Here’s how you can be…
Remember Jordan Belfort from The Wolf of Wall Street? The cunning stock broker who managed to turn his life around and lived a lavish life filled with yachts, race cars and a bottomless wallet? Well, there is something that might, I repeat, might lead you that living standards and the best part is: it is absolutely legal! Yes, I am talking about Forex Trading. You are not held within the chains of status quo, no beer-bellied bosses tormenting you. This is the job where your skills can take you the extra mile.
Now the question is, how can you be THE Forex trader? There are countless Forex traders spread across the globe, but what gives you that competitive edge in order to separate you from the mass and take you to the heights of Stanley Druckenmiller and George Soros? Well, spare ten minutes of your time, read what’s below and I promise you that one of the best Forex traders will already be in the making once you’ve finished reading it.
#1. Learn your ABCs well
The wise Chinese philosopher Confucius once said “the man who moves a mountain begins by carrying away small stones.” And the moral is – learn the basics. Try to read books or attend seminars on Forex trading. And if that’s not possible then there’s always the mighty Internet to help you out. The internet is filled with millions of How-Tos and Youtube videos by professional Forex traders who know their stuff. Open a demo account and hone your strategy before advancing to live trading.
#2. Be Disciplined
Did you know that Kobe Bryant of Los Angeles Lakers used to arrive in practice at 5 AM and left for home at 7 PM? Yes. And that is exactly what has made him the legendary Black Mamba. If you don’t have that drive, that work ethic and that laser focus – then Forex trading is not for you.
Work hard, devote time to analyze chart patterns and master your trading with fundamental and technical analysis on a daily basis. Make mistakes and treat it as a learning experience. Only then will you able to reach the apex of success.
#3. Be Patient
I know it’s pretty alluring but learn how to hold your horses. Many start trading because of the distant charm of earning millions but ended up losing more than they could’ve ever earned. Why? Two reasons – they gave up or they went with their emotions.
As I have mentioned before, if you are here to give up, then it’s better not to have started it in the very first place. If you’re looking for an emotional roller-coaster take up skydiving, not Forex trading. There is a famous saying in this circuit: “be passionate about Forex trading, except when trading.”
Numbers never lie. So in order to make the most out of it, be patient, be logical, trust your software, follow the chart and success will be heading your way sooner than you expect.
#4. Don’t Go “All In”
This is not poker. Learn to take calculated risks. Never risk more than you are willing to lose. Invest enough capital so that you can ride out losses and no single trade will make or break your financial situation.
But that doesn’t necessarily mean that you won’t take certain risks. The point is NOT to be greedy. If you have the proper knowledge, and the past experience then it is absolutely okay to take a leap of faith.
#5. Run SMALL but EFFICIENT Accounts
This right here is the solution to the problem that was mentioned in the previous point. Instead of running one gigantic account, try to run a few smaller accounts. In that case it will help you to take smaller risks and you can also avoid being greedy and the best part is, you can get priceless information and experience with less at stake.
#6. Record and Analyze
It doesn’t matter whether you are a beginner or not, you will always need to keep track of your activity. The Forex market is full of data and if you fail to recognize the pattern then it’s like being stuck in maze. Plus, recalling your “best shots” on depressing days will give you a confidence boost like no other!
#7. Know Your Motive
Try to understand your inner reason for starting Forex trading. Set your goals and set a benchmark. Write the reasons for starting in a journal.
And the ultimate goal should not be to become ahead of someone else, but be better than who you are today. Every trader has their own perception of the market, so it’s ridiculous to get into silly competition with someone else. Instead, invest time into getting your techniques right and gaining more knowledge regarding the trade so that your goals of making it to the top can be achieved.
#8. YOU Matter
The one who will be going through hours of analysis and calculation is you. Try to give yourself a break. Reward yourself after a long successful day of trade. Make sure you get plenty of hours of sleep and try to remain healthy. Try not to be a robot, but try to be a trader with a laser-like focus instead.
In all, it can be said that Forex trading can surely give you the best excuse of quitting your current job or investing all your lifetime savings but remember, once you’re in this thing, the only way you can move is forward. This is not the field where your charisma or your looks will earn millions. This is the place where you can earn unimaginable amount of money through proper analysis of the charts, noting the trends, practicing discipline, and most importantly, having full faith in yourself. Happy trading!