As most traders I started by trying to puzzle out Forex trading without any help. I was always hunting for new methods to learn more, bring in more revenue, and be a better trader. Many people also tried to feed me lies, gimmicks, and sales pitches but I didn’t buy into them.
Becoming profitable at Forex strategy trading was not simple and it took lots of work and effort. During my journey to become a profitable trader I learned one of the biggest Forex secrets.
Successful traders are not hunting for jackpot trades (normally trades with quite high risk parameters) that will make them large sums of income once in a while. Pro traders are rather in search of trades that can produce them smaller profits repeatedly. In this article you will learn how you can make Currency trading work for you by trading high probability/ low risk trades.
Pick your battles wisely: Choosing the right battles is extremely important to ensure that you accomplish your goals. In Forex trading you must pick time frames and currency pairs that suit your trading needs.
For example, if you are looking into trading only for a few minutes a day you may need to learn how to trade lower timeframes. If you are planning to trade everyday you may need to consider day trading and so on.
Be sure to possess the right Foreign currency trading “weapons”: I am careful whenever I choose or build a new trading system. Lacking the appropriate trading tools can be quite detrimental and sometimes it can cause you to lose most or all of your trading funds.
The best way to measure the success of your trading strategies is by testing for 3-4 months and then analyzing the final results. Every trading month is different but 3 months definitely seems to be the magic number to perform back testing on a FX strategy.
To make an omelet you need to break some eggs: No trader wishes to lose but the truth is that every trader loses money. Additionally, a successful Forex career is formed by several small failures. Successful Forex traders accept the fact that loses are part of the trading game. What really makes all the difference is your ability to manage your risk and find trading opportunities with high reward to risk ratios.
Perseverance will always overcome misfortune: The best way to be a consistent and very profitable trader is by having many small victories time upon time.
When facing a losing streak your perseverance and discipline will be tested. Furthermore, a Currency trader that is consistent, never gives up, and takes smart trading decisions will achieve his goals sooner or later; it’s just a matter of time.
Most beginner traders believe that the way to succeed is to find the “holy grail” trading system or technique that can make you millions. This approach will not take you to where you want to go with your trading career.
Focus on using simple trading strategies, solid money management, and keep reading my Forex strategy trading tips 😉 and you will be on your way to become a very successful trader.
All the best,
Jay Molina
Pro Forex Trader & Educator