Most online Forex trading courses cover the technical aspect of trading while forgetting to teach the psychology of trading itself. When looking for the ideal ”learn to trade Forex online training course”, make sure that the course you’ve picked out teaches how to condition the mind to think like a professional Forex trader.
The reason why am writing about Forex trading courses is because not every trader is comfortable with an automated Forex trading software.
Some people are just wired to be hands-on traders, and no matter what they do, the idea of letting an automated Forex trading software trade their account is something that will never appeal to them.
If you’re that kind of trader, there are things you can do to yourself to boost your trading results or even change your trading completely.
After learning the technical aspect of Forex trading, we learn the psychological part, which often involves changing how we think and behave towards the Forex market.
You see, when I started trading 7+ years ago, my mind was not conditioned to think like a professional Forex trader.
I could place a trade, then sit there watching the price of the instrument as it went up and down.
I would be tempted to move my stops several times a day.
That trade would torment me until I was out of the trade, either in profit or loss.
If I came out with profit, I would feel very happy about myself. It would give my confidence and ego a big boost.
The next day, I would enter another trade. This time round, I would lose, despite entering this trade after making all the necessary considerations just like in the previous trade the day before.
What was I doing wrong?
Part of the reason why I was failing was because I was over-confident. As a result, this was clouding my judgement.
But the most apparent problem that I was suffering from was not in how the trade was being executed. It is how my mind used to think about the Forex market, consequently influencing my behavior.
I instinctively knew that I was trading a too big position size to feel comfortable about it.
That must have contributing to me seating in front of my computer to stair at the Forex chart all day long.
While making that mistake, I ended up moving my stops several times.
As you can see, monitoring a position all day long didn’t help improve my trading results.
Instead, I just become frustrated and exhausted with hours of monitoring my trades.
I know you can relate to this. You check your computer or phone, then go to bed (when things are in order) only to wake up in the middle of the night thinking about the trade.
I call it ”destructive behavior”. If you adapt it, it will affect your lifestyle, ultimately leading to more financial and mental problems.
Don’t just subscribe to any Learn to trade Forex online training course
Allowing yourself to be tormented by this destructive mental loop is dangerous for your health.
So, why does this happen to new Forex traders (it can also happen to traders who use automated Forex trading robots)?
[mks_icon icon=”fa-check” color=”#1e73be” type=”fa”]You are trading a large position size which makes you worried of losing the money.
[mks_icon icon=”fa-check” color=”#1e73be” type=”fa”]You have not instilled the discipline and mindset of a professional trader. You are essentially gambling in a casino because you have not learned how to trade properly.
[mks_icon icon=”fa-check” color=”#1e73be” type=”fa”]You are addicted to trading. Your brain loves the feeling that comes with dopamine rush as a result of entering a trade which could potential make you money yet you’re uncertain.
Learn to trade with proper position sizing
Beginner traders who prefer hands-on approach to using automated Forex trading robots gamble with the whole farm with the thought that they’ll make more money quickly.
You should quit entering a single trade with everything you have in that account if you already haven’t stopped the bad habit yet.
The truth of the matter is that if you’ve been trading for 1 year, you are still a newbie who doesn’t understand the game quite well.
When you are coke sure that you don’t need lessons like these, you can enter the market, leave the trade alone and sleep soundly.
But if you are still risking 30% of your net capital on a single trade, there is no point in you proceeding without further training.
It has often been said that you should never risk more than 2% of your trading account on a single trade.
Books and other ”learn to trade Forex online training courses” have often said so.
But I still don’t get it how on earth some folks jump into the market with a $10,000 account and risking $200 on a trade.
You cannot succeed this way until you experience what a successful Forex trader has to go through to become a millionaire trader.
Instead of pursuing this ridiculousness, you can live to see another day in the Forex market by preserving your trading capital and only trading small positions.
What you choose to risk should be in line with your trading capabilities as well as your mental state.
You can sleep better if you know your limits
Do not follow what people say about risking 2% of your account size.
I want you to risk what you are comfortable losing.
If you know the limits of your mental state, you can sleep better at night without being haunted by the ghosts of trading an inappropriate position size.
As professional traders, we factor in our income, debts and overall net worth before entering any trade.
We go into a trade when we know that the amount we have risked won’t hurt us if we lose that trade.
There is a simple test which I have devised over many years of trading the market. I have learned that if I can fall asleep at night and remain asleep without being disturbed by the trade, that means I have risked the right amount that is line with my mental limit.
The amount to risk can be different for each trader. I do not know about you.
Since the market will always be there, you don’t need to rush and fear that you will lose the opportunity to jump into the next opportune trade.
You need to start trading smaller position sizes properly. If you can do so, it means you can handle a bigger position sizes too.
Building your confidence
A lot of ”learn to trade Forex online training courses” won’t teach you this:
That if you have fallen along the wayside, such that your trading discipline and consistency is in tatters, you can implement the following to get back on your knees….
Remove your doubts and fears.
It’s going to be an uphill task if you have lost a lot of money as a result of entering trades and losing with each trade you enter.
At this point, you don’t need any learn to trade Forex online training course.
What you need is enough mental exercise to instill the correct habit in your trading.
Until this happens, you will not build confidence. Fear will still be a part of you. when you think about the Forex market.
To condition your mental status, try placing 10 trades in a row.
Make sure to set and forget those trades while considering that you entered these trades using your trading edge.
Believe in those trades and don’t tamper with them. Don’t look at the chart until all trades have matured.
This will build your confidence as a result seeing your trades winning rather than losing.
While most learn to trade Forex online training courses don’t teach this lesson, I aim to teach my students the mental aspect of trading..
Many years of trading experience has taught me that it is of no good equipping yourself with the technical aspect while ignoring the psychological aspect.
Join me and my students in the members area to learn more.
Also, please drop your comments and opinion below