|
- Confirm your possible trade entries well in
advance. A spontaneous decision to
enter a trade will increase your risk of failure unless you
initiate confirmations. If you make spontaneous trade entries
without multiple confirmations, you may achieve some success for
a while, but it takes a well-planned confirmation process to
achieve 50, 100, or 200+ trades in a row without sustaining a
loss. Achieving ongoing trading success takes patience. Spend
time in the market observing failures and successes. Make every
effort to re-create the positives. Avoid failures like the
plague.
- Plan your trade and trade your plan. This
is the best approach for trading. Brokers
don’t like scalpers!
- Have a bird-dog system. Using trading
software alerts or eavesdropping on other
professional live traders to see what they are doing in the
market (especially if they are really good traders) may help
increase your odds of success if you are a beginner
or intermediate trader. I am not saying that you should trade
someone else’s potential
trade; instead, I am suggesting you use that person as a bird
dog to point out potential trades; then it is up to each
individual trader (that means you) to use confirmations to make
your final determination to enter the market—or not. Becoming
proficient with your tools will aid in your interpretation and
will help you to be more aware of potential trades. Once you’ve
been alerted and made personal confirmations, then you can
decide whether to enter the trade.
A bird-dog spotting system—whether it is through another trader,
a group of traders, or alert-type software—is especially good if
you cannot look at 15 different currencies at one time. I
certainly am not able to watch all currencies at once;
therefore, I have become an expert at utilizing a smart-type
charting service with
alert signals to my advantage.
|
 |
- Treat trading just as you would a regular
job. Have a work schedule and stick to it. Work on being
positive, and avoid all negative issues. Take responsibility for
your actions in the market, and learn from your losses as well
as your successes.
- Avoid getting caught in what I call the
Skype or chat room traps. I have seen and
interviewed formerly successful traders. When we analyzed when
they stopped making profits, it always led back to association
and meetings with unsuccessful traders. They had spent time
talking to other traders (who sounded successful but weren’t) at
conventions, at trade shows, or in chat rooms. Traders sometimes
compare their ratios of progress or success with other traders,
and they become depressed because they have not succeeded.
I have witnessed too many incidents like
this. In the beginning of my own trading career, I also compared
my personal skill development to the progress of others, and I
began to have the same failure results. To stop this path of
associated failure, I had to start associating with successful
traders and reading positive, success-oriented books. If you’re
looking for advice, you might find it in the Bible, in Galatians
6:4, which basically states that one should not compare oneself
to others and that each person must be responsible for his or
her own burdens. This may suggest that one is responsible for
all decisions and actions taken in the market as well as the
results that may occur. |
