Forex Currency Trading – Double Your Discipline in 3 Easy Steps
Pick up any book on trading and you’ll find that discipline is an absolutely critical element of profitable forex currency trading. This particular aspect of trading is also one of the biggest obstacles for most traders, even sometimes for those that have been trading the currency markets for quite a long time.
Utilize 3 simple steps to double your discipline almost immediately. Don’t dismiss this method. Even though it won‘t solve every discipline challenge you may run into, it will take you in the right direction and you really can double your discipline very quickly.
Step one: Be aware while you’re in the moment. At the moment when you feel the urge to deviate from your trading plan, ask yourself this simple question: “Am I acting on emotion here or would this be in alignment with my better judgment?” Being aware of how you’re feeling – at the time – is what is key, and then asking yourself the question. Often, the mistake happens because we simply are allowing our emotions to drive our actions and the simple act of staying alert to the emotional surge will help to keep matters in perspective. Awareness is only the first step though.
Step two: Realize the real cause of the problem. Usually the urge to deviate from your trading plan is because of a fear. Here are a couple examples.
* Getting into or staying in a trade when you know that you shouldn’t often comes from the fear of missing an chance to profit. What is often incorrectly attributed to greed is often a scarcity mindset coming into play. The failure to say “No” shows the fear that there “isn’t another bus coming soon”. When you don’t have the certainty that there are numerous profitable opportunties to be capitalized on and that you have the ability to take advantage of them, then the fear arises in the moment.
* Hesitating to pull the trigger is often the fear of screwing up more so than the fear of loss. Superficially it feels like the fear of loss, but the risk on any given trade can be foreseen. This one is an issue of self-doubt stemming from previous mistakes.
In reviewing the examples above, you may have noticed a common underlying factor. There is a way to eliminate fear, and the 3rd step is to address this specifically.
Step three: the most effective way to counter fear is through building your confidence. Your daily life is full of risk and yet you can function will amidst this risk without any fear all. Why? Because you have the confidence to deal with it effectively. When you drive your car, go out in public, walk down a flight of stairs, you have no fear. You have developed the skills to perform these activities and do them well and without getting hurt. The potential for harm is there, but you have the confidence to handle these situations.
Forex currency trading is a fairly simple activity compared with other professions, particularly with the tools available in today’s world. It is certainly within your abilities, and as you broaden your knowledge of and develop your skills, you’ll find that your fears subside as your confidence grows. The challenge then becomes how to properly go about building your confidence – real confidence, not just bravery.
True confidence comes from awareness, education, competence, practice, measurement of results and feedback for continuous improvement. Forex currency trading involves a significant body of knowledge and a respectable skill set to be developed to trade confidently. Unfortunately, many traders are not given the information when they start out to even know what they need to work on to become that successful trader that they envisioned at the beginning of their Forex trading career.
Failing to stick to your system is but one of the many mistakes Forex traders make that create losses and anguish. By knowing the cause of the mistakes and having specific actions to take to avoid them, you are empowered to be a more consistent and profitable trader. There are numerous trading mistakes listed in the book, “The Subtle Trap of Trading” along with specific actions you can take to avoid them. When you see where mistakes originate, you will find that your forex currency trading is both more consistent and much less stressful.
Also you can see the video related to forex currency trading
Examples of applying the ABCD pattern on the 5min chart of the GBP/JPY pair throughout the trading day (non-news).
Here some answer the question about forex currency trading
How to start trading forex currency trade from india ?
About Author
Is discipline a challenge for you in trading the Forex currency markets? Build real confidence with the resources you’ll find at http://insideouttrading.com The 80/20 rule applies strongly in Forex trading. Get the 20% that makes you a great trader, especially regarding Forex trading psychology. You’ll see and feel the results!
Tags: business, currency, day, earn, for, forex, Market, money, nothing, online, opportunity, rich, stock, trading
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August 9th, 2009 at 10:08 pm
Downloading free system are just for demo account. You cannot actually trade there. I feel this is not a correct step of starting trading. software doesn't help in earning good returns.Have a good understanding of the function of the market in general and those that keep the market operational. Understand, not only the market you are trading in, put be aware of all the products and services that you can upon if needed. Understand the basics of trading such as never trade against the trend, limit any & all loses by using stop orders and lock in any and all gains with sliding stops. First, you should know that Forex is not that easy. Do not believe those who may say it is!
Now, there are some good robots that MAY help you. Some are scam. Others are for real.
Simply put, a Forex robot is a program that attempts to take the guess work out of trading currencies. Currently there is a lot of information floating around the internet about these products. Like any other tool, it needs to be used properly in order to be most effective.
Like I hinted, in order to use this tool the right way you need to understand a little bit about how it works and where it is best applied.
A Forex robot is a computer or computer program that monitors currencies and does calculations to figure out the best time to buy and sell. These programs help to take some of the guess work out of buying and selling and can help a trader to identify currencies that meet certain criteria, or when certain currencies perform in certain a way. Most of the selling points of Forex robots state that you can simply set them and watch the cash come pouring in. While in some cases this may work, in most cases you are going to need to carefully monitor the program and make sure that it is adjusting to trends in the market. While they can be very profitable they may require a certain amount of intervention to be run effectively. Used properly, and if you have the patience to get to know the programs, they become a powerful tool.
For this automatic approach, forex auto pilot turbo has worked wonders for me: http://fapturboxreview.blogspot.com/ . It offers, among other features, high spread protection system and automated risk scaling. They say "95% winner". Well, only the bottom line counts. In this regard, it has really delivered for me.
I had been watching the forex robot market for months, waiting for the right software to come out. I believe I have found a great one.
