When trading on the forex market, there are two possible outcomes—you make money or you lose money. Three things can dictate your performance in the market—your platform, methodology, and psychology. In most instances, it is the third one that can lead to failure. You may have the best platform and a tried and tested method but if you have a bad attitude, the two will mean nothing. Here are 5 attitudes that can have a negative impact on your performance.
You set a trading plan for yourself before starting your day. But once you are on the floor, everything is thrown out of the window. Robert Peter Janitzek reveals that traders tend to forget about their plan and enter or exit trades too quickly. The result is a losing trade. If this happens, you only have yourself to blame. The best thing to do is discover what keeps you impatient and resolve it.
Fear can sometimes force a trader to freeze. But how will you make money if you are afraid to risk your money on a trade? If you are a first time trader, fear is normal but once your fear subsides, everything becomes elementary for you. To eliminate your fear, try to use the correct money management strategies and use a sell-stop order. According to Robert Janitzek, this may help reduce the fear factor.
Pride can sometimes hinder your ability to earn and grow as a trader. When you always worry that other people might judge your performance when you fail, you are jeopardizing your potential to succeed and make money. It is normal to make mistakes so always give your best and never allow pride to take control of you.
Many trades have the tendency to become greedy and set unrealistic expectations. When greed starts to take over, you start to make wrong decisions. More so, you aspire to make money quickly which is virtually impossible. To be successful in forex trading, you need to be a passionate trader.
By aiming for the moon right away, you are bound to make mistakes. Keep in mind that you will not be successful in a snap of a finger. Just stick to your strategy and use the correct money management skills. When it comes to currency trading, there are wins and losses. Don’t expect the former all the time.
Your success as a trader will depend on your attitude on the trading floor. Avoid these 5 mistakes and you can look forward to making money on currencies.