In my last post about my prolonged summer slump, I discussed the importance of finding the right balance between trading too large and too small of a lot size. In reality, Forex trading is very much like walking a tightrope 500 feet in the air with winds swirling in all directions. Choosing the right lot size is like a tightrope walker choosing a pair of shoes that fit properly. Sure, it’s important, but there’s a heck of lot more work to be done. Here are 12 competing interests that Forex traders have to balance against each other at all times:
If you have been trading for even a month or two, I’m willing to bet you have run into most, if not all of these dilemmas we face on a daily basis. Heck, we could easily add a ton more examples to the table. We could spend hours discussing the nuances involved discussing the different issues we must balance in our trading. For now, I think it is important to remember that becoming a successful trader is not a matter of pulling a huge trade or having a great week where you’re up 100+ pips. Yes, of course you have to be able to read the market and pull positive trades. However, a truly successful trader is someone who repeatedly and consistently makes great decisions day in and day out.
When you consider the dozens of subtle twists and turns that we must successfully navigate during every session, it is no wonder that most people fall off the tightrope and never get back up. However, we have some tremendous advantages over the general public. Unlike 99% of retail traders: we are taught to understand and follow the market makers’ business model… we have the virtual classroom at our fingertips… we receive incredible support from the Fx365i instructors… we are welcomed and encouraged by the community development team… and of course we have great support from our fellow traders at the institute. As someone who has been struggling mightily as of late, I am taking a deep breath and focusing on making great decisions. As long as I’m still up here on this tightrope, I’m going to keep working on becoming more nimble in my decision making and stabilizing my balance.
I absolutely love hearing from my fellow traders. Please reach out to me at firstname.lastname@example.org if there’s ever anything you’d like to discuss.