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Discipline and Patience in Forex Trading
Written by: PaxForex analytics dept - Friday, 18 August 2017 0 comments
Most aspiring forex traders find themselves unable to remain disciplined as they trade the markets. Successful forex trading is all about developing disciplined trading habits and having a trader rather than a gambler mentality. Most people who engage in currency trading expect instant rewards and have dreams of becoming overnight millionaires. The truth of the matter is, most successful traders had to work very hard while being very patient and disciplined over a long period of time to achieve their goals.
Trading the forex markets takes hard work, discipline, a plan and the right personality to be profitable. You will be tested consistently and this will require a psychological mindset, which allows you to make the right decision when the going gets tough. Usually, traders believe that development of a forex strategy is the most important thing to do and invest their efforts into it, forgetting about forex trading discipline. While a good strategy is important, being able to actually carry it out is even more crucial for a trader.
Many people will ask the question – what’s the biggest secret to successful forex trading? Though there is not necessarily a secret or magic formula to your success, the one thing that does contribute massively is trading discipline. Trading discipline is hard to achieve. Emotions get in the way of so many things and even though we tell ourselves that we are not going to allow our emotions to
spoil anything, they are still one of the biggest obstacles to overcome. Many traders wind up losing on the trading platform because they are unable to follow a trading plan. They see a couple of wins, believe they are invincible, abandon the plan as a result and end up taking crazy shots at the market.
Most traders do the exact opposite of what they should do to make money in the markets. The problem is that most traders trade with little or no patience because they want to make money now and have a skewed concept of what making money fast actually means. They do not think about 1 year from now or 2 years from now. What good are you doing if you trade now with little or no patience and discipline and as a result your trading account value increases and decreases like a roller coaster of emotion only to end up negative at year’s end.
Understanding how important patience is while you start learning to trade will completely change the trajectory of your performance in the long run and help you achieve your goals faster. The power of patience shouldn’t be underestimated while learning how to trade, it is a vital characteristic a trader must have to be successful in the long-term. You can dramatically improve your chances of success in trading by simply having the patience and discipline to wait for the right opportunity and follow the trading plan you’ve worked on and back-tested.