Don’t Give Up On Your Forex Trading
In this video:
00:35 – Start small and get yourself educated
01:32 – People are too quick to give up as soon as it goes wrong
02:14 – Don’t give up – you need to control your emotions
02:56 – You cannot control the market
03:44 – I’ve posted daily trades for 7 years consistently
04:32 – Daily trade suggestions up more than +36% for the year so far
05:30 – You will get losing trades – it’s a fact of trading
Giving up Forex Training should not really be an option for you. Let's talk about that, and more, right now.
Hi Forex Traders, it's Andrew Mitchem here The Forex Trading Coach. This is video and podcast number 199. In this video and podcast, I want to talk about why you should not give up trading.
It depends on how long you've been trading, depending on which side of the fence you're on.
Start small and get yourself educated
You see, each week I get a huge number of people come to me and they say, “Look Andrew, I'm new to trading. I've never traded before, but I think that I'm going to be really good at it and I think I've got the personality to be a great trader and make all this money and give up my job. I'm just going to be so good at trading, what do you think?”
I say, “Well calm down. You've got to be real about this.” Because people think that just because they're good at one thing means that they can just suddenly give it up, jump into trading and be perfect. A lot of the time this is against what they want to hear, of course. They want me to go, “Yay! Go for it! Fantastic!” I say, “Yeah, go for it. Wonderful. But … Start small, start on a demo account, get yourself educated, get yourself a system, et cetera. Go through, get bigger, go live, be consistent, and then yes, you'll figure out if you can trade or not.”
People are too quick to give up as soon as it goes wrong
The other end of the scale, we get people who have been trading for a long time and it just doesn't work. It's all wrong, I'm going to give up. It's my broker's fault. My computer's fault. My wife's fault. The dog's fault. Doesn't matter whose fault it is, but it's everybody else's fault. I've been doing it for so long, and I've just had enough and it's not working. You get that sort of feedback as well from people. Luckily not clients, these are just people who are approaching me for their last bit of help.
Depending on which side of the scale you are, new or angry, frustrated, annoyed, ready to give up person. I urge you, don't give up. Whichever you're at.
Don’t give up – you need to control your emotions
Because as you know trading Forex is just so fantastic, but you've got to of course have a strategy and an understanding of the markets and make it work.
What you also need is a calm, level head. Keep your emotions under check, under control, approach to trading. Really that is one of the big keys to trading. These people that go, “I'm going to go onto another system and it's doesn't work and it's rubbish! I've had three losing trades in a row, I'm going to change and buy another indicator,” it's not going to happen. Because you have to understand that trading.
You cannot control the market
The markets are out of your control. You have to have a strategy that you can keep trading, keep doing. Being methodical, have a routine, have a plan. All those things together.
Everybody has losing trades, losing days, losing weeks, losing months. It happens. We all have them. We have good trades, and when you have good times and good trades celebrate it. Yeah, it's great, it's wonderful, your account size is growing, you've made some money, wonderful. But do not get greedy with that. Don't suddenly start thinking you're indestructible and you're going to double your position size. “I don't need a stop-loss, I'm just going to take random trades.” You know the end result from that is it will get you in the end.
I’ve posted daily trades for 7 years consistently
You've got to be very methodical, level headed about it. To give you an example, every day for the last seven years on my membership site between 5PM and 5:30PM New York time, Eastern Standard Time, I've posted on my membership site for my client's specific trades based on the daily charts and other market analysis.
There'll be a handful of days in the last seven years that I've not done that. That's completely things out of my control, but pretty much every day of the trading year I post on there for clients; the currency pair we're looking at, the reasons for the trade, the direction, the exact entry and exit levels. What that does is it helps people, my clients, to learn in real time in advance of the market moving. But also to earn from that as well.
Daily trade suggestions up more than +36% for the year so far
If you've done nothing else than just copied those daily suggestions just for this year, just for 2016, from January through to now October, you'd be up over 36% on your account just from copying five minutes, maybe ten at the most, once per day. Not only are you learning how to do this, so that you can then apply the same strategy to any time frame chart, you're actually earning at the same time.
Great things going on there. But bring it back to what's happening in the market; this week for me has been really tough. It's been a hard week. I've got three trades behind me going right now that could take a losing trade into certainly a break even and probably into a profitable week, if those three trades come through and continue the way that they're going so far right now as I'm recording this video and podcasting.
You will get losing trades – it’s a fact of trading
You have to accept that sometimes you will get losing days, losing weeks, losing months.
If I go back through my history, October every year seems to be quite a difficult trading month. I don't know why, but it just does. That's just a fact of trading. But I'm not going to suddenly stop and throw my hands in the air and give up just because I've had a losing week. Because this morning, I took the three trades that I saw, and hopefully those three trades are going to make up for those losses plus some gains, and then get October into a profitable month for me.
That's the lesson there; have a system, stick to it, understand it. Not all the time will it work because market conditions change, and those things are out of your control. What is in your control is the motions, low risk, keeping greed out, high reward to risk, getting a time frame chart that suits you. All those things.
Hope that helps. Really looking forward to joining you this time next week, when I bring you video and podcast number 200. I'll talk to you then.