hedgehog Posted September 30, 2010 Report Share Posted September 30, 2010 (edited) This is good for general trading, not specific to FX but rules are just the same. Here's a reality check as we slam headfirst into the January markets. The vast majority of retail traders lost money in 2007 and will lose money next year, despite ample doses of education, enthusiasm and brilliant ideas. In fact, at least 80% of all at-home speculators will eventually give up and wash out of the financial markets. How can you buck this enormous tide and make 2008 your most profitable year in the trading game? To state the obvious, the best way to start making money is to stop losing it. In that regard, here are 20 ways to staunch the bleeding and get back into the winner's circle in the new year. Happy holidays, everyone! Don't trust the opinions of market gurus. Remember that it's your money at stake, not theirs. Listen to what they say, then step back and do your own homework. Don't believe in a company. Trading isn't investing, so you need to focus on the price action and forget the balance sheets. Leave the American Dream to Warren Buffett. Don't break your entry and exit rules. You made them for bad trades, just like the one you're stuck in right now. Don't try to get even. This isn't a game of catch-up. Every action you make has to stand on its own merits. Take your losses with detachment and make your next trade with absolute discipline. Don't trade over your head. If your last name isn't Kass or Cramer, stop trading like them. Just concentrate on playing the game well, and stop thinking about making money. Don't seek the Holy Grail. There is no secret trading formula, other than good position choice and solid risk management. So why are you looking for it? Don't forget your discipline. Anyone can learn the basics of the trading game. Sadly, most of us will fail because of a lack of self-control, not a lack of knowledge. Don't chase the crowd. Tune out the groupthink and dance to the beat of your own drummer. Get out of the chat rooms and off the stock boards. This is serious business. Don't trade the obvious. Everyone sees the most perfect-looking patterns, which is why they set up the most painful losses. Simply stated, if it looks too good to be true, it probably is. Don't ignore the warning signs. Big losses rarely come without warning. Don't wait for a lifeboat before you abandon a sinking ship. Don't count your chickens. That delicious profit isn't yours until you close out the trade. Trail stops, take blind exits and do everything possible to get that money into your pocket. Don't forget the plan. Remember the reasons you took a trade in the first place, and don't get blinded by greed or fear when the position finally starts to move. Don't have a paycheck mentality. You don't need to get paid every week or every month, as long as you take advantage of the opportunities as they come. Classic wisdom: traders book 80% of their profits on just 20% of the days the market is open for business. Don't cut corners. There are very smart folks out there working full time to take advantage of your mistakes. Fight back by examining your results, updating your plan and finding working themes for the next session. Don't ignore your intuition. Listen to that calm little voice that tells you what to do and what to avoid. That's the voice of the winner trying to get into your thick head. Don't hate losing. The best traders lose money on most of their positions, so get used to the pain of losing. And there's a side benefit: the losing teaches more about winning than the winning itself. Don't fall into the complexity trap. Traders who can't see the market are looking for it everywhere except in the price action. In truth, a well-trained eye will find more profits than in a stack of technical indicators. Don't confuse execution with opportunity. Expensive software won't help you trade like a hedge fund. Pretty colors and flashing lights make you a more nervous trader, not a better one. Don't project your personal life onto your trading. Trading gives you the perfect opportunity to find out just how messed up your life really is. Get your own house in order before you play the financial markets. Don't think that trading is fun. The trading game should be boring the vast majority of the time, just like the real-life job you have right now. (Source: Right Hard Edge) -edited for better Readings :) K Edited September 30, 2010 by Kardel Sharpeye ⭐ Kardel Sharpeye, Marchello, maddman and 10 others 13 Quote Link to comment Share on other sites More sharing options...
chrisbenjy Posted September 30, 2010 Report Share Posted September 30, 2010 I agree with all of these except number 20. I find it fun and that is what gives me the determination to try to succeed in the trading markets. That delicious profit isn't yours until you close out the trade I agree with this. But also, profit isn't yours until it is withdrawn. If the money is still in your trading account then it is still at risk and is just capital. Quote Link to comment Share on other sites More sharing options...
hedgehog Posted September 30, 2010 Author Report Share Posted September 30, 2010 But George Soros was quoted the following "If investing is entertaining, if you're having fun, you're probably not making any money. Good investing is boring." And after many years as a stockbroker and investment manager, I tend to agree. Quote Link to comment Share on other sites More sharing options...
chrisbenjy Posted October 1, 2010 Report Share Posted October 1, 2010 I guess it's just one opinion. But I would not think of trading as a chore. I think of it as challenging and stressful, but on the whole I still enjoy it. I take the emotion out of it when I make decisions though, but I enjoy analysing charts and interpreting economic releases. Quote Link to comment Share on other sites More sharing options...
Roels Major Posted October 2, 2010 Report Share Posted October 2, 2010 Not to trade anymore.....how is gonna be....you still losing your money...... Quote "You Ain't Seen Nothing Yet!". Link to comment Share on other sites More sharing options...