Really, get the fundamentals first. Then get your own system and test it offline (do that for weeks, if not months, until your system is well tested), whether you use a robot or not. It really takes a few months – a lot of patience and resilience. But if you are made for it, it is worth it. Read about the psychology of trading (never to underestimate). And then you should be fine.
August 9th, 2009 at 10:53 pm
Congratulations, you have already seperated yourself from the masses by realizing that there is risk associated with and marketspace that has the potential for superior profits.
It is much easier to lose money than it is to make money in the Forex market.
Fortunately there are conservative strategies that can be employed that reduce risks and can generate attractive returns.
Paul
August 9th, 2009 at 11:03 pm
Nice Nice Video. I really loved your video. Youtube can be a great asset for you. If you need any help getting your video exposed, check out this site called tubeviews [dot net] It has really done wonders for me, I have built 3 Channels up with videos at top in position and this is my forth channel i’m going to working on.
God Bless You!
August 9th, 2009 at 11:27 pm
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August 10th, 2009 at 2:08 pm
Talking from pure, personal trading experience, nothing comes close to Forex Tracer. It's fast, seamless, sophisticated (works like joy with my broker a/c)… and almost gives you the feeling that for forex currency market trading, you're in charge of a very powerful 'profit predictor'.
I admit, I have my own methods of forex automation, but the truth is I never look beyond a single power tool for a forex signal generator (or software). It's a system that's proven and works for me. That's the only thing that counts.
August 10th, 2009 at 5:19 pm
looks interesting!
August 11th, 2009 at 12:50 pm
Downloading free system are just for demo account. You cannot actually trade there. I feel this is not a correct step of starting trading. software doesn't help in earning good returns.Have a good understanding of the function of the market in general and those that keep the market operational. Understand, not only the market you are trading in, put be aware of all the products and services that you can upon if needed. Understand the basics of trading such as never trade against the trend, limit any & all loses by using stop orders and lock in any and all gains with sliding stops.
August 11th, 2009 at 10:46 am
forget tracer and FAP, there is New Forex Robot software awailable that – Has Never EVER Had A Losing Trade, NOT ONCE! believe or not…
August 11th, 2009 at 9:21 pm
Wohoho, now you'll get the list – everyone will pull in its own direction…
In reality, it is difficult to answer, since there is no such rating. If you look at Forex brokers reviews online, there is so much controversy in opinions and experiences, that you'll probably be lost.
Use the common sense and own judgment. Of course, those companies that are obviously labeled online as scams should be avoided. For others, do a little of research: pay attention to the transparency of the company, by what authorities it is regulated, does it have sufficient information describing the smallest details about trading conditions, try their demo, try contacting them, see how well they respond. Do the same things as you would do when you choose a bank to deposit money.
And finally, when you make a choice, don't put everything in. Try it first – deposit a small amount. Get experience. If you are satisfied, go on further.
August 11th, 2009 at 2:40 pm
I own both this and F.A.P.S and it has been profitable for me only on demo accounts over $10k
August 12th, 2009 at 1:43 pm
I use Forex Tracer for currency fx trading. It works with Metatrader 4 and is pretty good for someone who understands the basics of how forex markets work.
It's excellent at mining forex markets in real time and bringing back profitable spreads on currency exchanges. For an automated forex cash system, it's a goldmine for traders at the beginner to intermediate level. The ease of use is legendary.
August 13th, 2009 at 12:51 am
Playing Forex can appear alluring, but the majority of people who try it lose money. All you have to do is do a web search on the words "Forex" and "lose" to see this is the consensus.
Forex is what we call a "zero sum" game. You are making a bet with someone else about whether a currency will rise or fall. For every winner there has to be a loser. If you are smarter than the average player, you may make money. If you are dumber than the average player, you are likely to lose money. Most of the people making the "bets" in Forex are highly trained professionals at banks and other institutions. You are unlikely to beat them at this game.
Actually Forex is not quite a zero sum game. It's a slightly negative sum game as the Forex broker takes a small percentage each time in the spread. It's a small amount but over a hundred trades, it ends up being a considerable amount of money. So the average player is likely to lose money, and remember the average player is a highly trained professional and probably smarter than you.
There is a lot of luck in Forex, and if you play it, you will have some periods of time where you make money. This is usually because you are having a lucky streak, not because you have suddenly become an expert Forex player. However, most people are unwilling to admit their success is due to luck. They become convinced they have a system that works, and lose a lot of money trying to refine it.
Further complicating the problem is the large number of Forex scams on the internet. Most Forex websites are of questionable honesty. You will find many people on the Internet that claim they made a lot of money using Forex. They are usually liars trying to make money. They will say: "Go to Forexcrap . com/q2347." The "q2347" is a signal to the Forexcrap site that you are being referred to them by "q2347." If they sell something to you, "q2347" gets a kickback. These coded signals can be hidden by different methods in the link. Other people will refer you to their own private website or blog for the purpose of trying to get money off you.
I would recommend not trying to do Forex at all, unless you are a trained professional. It's like playing poker with people better than you, with the house constantly taking a small percentage from the pot.
August 13th, 2009 at 8:09 am
You can get a trading platform from any Forex broker.
The most popular platform is MetaTrader4 (MT4).
You simply need to find an MT4 Forex broker. All of them offer so called Demo accounts. Register and get one for paper trading.
Here is a quick list of brokers with MT4 platforms:
Interbank FX
FXCM
MIG Investments
IKON Royal
Hotspot FX
Direct Forex
ODL Securities
August 13th, 2009 at 1:49 am
good video.. nice job