4 Tips That Profitable Forex Traders Stay Motivated In Forex Trading
As a forex trader, your trading route can be rewarding yet challenging at the same time.
Everyone wants to be a winner in a competition. Same goes for forex trading, no one likes to lose money at the end of the day.
However, most people see this as a method of earning QUICK bucks (hoping they can turn millionaire overnight, I kid you not).
I have seen a couple of acquaintances who did forex trading and boast about how much they can make in a day during their great times, splurged on luxuries that they never thought that they could afford and eventually gave up trading because they lost money to Mr Market.
My boss once told me that
Think Forex Trading as running a Marathon. Suceed by possessing more stamina than anyone else.
and I agreed with him. Forex trading is about making money consistently over the long run. And I realized the problem with most people giving up trading is due to lack of motivation. The hard truth is that we tend to:
- Self-doubt while trading
- The fear of trading failure in the past or even near future
- Lack of trading experience and knowledge to trade
- Keeping quiet and bottling up all your frustrations and helplessness
Everyone has their down times and it is important to overcome discouragement. I like to keep myself motivated, so that I am able to pursue my dreams near future. What I am going to share here is not an exact remedy to overcome discouragement but I think that these are those small simple things that are often overlooked.
View MayMay’s summarized ‘4 tips to stay motivated in forex trading’ in slideshare at the end of post.
Tip 1 : Setting Realistic Goals in your forex trading journey
This is one of the most important practices for motivation because most traders tend to set really high expectations and even beyond their experience and skill level (for example, turning $1000 trading account into 1 million dollars account within 1 month). Let’s face it, it is super unrealistic.
What I do: A million dollar profit within a month is way beyond my level. Of course I can dream about it but that won’t be my goal.
I always like to set a target to hit every week – for example, I try to aim at least 300 pips minimum per week, which will give me 1200 pips by the end of every month. At least 1200 pips per month are still attainable, especially with the help of the Alien Room.
Tip 2: Stop Comparing with other forex traders!
No one likes to be compared with, regardless of exam results, career progression salary, what you have and what you don’t.
Comparing how much you earned with your fellow trader is unhealthy and in my opinion, it is one of the quickest ways to get unmotivated. Why? Because your focus and interpretation is entirely wrong. You should be focusing on your trading plan, taking good care of your psychology and get inspired by success stories and motivate yourself instead.
What I do: I always bear in mind that ‘EVERYONE IS DIFFERENT’, because I can’t replicate anyone’s trading behavior and psychology. Even back then when I started trading, it took me almost 6-7 months to fully grasped the Tflow® concept and made back my course fees. I am a slow learner as compared to my friends who took less than 3 months to get back their course fee.
But so what? At the end of the day, our final goal is the same – which is to achieve financial independence *smiles*
Tip 3: Walk Away. Clear your Mind. Restart.
Walk away doesn’t mean giving up. It is just giving you a time-out session when MR Market can be a little mean and emotions get too overwhelming.
One needs to keep a sane mind while trading, especially when you are dealing with your real money.
It is ok to admit losses for this round but never give up during the ‘down times’. Always remember that Market is always full of ups and downs which are beyond anyone’s control – the only control you have is over your emotions. So walk away, so anything but trading and start again.
What I do: I literally stopped looking at trades for that moment and do something that I makes me really happy (such as playing badminton or even head down to the dog shelter to caress some fluffy animals)
or cry if its making me sad and even laugh out loud over silly mistakes. No one has the right to tell you what’s right and what’s wrong, so go ahead and express out your emotions!
Tip 4: Practice Self-Rewarding – Good Meals For Profitable Forex Traders
Don’t forget that all your effort that led you to a profiting month is worth celebrating. Do treat yourself something nice and that will keep you motivated and to push forward. Once in a blue moon self-indulging can also increase motivation and lessen previous disappointment!
What I do: I go for a good meal at a café or restaurant when I had a good month!
Or even save up portion of the money for my next holiday’s expenses!
Now, share with us on how you stay motivated as a forex trader!
View MayMay’s summarized ‘4 tips to stay motivated in forex trading‘ in slideshare.
Till then, happy trading!
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