How To Become a Winning Forex Trader
First off, let's put to bed a misconception before we start.
Despite what you may have heard, forex trading is not easy.
Is it possible to make money trading forex? Absolutely. Is it an "easy" path to untold riches? Absolutely not, despite what some people may tell you (usually when trying to sell you something).
Forex, like anything else in life, requires hard work and determination in order to succeed.
There are people out there making millions of dollars per year trading forex, and there are many more that have given up after losing money.
What's the difference between those that win and those that lose?
I'll boil it down to three key concepts:
3. Hard work.
In order to become a successful forex trader, you first have to be determined. Are you willing to "paper trade" for months and months in order to test out your system? Are you willing to crunch data every night, even though you may just feel like lying on the couch? How determined are you to make a winner of yourself in the forex world?
Next up - adaptability. Whether you trade forex in Canada or forex in the United Kingdom or forex anywhere else, you need to have the ability to adapt. Things will work now might not work in the future. You can not become tied to one way of making money, or else you will be running the risk of blowing up your account over the long-term. It's important to be determined, but you mustn't be stubborn when it comes to trading patterns that no longer work or positions that are losing more and more money by the day.
Lastly - hard work. How hard are you willing to work to get ahead? Are you willing to work when your favorite show is on TV? Are you willing to work when it's nice and sunny outside? Are you willing to work when you are feeling sleepy?
Sure, other things matter as well. Things such as proper trading tools, a proper computer set-up, enough capital in your accounts to comfortably trade without constantly worrying about going broke, competitive commissions, etc.
These things are all important, but nothing is more important than determination, adaptability and hard work when it comes to becoming a successful forex trader.
Filed under: General Knowledge