Forex Trading Training – Characteristics Of Great Forex Traders Part 5

In our last Forex Trading Training instalment on the characteristics exhibited by top Forex traders, we will have a look at the importance of learning to become an excellent money manager, accepting the uncertain nature and risk that comes with Forex trading and finally the significance of trading with risk capital.

Firstly, to be successful in Forex trading you must realise that all top traders are not simply traders but also outstanding money managers. Their success in trading comes from their way of thinking as well as the approach they take to managing their money. The foremost aim of top Forex traders is not to make money trading; instead they seek to protect their capital (by always using a stop loss and moving that stop loss to breakeven as soon as the conditions are right to do so). Only after this single objective has been met do they use their trade management techniques learnt on a Forex trading course to capture as much of the move as they can. Contrast this to a consistent loser who does the complete opposite. Novice or stubborn traders can fail because they focus on how good a trade looks, how much money they can make on the trade and finally not quantifying their risk so that if the trade does not play out as they expected they can at least survive to trade another day. By doing all of this, they create room for emotion to creep into their Forex trading and as we already discussed in our previous articles, emotional trading is our best recommendation for blowing up your Forex trading account.

Secondly, top Forex traders know that even with all the testing of their proven strategies and their vast knowledge of both fundamental analysis and technical patterns acquired in their Forex trading training, the outcome of every trade is unique. Knowing that Forex or indeed any other type of stock market trading involves risks and uncertainty they are able to use the power of risk and money management coupled with all the other qualities discussed earlier to increase their odds of winning in the markets. What many consistent losers are yet to realise is that although they pay lip service to fully accept the risk that comes with trading, they allow themselves to believe that the trade they are in at any given moment will be a winner. However, when they realise the trade is not a winner they become disappointed because of their expectation on the trade. Next time you are in a trade, ask yourself what your expectations are for the outcome of that trade. It is simple, it should be \”I will try my hardest to not lose money\”. It should not be \”I want to make 300 pips on this single trade\”.

Finally, all great traders who have evidently been on a Forex trading course trade with money they can afford to lose. If you imagine a novice trader, they expect to pay their rent, bills and generally afford a good lifestyle by trading a small account, leaving themselves open to emotional trading; taking quick profits and huge losses due to their hope the market will return in their favour. Because great Forex traders manage substantial corporate funds, although not fully eliminated, the odds of falling into the trap of emotional trading are eradicated to allow the trader to focus on the most important thing which is to NOT LOSE MONEY.

Dragan Lukic is a trader and an expert on Forex Trading Training. Please visit the Forex Training Worldwide website for more details on our Forex Trading Course.

Dragan Lukic is a trader and an expert on http://www.forextrainingworldwide.com Forex Trading Training. Please visit the Forex Training Worldwide website for more details on our http://www.forextrainingworldwide.com Forex Trading Course.

Author Bio: Dragan Lukic is a trader and an expert on Forex Trading Training. Please visit the Forex Training Worldwide website for more details on our Forex Trading Course.

Category: Finances
Keywords: forex trading training,forex trading course,characteristics of great forex traders

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