To make a trade with a realy major lot that may blow your account at 1 transaction you have to be realy a large I**ot.I dont think that it the MM the issue however its the overtrade.Just my experience thought .
To make a trade with a realy major lot that may blow your account at 1 transaction you have to be realy a large I**ot.I dont think that it the MM the issue however its the overtrade.Just my experience thought .
Lack of awareness, like myself. Trading for 2 years and I know more. When I began with this I just saw a buy and sell button. Lost a lot of cash because I did not understand what I had been doing.Originally Posted by ;
1 Attachment(s) Picked it up from other thread, if place it here
https://www.forexforum.co.za/trading...mendation.html
I wrote this to myself, I was annoyed with my most recent trading efforts., which was pretty good until I got cocky recently.
How complied is trading? - (a deadline and memo to myself)
Really, that is just one easy question to answer; #8220;it#8217;s a slice of cake#8221;, lets try a different one!
#8220;Just how complied is a trader#8221;, today that#8217;s a little more challenging#8230;
Ask your partner who doesn#8217;t trade the markets,
#8220;Which way should I goup, or down#8221;?
Last time I did this with somebody they said#8230;
#8220;This easy, can#8217;t you notice, the trends down #8221;.
Subsequently explained#8230;
#8220;This#8217;s not difficult to perform, will you show me the way to establish my own trading account#8221;.
Followed by#8230;
#8220;I#8217;m convinced I can do slightly better than the miserable yearly 1 -2 percent my bank pays#8221;.
His commission expectations, I thought where quite sensible and maybe very attainable #8220;What are my expectations when I make a trade#8221;?
(I know#8230; I thought to myself, I have been having delusions of grandeur recently, thought I could double my account in six months). I#8217;m sure some people can do just that, but I#8217;m writing this as a reality check for myself, to myself, because I am#8217;t do it#8230;
Truth is my buddy didn#8217;t know what time frame it had been, the currency pair, or how to even go about initiating a transaction, and he wouldn#8217;t he.
We looking at the daily chart, and the next day the market moved further down with the fad, as he'd proposed, and down a couple of days later, would had given some fantastic profit.
My buddy was correct, trading must be easy, because he managed to tell me the trend was down, therefore trade that path, don#8217;t make it any harder, its not rocket science is it, and remember he doesn#8217;t really know anything about trading.
So that it must be the fool person with all the trading account which makes it so damn difficult - that #8217;s me of course.
Why? Expectations...
Clearly, markets don#8217;t always do what you expect#8230; it had been trending upward so that you entered, but now it#8217;s moving side ways, okay, allow#8217;s see what happens, or#8230;today it's#8217;s moving towards the stop loss.
BUT#8230; when the majority of what you #8217;re looking at on the display is stating the trend is shing down, or up, or sideways, then don#8217;t damn well contend with it , It#8217;s a damn train you idiot, you can#8217;t prevent it#8230;
Go with the flow, learn a very simple way to time a entrance, together with the fad, and if your timing was a tiny bit off, well the trend may just potentially save your sorry arse anyway.
Consider this, there#8217;s just twice it is possible to be wrong following a fad#8230; in the end of an upward trend#8230; or in the end of a downward trend.
Shit happens, when the current trend looks like it#8217;s now over, incidentally it may not be #8230;but could still hit your stop loss, you followed the established trend, you did all you can, you wherever just unfortunate, the market does what the market does, its simple, don#8217;t fight itwithout any anxiety, search for second trend to trade. No rush.
That is so simple; we can ch a fantastic middle chunk of this fad, our stop loss size is fair, the market has room to breathe.
We're#8217;t predict the future, but we can try to acquire probability on our side, ensuring the next entry is obviously with the current established trend.
With regards to expectations, you#8217;re not wanting to make a small account do a lot of work are you? You know, silly risk, tight prevent loss, enormous stress. Some can do it, I#8217;m pretty convinced they can, but its not mepersonally, that#8217;s for sure, hell, truth be known, I probably shouldn#8217;t even be trading.
