Forex trading or any trade for that matter is a profession that requires experience and accumulation of competition not unlike any other highly skilled profession. Whether you are a senior manager at a major listed company, professional golfer, or trader from your kitchen table, there are 5 key ingredients you need to be successful.
1. You have to be passionate about what you do.
As Forex traders, we all face a unique set of circumstances that do not exist in any other profession. We are rewarded for succeeding and being punished for not doing so! Could you imagine a company employing a quarter receiving a significant performance bonus and the next quarter actually receiving money from their lost performance goals paycheck?
Not in your life! We do as a Forex trader and that is why the passion for what you do will lead you through the difficult times that are part of your trading business. Did you wonder why you trade in currencies and would you continue to do so if Forex was not potentially profitable? Your answers will be pretty revealing. You must feel your passion for trade!
2. You need to apply yourself and work hard to achieve it.
I talk to so many people who go into funded forex trading account beginners for the purpose of getting rich fast. Without putting the time and energy into being really good at trading, I see them jump from strategy to strategy looking for the goose that will lay the golden egg and eventually stop smoking while blaming everything else except it true case. I have news for you: you are the goose and your education in Forex is the golden egg.
Magic has always stayed with the magician and not any strategy. Work hard at the trade and the rewards will eventually come your way. Remember what Tiger Woods said: “It’s funny, the more I work, the luckier I am.” Apply as a merchant and it will not be an accident when your account starts to flourish.
3. You need to focus to be really good at what you do.
Now, this is the obstacle that most Forex traders struggle to overcome. You have the passion and you apply yourself to your trade, focus now, and be really good at what you do. Be the expert of the experts on that one thing. Become the master of a risk management strategy or methodology. Really focuses on being good at it. Stop skipping or being pulled from the last “last and best” to the next “last and best” and focus on one aspect of Forex trading and know it backward. Know your strengths and weaknesses. Prepare to become an expert on only one aspect of trading, and see how it transitions into all other aspects of your currency trading. This is the time to fail quickly, use each setback as a learning opportunity that will accelerate you 3 steps ahead!
4. You have to push yourself beyond the point that everyone else could have.
In Forex Trading this is simple. Suppose there is someone on the other side of your trade who is pushing and sharpening your advantage. To succeed, you must do the same. Now is the time to examine your mental advantage. Do you know the most critical factor in currency trading? It’s you, the grocer!
Sharpening your mental edge is the most difficult aspect of trading, but also the most rewarding. Start with your Forex education and gain the self-awareness needed to maximize your strengths and suppress your weaknesses. Any expert will tell you that trading is 80% mental. Time to sharpen your trade to the edge of the razor and make it through Forex training. A constant and endless process that will become the cornerstone of your Forex experience.
5. You must be determined and persistent in your goal without hesitation.
You will fail. I can say that emphatically. However, he will not be defeated unless he allows his failures to control his trade. That’s the old saying; Failure is not the fall of your horse, failure refuses to return. Your success depends on your ability to reject the criticism, rejection, doubt, and pressure associated with Forex trading. Defining what is a winning trade, a losing trade and a bad trade will go a long way toward developing you as a successful trader. Without determination and persistence in every aspect of your business, the hurdle will certainly look closer and bigger than it really is.