Forex trading is not as simple as buying or selling
The following are the reasons why we always lose money
- There is no clear trading system– Each online trading system has its advantages and disadvantages.- When they lose money by that method, they go online to find new methods, and so on we will follow around always losing.
What do we need to do?– Define yourself a method, and test it on the demo.- Find its mistake and fix it.- Just focus on your own method.- Loyal to that method- Can refer to the method I share here: Transaction method
- Non-compliance with entry points, SL and TPSL: Stop loss
TP: Take the profit you often make the mistake of thinking you’re right, so never put an SL that was a stupid mistake. You enter the order without discipline
What do we need to do?- Identify trading currency pairs.
– So we buy this pair but because the price goes a bit, we shall wait for the price to recover to the support area, combining the candlestick pattern and buying up.
– Locate SL at the support area below.
3.Too many orders.– You have more orders will be more profitable, what happens when all things lose? You will lose everything.
– The market never follows you.
– Even if you have good signals, nothing is absolutely 100%.
4.Greed and Fear: –
a) At first, you can make a lot of money with forex for your luck, then you think making money with forex is easy and forget about its risks.
– Then you trade in large volumes with no forex knowledge, the result you account fire.
– Then, you deposit and trade with psychology to retrieve the lost amount in larger volumes and you lose everything.
– You don’t learn knowledge and you think Forex is gambling.
b) Fear:- When you have entered the order have SL, and TP, 2 hours later, you check and see the market is against your order, but not touch SL
– You fear losing more money and to close your losses thereafter you close a loss, the market goes back and touches your original take profit.
– Sometimes when you go online and you see that signal is opposite to yours, you rush to cut a loss
What do we need to do?- Always follow what you set out.- Not greedy.- Master your thoughts
5. Do not accept losses.- Sometimes you have placed Stop Loss, but for some reason, you don’t accept that you lost money you unset SL and hope the price will come back, but the market doesn’t go your way.
– And you add orders with larger volumes wishing to make more money and without knowledge of it. Your failure begins.
6.Impatient and disciplined.– These are the two factors that determine your success.
– You do not have the patience to wait, with the thought of having to enter orders to make a profit, resulting in a negative amount of the order and you cut a loss.
– You don’t know to wait for the right time to place an order, you can use the candlestick pattern and the same support and resistance to do that.
– Do not obey your discipline.
-Do not find the cause of losses and blame the markets.