If you were a soldier in the battle field, entering a known war zone where enemy land-mines had been planted, wouldn’t it be very important to you to gather as much information as possible on the whereabouts of known landmines? On top of that, even if your outfit had strong intel, do you think you would continue to exercise some caution as you stepped out on the battle field?
The importance of this analogy can be related to your journey as a student here with the Fx365institute. The instructors, the founders, and graduated students have all been in the ‘battlefield,’ observing and recording many known landmines. The analogy works even further because although these guys have been through many things that you don’t necessarily HAVE to go through yourself, the likelihood is that you will want to learn some of the hard lessons for yourself.
While this doesn’t cover everything, there are a few key things that tend to be the rule, not the exception when learning how to be a PROFESSIONAL CURRENCY TRADER.
#1 – Have patience for the process. Its been said before, it needs to be repeated endlessly. Trading is not get rich quick. In fact, its not even make money very quickly…in the beginning. What if it took 18 months before you could consistently generate profits? But then after 18 months you have a mechanism that can effectively act as a part time ATM.
#2 – Have concrete entries. When you are starting out trading, one of the great illusions is the feeling that in order to be a ‘trader,’ you have to be ‘IN’ a trade all of the time. In reality, the best traders don’t actually place trades all that often. On top of that, the best traders have a trading plan. They don’t get in on a hunch, they don’t get in just because the charts ‘look’ like they are going somewhere. They have a specific direction they want to trade in, a specific price point they want to buy/sell at, and a specific price level they will exit the trade for loss & profit.
#3 – Trading Rules, HONOR Them. There are some trading rules that you will likely develop as you learn how to trade. These will be different for each individual, but one rule that seems to be relevant to most is a rule for total trades taken in each week. For example Shane Guth, one of our instructors likes to abide by the #10. Another that has merit in my own trading is a rule adopted by Rob Guth. This rule says that if anytime you take 2 consecutive losing trades in a week, you are cut off from trading for the rest of the week. The power of trading rules has less to do with the rules themselves, but more about honoring them. The sooner you honor your own rules, the sooner you will trust yourself with a large enough account to make money with.
#4 – You can do it. Trading tends to have this mystique of absolutes that surrounds it. When you’re up you feel like you ‘got it,’ and when you’re down it can feel like you will never ‘get it.’ You will. Keep going. If you need any reminders that the result is worth it, revisit the blog Steve Wolf wrote about the day he made $1200 bucks in profit, surfed epic waves and got engaged in a foreign country. What other business offers that potential?
Happy trading everyone, here’s to you avoiding landmines.