you on the path to financial freedom. Website design By BotEap.com“I’ve always believed that if you put in the effort, the results will come. I don’t do things by halves. Because I know that if I do, then I can expect results by halves.” -Michael Jordan Website design By BotEap.com4) Be impassive Website design By BotEap.comIf you’ve ever played poker, you know how high it is to go all-in. Your heart races like there’s no tomorrow, and you hope and pray that the cards turn out right for you. It’s the thrill of knowing that you can double your money in a few moments and also knowing that everything can disappear if things don’t go your way. Website design By BotEap.comThis type of emotion should not exist in any form in your trading. If you’re a thrill seeker, go skydiving. If you are a gambler, go to a casino. If you are afraid of losing money, open a savings account. Website design By BotEap.comSuccessful forex traders don’t let their emotions interfere with their trading. Too often, we let fear, greed, or pride get in the way. Website design By BotEap.comfear Website design By BotEap.comFear will prevent you from making the right trades and will cause you to miss out on immense opportunities. Fear comes from lack of knowledge and proper education. You are afraid because you cannot see that an operation is the correct one, since you do not know what the correct operation looks like. Once you gain the knowledge and training, you can begin to trust your decisions because they are based on facts and not emotions. Website design By BotEap.comGreed Website design By BotEap.comGreed is another emotion that we must overcome in order to be successful. Many beginners experience “beginner’s luck” and come out victorious on their first few trades. Then they start to believe that they should have traded with more money to make their profits bigger. So, on the next trade, they trade a large sum of money and lose it all. Logic will dictate that they should trade a smaller amount next time, as they now have less capital. Unfortunately, humans are not logical creatures. Our greed takes over and we start to believe that if we invest more money, we will make up the lost amount and get ahead. Unfortunately, this cycle can only continue until you are completely out of money. The worst thing that can happen to a novice trader is to have a successful first trade. Website design By BotEap.compride Website design By BotEap.comPride will get you nowhere fast in forex trading. Pride will prevent you from learning. When you feel like you have nothing more to learn, that’s when you start to lose money. Pride is the most difficult obstacle to overcome for some because it is an ingrained part of their personality. However, we can all learn from the hugely successful forex traders who still need to do the research and read to maintain their success. Website design By BotEap.comYou can still be happy when the trades go in your favor and sad when they don’t. However, these emotions should not play any role in making your decision for the next trade. Your decisions should be based on logic and facts, not emotions. Website design By BotEap.com5) Set goals Website design By BotEap.comEvery trader needs goals to stay on track. It doesn’t really matter what his goals are, but it’s important to write them down. If you don’t write down your goals, you’ll never know if you’ve reached them or not. Website design By BotEap.comEveryone has a different goal when they start trading forex. Some people just want to make a few extra bucks trading on the side; some people want to earn enough to be able to quit their day job. Some people are tired of the average 10% return of the stock market and want to put their money to work for them in forex. Website design By BotEap.comWrite these goals down and look at them often to know if you are on track to reach your goals or not. Website design By BotEap.comSummary Website design By BotEap.comThe best way to be successful in trading is to emulate the patterns of successful forex traders. Read, re-read and understand these 5 traits and apply them to your forex trading career. You will find that you will be more successful when you possess these 5 characteristics.
2) persevere
3) Treat trading like a business, not a hobby
4) Be impassive
5) Set goals Website design By BotEap.comRead, understand and emulate them to help you become a more profitable trader. Website design By BotEap.com1) Be disciplined Website design By BotEap.comAnyone can get lucky and make money in the forex market; however, only the disciplined can earn money consistently over time. Being disciplined is by far the most important factor that determines your success. Every professional trader knows that the trading method or strategy does not determine the success of it. What matters is how you follow the strategy. Website design By BotEap.comYour trading strategy is your compass and it will tell you where to go and how to get there. Do not miss. Don’t trade because you “like” a specific currency, or because you “think” there will be a sharp rise in a specific currency. When you start making arbitrary decisions like these, you will lose yourself and start losing money. Website design By BotEap.comFollowing your system is always your best option. You must have the discipline to stick with your strategy even through a series of losses. Website design By BotEap.com2) persevere Website design By BotEap.comEveryone fails. But not everyone knows how to come back from failure. Many successful forex traders today began their trading careers by losing all their funds. Millions of people are lured into Forex by the promises of easy money, and sadly, most of us who try lose a lot of money. So is losing money a prerequisite for forex success? Of course not. Website design By BotEap.comMost people who lose money will never succeed. They become depressed, discouraged and immediately stop trading. At the other extreme, some people who lose their first $10,000 will borrow another $10,000 and lose it in exactly the same way. Website design By BotEap.comBeginners will lose money; That is a fact. But not learning from your failures will be your biggest mistake. Website design By BotEap.comTake the opportunity to learn from your mistakes. Did you trade based on emotion? Were you negotiating based on a tip? Does