There is a tendency for forex traders to think that everything will be perfect. You will get up every morning and hope that the gods will smile on you and you will gain positive results from the majority of your trading. Sadly, of course, it doesn’t always go well like this.
The nature of the currency markets and the nature of humans creates an environment of imperfection. It goes without saying that perfectionism is at heart an admirable quality, but it can often be destructive at its extreme and this can be somewhat off-putting for forex traders.
Don’t set yourself too high standards because that is what sheer perfectionists do, and they, like gamers and other traders, have a fear of failure, following the crowd mentality, and never being satisfied with their successes.
This can lead to one becoming emotionally sick when their standards are not met. So, how can you be more successful?
Here are the top five tips to consider.
Get your trading process right
Don’t just focus on the outcome but also on the trading process. When you focus on your trading process, you will automatically remove any stress, anger or frustration that may exist when you get too tied into your results.
Learn from your failures
Failures should be seen as sheer opportunities for improvement. One of the worst things that any forex trader can do is get bogged down by one failure. Just because you have failed once does not mean that you will fail again. Successful traders never give up and are the ones who keep pushing the boundaries of forex trading and keep searching for the ultimate success. So learn from your mistakes and move on!
Learn from others
It is quite self-explanatory but people that are successful forex traders are the ones who don’t discredit the others, especially those that have been successful. So always learning from your competitors and from those who are doing well may not be a bad idea. After all, they must be doing something right!
Don’t rush into a trade
Don’t put too many eggs in the basket and wait for a really strong signal and their confirmation. If your fundamental reasoning and technical analysis fail, then do not go against the market. Stay calm and carry on what you are doing and follow the market’s trend. In most cases than not it may be the case that you could have missed some important details in your analysis, or unfortunately misinterpreted information. So, stay calm.
Learn to be critical
Learn to accept that your personal worth is not your net worth. Learn to start developing an understanding of the decision-making process and the factors that affect it. It is worth creating an awareness of your own unique decision-making processes, strengths and weaknesses and the factors and situations that have the greatest impact on your decisions.