4 Crucial Principles a Forex Trader Needs to Follow

If your decision to join Forex trading family is adamant then you must know that for trading this biggest market in the world you need the same qualities which serve us in life.

  1. Don’t lie to yourself

    After you missed a trade or placed the one which is totally out of your trading plan criteria, take a necessary break: try to identify the reasons for those actions or non-actions. What emotions lead to this ending? Being truthful to yourself in finding mistakes and correcting them is a big deal of a mature trader’s thinking. Admit that even robots fail, so common mortals leave by mistakes and should learn from them.

  2. No taking personally

    Remember that trading is business and this kind of market appreciates no greed or fear. You must be detached from all of your emotions, opinions, thoughts and take the responsibility for every action of yours. Stop and think! Brokers and vendors which you occur to deal with are not your bar-drinking buddies. They do not love your company as well as your friendly qualities, but want your business. My receipt here: judge any products or industry services in trading as your own business. Consider if a seller is a straightforward enough, track-record, and estimate how accessible and transparent the ownership is.

  3. No guess-work

    Never think of skipping steps, not checking price for indecision (or momentum) when it approaches influential support or resistance lines. Your confidence must be backed up with analysis and certain numbers. And always consider/compare a market’s direction on the correspondent time frames before placing a trade. Hard to track all by yourself? Give a try to Forexeasystems Forex robots.

  4. Give yourself up

    Don’t be late to your trading desk, but come earlier to have some extra-time to get prepared. Do not skip any of the steps when preparing for trading. Try to stay focused and physically relaxed. If you decide to implement new features to your method, back-test them carefully before putting it in live trading. Be smart to eat right and remain healthy not to miss the market acceleration and stay on its top by adjusting your sleep schedule if necessary. Does it seem to be work-like to you and not a hobby? Yes, it certainly does. So it needs from you the same seriousness as anything else you would earn money with.

However, of you recognize these four principles it’ because you may have read Don Ruiz’ book “The Four Agreements.” It’s useful for us, traders, as a base for modeling even more than only our trading behavior.

Published by Editorial Team
ForexPromos Editorial Team is comprised of a selection of hand picked editors that bring you the latest breaking news from the financial markets. We also provide forex educative articles as well as comprehensive fx broker reviews.

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