Challenges as a Forex Trader
- Thread starter PriceAction Ltd
- Start date
I didn’t understand the technical analysis in the beginning but got the hang of it later.
The biggest challenge is the shift of mindset
Majority that have come here are influenced by the social media flex lifestyle or get rick quick scheme
this is a marathon not a sprint.
Giving you an example of a doctor
just because you get a stethoscope and a coat, you cant go to an operation theater and perform a surgery
you will have to learn for years before you become a master
and this goes same for trading
your goal as a trader should be to find consistency and your edge in the market
and that will take years to build,
so focus on being a good trader and money will just be a bi-product of the hard-work you put in.
Majority that have come here are influenced by the social media flex lifestyle or get rick quick scheme
this is a marathon not a sprint.
Giving you an example of a doctor
just because you get a stethoscope and a coat, you cant go to an operation theater and perform a surgery
you will have to learn for years before you become a master
and this goes same for trading
your goal as a trader should be to find consistency and your edge in the market
and that will take years to build,
so focus on being a good trader and money will just be a bi-product of the hard-work you put in.
Trusting my judgement over analysis or analysis paralysis as its called
Newbies usually face a lot of different problems in the beginning of their journey to the profits.
As for me, I had plentiful of problems and firstly, it was connected to the fact that there was too much of information. By information I mean educational materials (there was too much knowledge that I had to absorb and remember and learn how to implement this knowledge on practice) and the information that I received from my trading platform. I even switched off the hints from economic calendar in order to concentrate on the charts and indicators but I still had too much information (as I thought that time) to analyse. Analysing the charts is the skill that can be mastered through the practice and that is the only way you can handle it. I remember myself opening the platform after I read much about the charts, so I had an impession that it is going to be easy to understand what's what, but it turned out different way.
Another problem is money and risk management. Personally, I prefer not to ground on my emotions but on math. However, when it comes about calculating risks and the position size, I had to use pretty much maths and do it fast in order not to lose the opportunities. Surely, know I can do it automatically, but then it was something brand new for me. After gaining some experience and expertise many things become much easier to grasp and understand.
The last thing I'd like to mention is quite common - psychology. As I have already mentioned, I don't like to act according to my emotions, but more often than not it happens against my will. There were times when my brain switched off and I traded on my psychological unrest. This is quite a dangerous way and it is sure to lead you to the absolute loss of your budget.
In conclusion I'd like to say that it all seems really complicated when you start and it's normal. You shouldn't be afraid of it as it will become easier and easier in the future as you develop your brain, your nervous system and you start to adapt to the conditions of trading.
As for me, I had plentiful of problems and firstly, it was connected to the fact that there was too much of information. By information I mean educational materials (there was too much knowledge that I had to absorb and remember and learn how to implement this knowledge on practice) and the information that I received from my trading platform. I even switched off the hints from economic calendar in order to concentrate on the charts and indicators but I still had too much information (as I thought that time) to analyse. Analysing the charts is the skill that can be mastered through the practice and that is the only way you can handle it. I remember myself opening the platform after I read much about the charts, so I had an impession that it is going to be easy to understand what's what, but it turned out different way.
Another problem is money and risk management. Personally, I prefer not to ground on my emotions but on math. However, when it comes about calculating risks and the position size, I had to use pretty much maths and do it fast in order not to lose the opportunities. Surely, know I can do it automatically, but then it was something brand new for me. After gaining some experience and expertise many things become much easier to grasp and understand.
The last thing I'd like to mention is quite common - psychology. As I have already mentioned, I don't like to act according to my emotions, but more often than not it happens against my will. There were times when my brain switched off and I traded on my psychological unrest. This is quite a dangerous way and it is sure to lead you to the absolute loss of your budget.
In conclusion I'd like to say that it all seems really complicated when you start and it's normal. You shouldn't be afraid of it as it will become easier and easier in the future as you develop your brain, your nervous system and you start to adapt to the conditions of trading.
It is always good to work on yourself. But things like these are so normal with traders because we are putting our money on the line to make some extra green. We all want to have a better lifestyle and better life. I guess every forex trader faces some or the other challenge.
Yes, every forex trader joins the forex because of money and they want to become rich quickly. But most of them lose because they lack in knowledge and skills and their big aim was only making money but do not want to learn forex before start.