August 14, 2017 at 10:08 am #37207adamsmithsParticipant
Do you know the biggest enemy of the traders in Forex industry? It is not the market volatility or too much information that is flooding in your mind. It is you who can put your money in danger. Sounds peculiar, right? Well do not be surprised and we are going to explain to you how traders themselves can become a threat to their trading career in Forex. Many traders in Singapore have lost a huge amount of money due to their false confidence. They simply thought that this is an easy market and they can easily make a huge amount of money by placing random trades. But in reality, trading is only for the experienced candidate who knows how to control their emotion and execute their trade with rational logic.
You always want to trade
You are very passionate about Forex industry. Everything attracts you like a magnet in the financial sector. It is very hard for you to restrain from trading in this investment sector. It is not a problem of your own, it is the problem of many traders. When you are thinking of Forex trading, you get up and place a trade. It is one of the common way traders blow up the trading account. They always blame the Forex market for making it hard to make money and easy to lost money. If you do not agree with us, try to stop from trading for a week. You will find that it is very hard to take a break from the market.
You need to resist the urge in you trade always. If you ever trade the market then you will never be able to survive in this industry. You need to focus on quality trade execution rather than high frequency. If you want to become a successful trader in this industry then you need to develop a strong trading knowledge. Learn the price action trading strategy since it is one of the easiest ways to trade the market. Never trade against the trend rather focus on the market trend and trade with predefined stop loss and take profit level.
Interested in using leverage
Forex trading has an advantage called leverage which gives freedom to all types of traders to trade big on Forex market. If you want to know how it feels when you are trading a large amount of money, you can experience this by using leverage in your trading. This leverage is not a good factor for the traders. When they are using leverage, they lost their mind and make fantasy trades in their online trading platform. They lost and lose their money and also their capital if the leverage is big. Traders cannot restrain them from this amazing leverage. All traders in Forex start their career by investing a small amount. When you are investing small amount of money, you will get your profits in cents. It is almost a mammoth task to make a profit that can be large for you to buy even a can of Pepsi. This is why most traders fall for leverage. They are telling themselves they have a strategy and they will follow it all times in the market, they cannot do it when it comes to Forex. They think of how much money will they make when leverage is used and leverage their trading. They lose and put their capital at risks.
Summary: If you lose money in Forex trading then you are the one who is responsible for all the loss. Without learning all the basic and having a solid trading system there is no point of placing the trades. You need to explore all the trading resources so that you get a clear insight of this industry. Without strong patience and perfect knowledge of this market, you will never become a successful trader.
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