When it comes to trading the forex markets, we have experienced quite a vast array of conditions. While there are a lot of people out there telling of untold riches awaiting you every week, the reality is that the markets move at their own pace, and this is something we need to keep in mind as traders.
So we decided the best way to trade was swing trading, and much as we day trade as well we have conveniently incorporated aspects of swing trading in in our day trading as well. So whether we are day trading or swing trading, our mindset and approach to the financial markets is the same
The markets were here before you were, they’ll still be here long after you’re gone. So slow down. The market players are categorized as ‘Bulls’ and ‘Bears’. These two can be raging animals. And when you decide to get involved with the markets, these are the two ‘animals’ you’re coming to deal with.
Ever heard of the failure rate of all new traders be 90%? Ever wondered why this reality? They were ‘knocked out’ by either animal or a combination of both. It’s not about how quick you can make it in the markets, it’s about how long you can last.
The last few years we have settled with strategies to trade the markets that ignore time, because it is something we cannot control. Our main focus is on the process. And the process is demands patience and discipline. Besides, as mentioned above, the markets move at their own pace. We cannot change that, and must trade the markets as they are, not as we wish them to be.
We are only players, not controllers. You can’t dictate what the market should do. You can only react to what its already doing. It’s completely beyond your control or influence. On the contrary, the markets should control you by dictating what you should do. You’re supposed to play to its game or you’re not in business. If for example its trending, don’t go against the tide, you’ll drown. Just go along with the flow or you’ll be badly hurt. If it’s not moving, neither should you move. You can move it, it’s an ocean and you’re only a drop in it.
So pay attention to the process. Don’t just jump on any opportunity you see; it may not be good. Instead give opportunity to the market to invite you to get involved with it. That’s the main point for this tutorial. Then trading suddenly will become simpler, and much less stressful.
We came to understand that being glued to the computer screen watching and seeking to catch every tiny move, and sweating over the charts on each and every trade was not what we came into trading for. Keeping that in mind, we approach trading as something that needs to benefit us, not makes us stressed. We quit our jobs not to become servants or slaves to the markets. We came to earn. The markets are supposed to serve us.
The pips are meant to meet our bills, reward our efforts, free-up our time and grant us a comfortable lifestyle. In our approach to the markets, we are looking for certain setups. We focus on certain market behaviors and price patterns along with market structure. And until they form, we are not trading the markets – at all. We’ll stay on the sidelines for as long as it takes.
See, you don’t have to be in the markets every day to be successful at trading. That could true for other sectors, but not exactly so with the world of financials. In fact the less one is involved the better their odds of success. Why? It prevents you from overtrading and over leveraging. These two are the probably the most prevalent destroyers of trading accounts. The only thing you can control when it comes to trading is yourself, not the markets. If you focus on the process the results will come. Nowhere is the old adage truer than in the forex markets that ‘patience pays’. There’s a positive correlation between patience and account growth
Today there’s a craze in the technical trading world that deifies candlestick formations. Unfortunately, many new traders are jumping on that wagon and trading every so called candlestick pattern without any regard to market structure and they think they’re trading price action. In reality, they’re not trading. They are simply gambling.
Candle stick patterns on their own will not give you an edge in the markets. They have to be combined with chart patterns along with market structure to give you a better more reliable edge. For example, you have a better edge when it comes to price action trading if you combine candlestick formations with areas of support and resistance, and one or maximum two trend indicators. If you can successfully marry the three and develop a strategy out of it, you have a great edge in the markets
You need to have an edge in the market, and once you have it you have to maintain. The only to do this is through discipline. And discipline demands that you’re patient enough for your edge to form. This will take time and it will mean many times sitting on the sidelines. It will keep you from the markets as you wait for your edge and will preserve you from taking inferior enticing signals. And once its formed, you execute the trade without thinking. The forex world has so many that are restless. They can’t stand the fact that the market is open and running without them. To them trading forex is as easy as the click of the mouse and profits rain in. What a fallacy! Today people look for fun without risks, money without effort and a profitable trade without putting in the work.
The forex market pays no attention to your ambitions, it just does its own thing so never rush for a trade. Have discipline and be patient enough to hold your emotions and wait for the right setups. That’s the secret if there’s to be any when it comes to forex trading success. There’s a golden rule of forex trading – no signal, no trade. Watch the market before you make any move. Patiently wait till the trading behavior dictates to you to enter the market.
Patience is not only important in waiting for the right trades, but also important in staying with the trades that are working, and crucial in letting them be stopped by your stop losses instead of rushing to close one whenever there’s a slight drawdown. It helps you stick to your trading plan and gives you that important edge in the markets. This discipline will transform you to the professional you dream about, improve your profitability, grow your account slowly but steadily, and guarantee your longevity in the markets
Our strategies to get that much needed time to enjoy your family and friends while your trades run No more 9 to 5 work stress. Enjoy your family and friends as your trades run.
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