Have you been trading too long to quit now?
In this video:
00:27 – Not making money but been trading too long to live up
01:00 – Trading journey
01:15 – The blind leading the blind on the forums
02:05 – Over reliance on indicators and robots
02:25 – The next big shiny object
03:18 – What can you do to fix the issue?
04:00 – Chopping and changing the way you trade
04:18 – You need a plan
04:55 – Get onto one of my free webinars to learn more
Do you find that your trading is just not working? You're just not profitable, but you've been in this game too long to quit.
If that's you, listen up, got some great news for you.
Hi Forex traders, Andrew Mitchem here, the Forex Trading Coach. Today is Friday, the 3rd of June.
Not making money but been trading too long to live up
I want to talk about an e-mail that I've had from a guy called Peter over in Australia, and it's a big, big problem, and it's a big issue that so many people have.
People are feeling that they're just not making money, they're unsuccessful within their trading, but the problem is that they find as they've been in the game, they've been trading or looking at trading, whether it be just as a hobby, or sort of part time, or even try to go full time.
They've been trying to trade Forex for just too long to quit now, you just cannot justify quitting now because it's just a waste of time.
They're in that time of their trading journey when they just don't know what to do. Now, a lot of that comes back to the issue of so many people they rely on forums and quite honestly, the vast majority, not all.
The blind leading the blind on the forums
But the vast majority of forums are where you find the blind leading the blind because in most cases, the forums are basically populated by people who are not trading or they're not successful trading, but they're more than happy to tell other people who come into the forums either how easy it is or how to do it.
They've always got an opinion and you'll always find that it doesn't matter what thread it is, what forum site you go on, that you go back after several weeks or several months and the person who started that thread or forum is no longer contributing with this. Had their guts full of people just sort of taking over, of changing the whole logic of what they originally asked. That just happens all the time, always has done and likely always will. Be really careful with forums. Yes, they can be useful in some ways, but the vast majority of times, it really is the blind leading the blind.
Over reliance on indicators and robots
You then get people who have an over the lines on indicators. People who bought robots, people who bought e-books, who have bought news feeds, who have bought bot testing software.
The next big shiny object
All these type of things, people just get so consumed in the next shiny object and it is a big problem. Look, I've been there myself many years ago and I know exactly how you feel if you are in that situation right now.
The other problem of course comes when you think, “I cannot quit now. I know so much about trading, I'm almost there.” Yet, when you think of the real life what's going on, you're wasting so much time or spending so much time watching charts within your trading. You've spent so much money or wasted opportunity of not earning money elsewhere. You've probably either got a grumpy wife, grumpy husband, grumpy kids, whatever it is, because you're just spending all this time just staring at charts moving up and down or waiting for that next news announcement. It is a big, big problem for yourself mentally, financially, relationship-wise.
It's a big, big problem. Absolutely, it is.
What can you do to fix the issue?
What can you do about that? Really, that's what it comes back to. For me, the problem with most traders that I see is that they don't have a good strategy to start with, they don't really understand the market, they don't really understand themselves, what type of trader they wish to be, and they are very, very quick to quit. People just see that go live or that go demo, or live real trading. With a strategy, with a new idea, and all of a sudden it doesn't work. Back testing it made me a million dollars, but in real time, three or four trades worked or this week I've had a loss. Whatever it might be.
Chopping and changing the way you trade
Then they start fiddling again and they go back and they start going back to the forums and seeking advice so they're adding another moving average or some form of indicator, or changing the time frame of the chart, whatever it might be. That's a big, big problem.
You need a plan
People are just too impatient so it really comes back to having a plan. Now, a plan in all sorts of life is so important and in trading, it's absolutely no different.
You need to understand what type of trader you wish to be. You need to understand what time frame charts you are looking at trading. You need to understand what currency pays you're looking at trading. When are you going to look at the charts, at what time frames are you going to trade, what's your entry plan, what's your exit plan, what's your money management plan? All those type of things you need to have that plan. Although that sounds easy, obviously for most people it's a very difficult thing for them to put together.
Get onto one of my free webinars to learn more
What you might be interested in doing is jumping onto one of the free webinars that I hold each week. I hold a webinar for people who are brand new to trading or people who have been trading for less than six months and another type of webinar for the more frustrated, more experienced trader who's been trading for six months or maybe up to six years, and everything in between. It can really help you because if you're new to trading, you're going to have different issues, different problems to someone who's been trading for a while who understands the market more, but who's really frustrated with your trading.
Pick which type of webinar is going to best suit you, either a new trader or a more experienced trader. Jump on to one of those and I'll be sharing heaps of really good valuable information to help progress your trading and take you to that next level.
This is Andrew Mitchem from the Forex Trading Coach, I look forward to talking to you this time next week.
I'll be bringing you more Forex information on the video and podcast. Have a great weekend.