It’s time to learn the 3 Main Habits of Successful Forex Traders.
There are millions of Forex traders around the globe, yet so few actually generate profits consistently. So many traders struggle every single day trying to master the art of Forex trading. Although there are many factors that separate the professionals from the amateurs, I want to spend some time to focus on the 3 main habits of successful Forex traders.
Most successful traders have been through years of struggle and frustration, most likely losing tons of money along the way. I know I certainly fall into this category and it took me a few years to find my way to success. I lost tons of money and spent thousands of hours of my life trying to improve my trading and achieve success. There were certain habits and routines that I developed along the way that helped lead to my success and evolve from a losing trader to a winning trader. In the following section, I will share with you the 3 main habits of successful Forex traders that lead to my success.
3 Main Habits of Successful Forex Traders: Step 1
- Develop an Exact Plan, and Stick to it!
If you read my articles or watch my videos often, you will have heard me say this over and over again. I am not trying to sound like a broken record to be annoying- I am simply trying to drill into your mind the importance of this habit. Without a set plan (in which you follow rigorously) you will never achieve consistent results in this field. Having an exact trading plan allows you to eliminate human emotions from your trading, which is the main obstacle all traders face. When you go into a trade with a plan and stick to it once the trade is live, you know that your actions will not be dictated by your current emotional state. Your mind sees much clearer before you enter the markets than it does once you are in a trade and live money is at stake. Also, having a plan allows you to trade consistent patterns and triggers and be able to see exactly what is and isn’t working. Watch this video to learn How to Build a Forex Trading Plan. The only way to improve and grow as a trader is by analyzing your results and how you performed. This leads me to our next successful trading habit.
3 Main Habits of Successful Forex Traders: Step 2
- Journal Every Trade You Ever Make
You MUST get in the habit of journaling every single trade you ever make, no matter what. This is a habit that must hold true your entire career as a trader and will dictate whether you succeed or not in Forex. This habit goes hand-in-hand with having a trading plan and is extremely vital to your success. This habit must be drilled into your brain until it becomes muscle memory and you do it without even realizing it. This Forex trading habit lays the groundwork to enable you to have a set of data to analyze and interpret to see how your plan is performing. You must journal screenshots of the exact trade, why you took them, and your emotional state throughout. This will give you more insight into how you react to certain scenarios and what you need to do to improve. Without journaling, you will have no idea whether you are performing well as a trader or not. It is equivalent to running a business without keeping track of your revenues and expenses to see if you’re making money.
3 Main Habits of Successful Forex Traders: Step 3
- Develop an Exact Routine to Follow Daily
Just like with anything else in life, consistency is the key to success. I like to compare being a Forex trader to being an athlete. The key to success is to have a consistent schedule that you follow on a daily basis, which allows you to put the time, effort and focus into your craft. What does having an exact routine look like in trading? It means you trade the same time each day, analyze your results at the same time each day, week and month, and follow everything else in your plan like clockwork. Getting into a routine and having this structure will allow you to focus on your trading and improve every single day. If you contribute any fundamental analysis to your trading (which I highly suggest you do) then have a set time every day that you see what is going on fundamentally in the markets. All the little things begin coming together, and you will eventually have a well-structured routine that you follow every day. I can guarantee you that this alone will have a drastic improvement on your trading, and when it is coupled with these other habits- it will transform you as a trader. Watch this video to learn more about How to Establish a Forex Trading Routine.
3 Main Habits of Successful Forex Traders: Summary
These 3 main habits of successful Forex traders have been the main contributors to my success. It took me a very long time to realize the importance of these habits, however, once I did it changed everything. I can only hope that some of you reading this will take what I am saying seriously and incorporate these habits into your trading. I certainly wish I could go back to my early trading days and drill these points into my mind- I would have saved a like of time, stress and money. That is the reason for writing this article- so even if one trader is impacted by this then I have succeeded!
If you would like more education and guidance to learn how to do this, I have designed an entire course to teach you how to trade Forex. It will teach you everything you need to learn, from the ground up, while having my personal guidance all along the way. Click here to learn more and take our Full Online Forex Training Course.