Chowblower Posted October 10, 2010 Report Share Posted October 10, 2010 Good post. It's all true Quote Link to comment Share on other sites More sharing options...
superdata77 Posted November 1, 2010 Report Share Posted November 1, 2010 Thanks for your great sharing Quote Link to comment Share on other sites More sharing options...
conglo Posted November 1, 2010 Report Share Posted November 1, 2010 How to make a small fortune trading forex- start with a large fortune Quote Link to comment Share on other sites More sharing options...
Gott Posted December 13, 2010 Report Share Posted December 13, 2010 Don't seek the Holy Grail. seems to be really easy. but unfortunately not Quote Link to comment Share on other sites More sharing options...
tommy0921 Posted January 4, 2011 Report Share Posted January 4, 2011 Forex Trading Thanks for sharing those great advices. I've just jumped in to Forex Trading field 2 weeks ago on fxdialogue. So far I'm still on the learning process so your advices really help me. I appreciate it. To sum up, it's like the way Warren Buffett did. People think that Warren Buffett always takes high risk investment. However, he said "It's not risk when I know what I'm doing" (I think his viewpoint can apply to forex). I think we've better to know deeply before we invest to keep low risk. Take 100% responsible to what we are investing. Do "homework" and refuse to listen to "hot tips" which are normally showed not in the way as the reality is. No one care about your money as you do. Quote Link to comment Share on other sites More sharing options...
shabz Posted January 4, 2011 Report Share Posted January 4, 2011 (edited) 17. Don't put too many indicators on your chart. Don't overcomplicate things. Can't see the wood for the trees. I agree with Chrisbenjy, When you enjoy what you are doing, it's not work. Making money becomes a side spinoff. Edited January 4, 2011 by shabz Quote Link to comment Share on other sites More sharing options...
shunshi88 Posted January 27, 2011 Report Share Posted January 27, 2011 this is really a good advise. Thanks a lot. Quote Link to comment Share on other sites More sharing options...
befreeforex88 Posted February 21, 2011 Report Share Posted February 21, 2011 Thank you very much for your sharing. You can also visit more here: http://www.freeforexgifts.com, also good information for you. http://www.freeforexgifts.com/images/fxprofitblueprint.png Quote Link to comment Share on other sites More sharing options...
WmWm Posted February 24, 2011 Report Share Posted February 24, 2011 [quote=hedgehog;106174 [*] Don't think that trading is fun. The trading game should be boring the vast majority of the time, just like the real-life job you have right now. [/i] my work is not boring. the same thing with trading :) Quote Link to comment Share on other sites More sharing options...
DooMGuarD Posted March 6, 2011 Report Share Posted March 6, 2011 only there is a way not to lose money... he has not to lose .... if you want money ... it will be disposed losing it sometimes ... but not always... :):) Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted March 14, 2011 Report Share Posted March 14, 2011 Thanks for sharing bro... :) Quote Link to comment Share on other sites More sharing options...
Marlin30 Posted March 18, 2011 Report Share Posted March 18, 2011 (edited) Very effective suggestions... Infact It is true that trading on obvious makes less profit and also leaves you with no gain. You should trade while you see that the circunstances are favourable for you. Edited March 19, 2011 by Marlin30 Quote Link to comment Share on other sites More sharing options...
fully-loaded Posted March 19, 2011 Report Share Posted March 19, 2011 even if all the odds seems good to trade the market still remains unpredictible a few times Quote Link to comment Share on other sites More sharing options...
fxdigger Posted March 24, 2011 Report Share Posted March 24, 2011 great advices... thanks :) Quote Link to comment Share on other sites More sharing options...
wirefax Posted April 1, 2011 Report Share Posted April 1, 2011 Hi, friends .... Should I start a newbie in forex?* Quote Link to comment Share on other sites More sharing options...
ikan lele Posted May 2, 2011 Report Share Posted May 2, 2011 17. Don't put too many indicators on your chart. Don't overcomplicate things. Can't see the wood for the trees. I agree with Chrisbenjy, When you enjoy what you are doing, it's not work. Making money becomes a side spinoff. i agree, about this.. use the indicators that truly understood. don't ever follow with others poeple Quote Link to comment Share on other sites More sharing options...
mantkinth Posted May 4, 2011 Report Share Posted May 4, 2011 Thanks for the tips! Very informative if i say so myself Quote Link to comment Share on other sites More sharing options...
4rexfish Posted May 4, 2011 Report Share Posted May 4, 2011 well i have question about the 2nd point. I have heard that in trading we have to depend over companies. Is it true? Quote Link to comment Share on other sites More sharing options...
AllThings4X Posted May 5, 2011 Report Share Posted May 5, 2011 Thanks for all the tips.. Very informative indeed. Quote Link to comment Share on other sites More sharing options...
Jonathan Groff Posted October 19, 2011 Report Share Posted October 19, 2011 I would really appreciate your great ideas. Its very valuable piece of knowledge. I am totally agree with your suggestions. All the gains and losses depend upon ourselves and if we keep these points in our mind then I must say we will never lose the game. Quote Affiliate ProgramForexaffiliatetradingprogram Link to comment Share on other sites More sharing options...
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