And people damn emotions, well, I just appear to suffer those feelings when I#8217;m with big risk on a small account, and we know the reply to that you don#8217;t we#8230;
As you invest more time researching the markets, the harder and more complied it seems to become, occasionally now second guessing your initial notions as the indecisive rot sets in.
Principles of trading are, expertise, wisdom and method, has to be #8230; so that you are able to searched the chaff from the wheat, but all the information your learning can actually mess with your mind in a very negative way, nicely #8230; it will if you allow it, and can prevent you trading profitably.
What exactly does this mean #8230;?
Well by the writings previously, it#8217;s really very straightforward, the markets aren't always prepared and obliging to adapt a successful trade, therefore before we ever put a transaction, we set what the market is currently doing, is it trending? If it is, we trade it, but if it#8217;s moving backward, go and do something else for a while.
Our expectations need to be fair or we loose to frequently#8230;#8230; to make an adequate sum of money from a single trade, we need to get a proven profitable system, of course, and a very, very decent account dimensions. Simple as that, and use a fair 1-2 percent of the account per trade, along with the wins are a value while reward for that quantity of risk and also our available trading time.
We rinse and repeat we can, because we learned how to trade many years before in our trading career, ah yes#8230; you mean that small account with small risk, the one which you handled and worked to constantly build on and prove to yourself that it is possible to trade.
Well you wouldn#8217;t risk a huge account until you new how to trade successfully could you#8230;great, I#8217;m glad you understand that.
Until all#8217;s available to you, all you can do is learn to trade and manage a small account in a constant and profitably way, prepared for the big one.
Please don#8217;t ask me where the huge account is coming from, all I know is...
The brokers like individuals with small accounts as well#8230; I wonder why?
No plan ,egy,money management and risk management is the main cause of Earning money Forex. Greed is also hurt our commerce and we could loose our money so we ought to always control our greed throughout our trade.
Revenge trading needs to be up with all the other reasons.
By way of example if a trader took a slightly larger than normal position for example risking 5 percent and was stopped out he/she is the driven by the urge to make up losses. Unfortunately instead of taking a step back and awaiting the upcoming excellent trade in a minute they're back in the market with an even bigger position so they could make up there losses and return to profit.
What you see will be martingale egy that's been adopted due to the trader not accepting the initial loss. One or two trades where they increase the lot size will lead to complete blowout.
I find you join in the calendar year 2007 now it is 2014, that's roughly 6 years of experience to you.Originally Posted by ;
By today you SHOULD have the ability to see the market like it is 2nd nature, you're suppose to know all there is to know about the market now...
sinceyou stated: was pretty good
But your greed get in the way again, which trigger your anxiety...
How about I give a simple solution which will solve your shedding issue.
#1 You want to get a job (to alleviate the stress of having to earn money forex, and a project can deposit large money into equilibrium)
#2 You want to play using an account which is higher than $9,000$ to deal with your covetous self. .
#3 If you feel that you can win forex out of a little balance just like 500$ to even. . .4000$... think again. .
#4 If you dont' have 9,000 off the bat, then it is ok. . Begin A aim of depositing 500$ PER MONTH with your job money....
Finally you'll get to 9,000$...
I am serious those four points... At this stage you're ready to beat the market not playing with miniature balance and overleverage...
you're able to play medium risk with a major balance and have a lot easier future...a head of you.
1) Incorrect, low capital is how new traders should begin, but in the same time scale your standing appropriately to your balanceOriginally Posted by ;
2) Agree
3) Not correctly defined, as greed is also a fantastic motivation tool, so I dont think greed itself is poor, but greed triggered indiscipline, that is poor, so wrong there too pal
4) Certainly Agree
-you missed quantity 5
6) Agree
7) Agree
8) Agree
9) You missed the most important one which is: LACK OF KNOWLEDGE OF THE MARKETS!!
Without lack of knowledge how the markets work, why price goes, etc, one is not a trader but a gambler, knowledge separates a professional FX trader from a wannabe FX gambler
The main reason everybody loses is they place themselves in situations which are under different conditions every time they exchange them, causing them to being inconsistent in their own trading decisions and therefore their returns. Put simply, the #1 reason people lose is they aren't consistent.
Traders loose coz of poor money management,system trading and hoping low time frames