your strategy fit current market trends? Risked too much money on a trade? Did you misread the graphics? Are you impatient? These are the questions to ask yourself when you fail. But the most important question is this: Website design By BotEap.comWhy did I fail? Website design By BotEap.comIf you can answer this and learn from it, you will certainly be on your way to becoming a successful forex trader. Website design By BotEap.com3) Treat trading like a business, not a hobby Website design By BotEap.comLet’s face it, not all of us can quit our day jobs and start trading currencies full time. Not yet anyway. Professional forex traders are better traders than most people for the simple reason that they spend at least 40 hours a week trading currencies or researching the forex market. Website design By BotEap.comForex trading is a business for professionals. If they lose money trading, they will lose their jobs. That is a very good motivation to be good at what you do. You should adopt the same attitude even if trading is not your full time job. Treat it like a business and not just a hobby. A hobby is something you do for fun in your free time. A business is a business to make money. Website design By BotEap.comI do forex trading to make money, not for fun. I have many other activities that I can do for fun. I enjoy running, traveling and watching TV, none of which will make me any money. In fact, most hobbies will cost you money. Trading shouldn’t cost you money, it should make you money. Website design By BotEap.comIf you approach trading as a business, your perspective changes completely. Losing money is not acceptable in business because if you do it long enough, you are out of business. You will take all possible steps to stop losing money. Website design By BotEap.comA business will not grow by itself. You must spend time learning how to become a profitable business. Use your free time to do some market research, read some good books, and attend training seminars. Stop wasting time on things that cost you money and start investing your time in learning how to trade correctly, which will get you on the path to financial freedom. Website design By BotEap.com“I’ve always believed that if you put in the effort, the results will come. I don’t do things by halves. Because I know that if I do, then I can expect results by halves.” -Michael Jordan Website design By BotEap.com4) Be impassive Website design By BotEap.comIf you’ve ever played poker, you know how high it is to go all-in. Your heart races like there’s no tomorrow, and you hope and pray that the cards turn out right for you. It’s the thrill of knowing that you can double your money in a few moments and also knowing that everything can disappear if things don’t go your way. Website design By BotEap.comThis type of emotion should not exist in any form in your trading. If you’re a thrill seeker, go skydiving. If you are a gambler, go to a casino. If you are afraid of losing money, open a savings account. Website design By BotEap.comSuccessful forex traders don’t let their emotions interfere with their trading. Too often, we let fear, greed, or pride get in the way. Website design By BotEap.comfear Website design By BotEap.comFear will prevent you from making the right trades and will cause you to miss out on immense opportunities. Fear comes from lack of knowledge and proper education. You are afraid because you cannot see that an operation is the correct one, since you do not know what the correct operation looks like. Once you gain the knowledge and training, you can begin to trust your decisions because they are based on facts and not emotions. Website design By BotEap.comGreed Website design By BotEap.comGreed is another emotion that we must overcome in order to be successful. Many beginners experience “beginner’s luck” and come out victorious on their first few trades. Then they start to believe that they should have traded with more money to make their profits bigger. So, on the next trade, they trade a large sum of money and lose it all. Logic will dictate that they should trade a smaller amount next time, as they now have less capital. Unfortunately, humans are not logical creatures. Our greed takes over and we start to believe that if we invest more money, we will make up the lost amount and get ahead. Unfortunately, this cycle can only continue until you are completely out of money. The worst thing that can happen to a novice trader is to have a successful first trade. Website design By BotEap.compride Website design By BotEap.comPride will get you nowhere fast in forex trading. Pride will prevent you from learning. When you feel like you have nothing more to learn, that’s when you start to lose money. Pride is the most difficult obstacle to overcome for some because it is an ingrained part of their personality. However, we can all learn from the hugely successful forex traders who still need to do the research and read to maintain their success. Website design By BotEap.comYou can still be happy when the trades go in your favor and sad when they don’t. However, these emotions should not play any role in making your decision for the next trade. Your decisions should be based on logic and facts, not emotions. Website design By BotEap.com5) Set goals Website design By BotEap.comEvery trader needs goals to stay on track. It doesn’t really matter what his goals are, but it’s important to write them down. If you don’t write down your goals, you’ll never know if you’ve reached them or not. Website design By BotEap.comEveryone has a different goal when they start trading forex. Some people just want to make a few extra bucks trading on the side; some people want to earn enough to be able to quit their day job. Some people are tired of the average 10% return of the stock market and want to put their money to work for them in forex. Website design By BotEap.comWrite these goals down and look at them often to know if you are on track to reach your goals or not. Website design By BotEap.comSummary Website design By BotEap.comThe best way to be successful in trading is to emulate the patterns of successful forex traders. Read, re-read and understand these 5 traits and apply them to your forex trading career. You will find that you will be more successful when you possess these 5 characteristics.