Each trader has the bitter experience of the days past loss and loss merely an alias in her trading. to be honest I personally have a lot of experienced loss before the forex market to recognize this very well but in line with the turnover time of day by day, then I could feel, realize and understand to be a success in the forex duni mandatory berkoban first and evaporated to give up our dollars wasted because what was promised by the forex market is very unusual in the world that will not another business that is trading the forex market is the best way to make money plentiful for those who have mastered their knowledge. I am following here postkan hal2 which must be known and obeyed by a trader may have benefited
ETHICS OF FOREX TRADING
I. SELF DISCIPLINE
Discipline in trading is absolutely legal. Every business there is always a plan or plans in operasinalnya daily. Similarly, the trading, you should definitely have a plan that you run. for example: 1. My only uses M30 period only, 2. Every position that I took my 10 pairs of TP, 3. Every open position there is always a Stop Loss (SL) 50 pips, 4. Indocator used is a parabolic SAR, 5. Just take a position on the first SAR, 6. Only uses 10% margin only.
That is the example plan. Well now you also have to make a plan. Then you need to follow your plan with discipline. There are so many traders felt the devastation due to no discipline. They admit it. For example, they know if you can not take a position on a second SAR, but it's also because he thought they were doing at that time still a good price.
You find it difficult to succeed in trading if you do not follow your plan with sisiplin. Once you are confused yourself when things happen that you do not want due to lack disipinan you. Real-life examples and many experienced traders are using margin exceeding 10%. When there is floating then that moment came the dilemma. First, create a floating capital is reduced drastically because of large margins are used. Second, very large floating in the scary kalauharus cut loss (discarded). Therefore, for the example above, patuhlah on all the rules you create.
Above dilemma would not occur if you do not violate the plan number 3 and number 6.
The point is whatever your strategy, whatever indicator you use, disiplinlah and consistent with your strategy is. When was your strategy going well, then do not you change your strategy is. Do not easy to change the strategy because - perhaps - the number of opinions and offer strategies on Marketiva chatroom .. Good trading ...!
II.TRADER EMOTION
How To Control Fear And Greed In Trading There is an adage that says that the market is controlled by katakutan and greed. Anyone who does trading more than 2 position 2 will surely have experienced these kinds of emotions.
All traders experience emotion problems. The difference between a successful trader who fails to how they deal with these emotions. Let's see how these emotions affect a successful trader and a trader who fails in various scenarios:
Skenario1: Three previous transaction failures.
The unsuccessful trader will recognize this before he took the position in trade and be fearful that this trade will fail again. This can only be a waste of time just to make sure that she was in the correct position. So that eventually he'll miss a perfectly good entry level. They may eventually be looking for other factors, which have not thought about, so getting good reason not to enter market. In conclusion he will always be haunted by the fear of failure again.
The successful trader will try to understand their strategies and could be the possibility of successive loss of the use of their strategy. They will also measure success by using either the system while it is being won or lost.
Scenario2: Shortly after its entry into the market, it turns out, market price moves against the prediction.
Trader's failure will immediately feel afraid that if he had made a mistake. They will wait and hope that the market will soon turn towards what they want. Sense of 'fear of doing the wrong again' has been successfully control their minds and their trading policies, they might even shift their position away from the Stop Loss Open Position with the purpose of a Stop Loss order will not be touched by the market price. They may also be ignoring trading it for granted and expected market price, will get back to at least the breakeven position - one that initially is daytrader can now change the position of a trader's 'shifting positions' and a few days and then it turned again to the status-term traders implement long buy and hold strategy.
Successful trader, of course, would know based on some experiments he had done against the system, that every entry into the market there must be a trading opportunity will be successful and there is a chance it might hit his stop loss. Stop Loss are already installed will be in place and remain in place. Stop is used to guide where he will be out of the market, not a clue how afraid he would collapse in trading.
3. Skenario3: When you get into the market, a sudden market moves very quickly towards the desired direction (the profit).
The unsuccessful trader will suddenly see a villa in the sun and a new sports car flashing before his head. Then he would then move away from its target price and decided to let the market continue to move hopes will hit a target who has been shifted away from them. Greed has blinded himself and the 'plan' before (if any). Certainly, markets rarely move in one direction for a long time and Saar market reversed course greed will soon turn into fear to the dreams that had vanished instantly, and traders will fail it will wait until the market price back to its original place when he entered to the market. Daytrade becomes a position trade.
The successful trader has set a target before, a certain price or a timed and will stick to it. If one trading successfully bring profit in just 5 minutes, then it is! That's good! Many trading-trading can not do anything else that.
Fear and greed are human emotions. We can not change the 2 emotion. But here are some tips:
1. Know your system. If you have enough confidence in the system you use, then that feeling will be able to master this fear and greed. Confidence on the system will only occur from a good system design and experiments conducted.
2. Automate your system. Computers will never feel the fear and greed, they will not pray for a miracle and screamed hysterically when making the wrong decision. They will only stop, if they are ordered to it.
3. Financial management. Quite simply, no matter how good your systems, you must be sensitive to the amount of funds you have and calculate how much you can accept defeat.
III. TRADER MENTAL
Ever heard of mental trader? Probably not huh? Mental traders were tested when there is floating on poisi which he took. Also can happen when prices move quickly against the direction of her position at that time.
For case prices move quickly in one direction, you can menggunkan Ichimoku Kenko Hyo indicator to see whether prices will actually become a trend in that direction?
When faced with such events, consider the line graph "red" and the "blue" on Ichimoku. When the red line does not change, then you should just calm down because the movement will not continue. This is where you will be tested mentally. Sometimes the movement was pretty much what makes most traders nervous and rush to cut losses or take other actions far more ugly is hedging.
Trader emotion must be owned by a trader. There are more things that can make a trader shriveled such loss occurred up to 4 consecutive times. When you look at the charts on the last time you will find that the presence of signal - for example SAR - but the price did not change from morning to evening, even continue until tomorrow afternoon. If you find a market like that, then most likely you will be successive loss when you've mengikti signal correctly. Markets like this name "sideway". The biggest threat for us is this sideway.
When you know the market is being sideway indicator was not applicable, if you still want to trade at that time .. it's called Swing .. so you have to note that the price wave back and forth from a certain height until at a certain low level and then back again to the top (clearly visible in the period M15). Fixed want trading? Fine, then do buy on the basis of the wave and the TP just 10 points .. and do sell at the peak of the wave TP 10 points only. Then you've done "Swing Trade" name or there is also a call copies-copies or coping-coping.
So .. trader mentality nurtured in yourself, not mental ya lo dice?
IV. HOLD YOUR Lust
Lust can also destroy the lo .. How not because it has very many examples. Greedy! All advisors traders worldwide will encourage not "greedy" do not "greedy". That greedy lust.
Greed will look at the amount of margin that you use in trading. Use 10% margin that is normal. So when you use the margin began to exceed 10% then you should be careful because it may have started pervasive greed in your heart you can always count :-) ah 20% is still safe, or 30% is still safe kok .. but that's greedy, greedy. Because the use of a large margin will result in greater output plus or minus either.
Such toxicity can be easily killed by the market movement that none can control it. Consider it used 20% margin with the ability to hold the float 500 points. But when he reached 50 points just minus traders already nervous and cut loss (for capital of $ 1,000 that means cut loss $ 100), take the new position of 20% longer and floating 200 points for example ... that means it's 400 USD, the remaining margin to stay 500 U.S. dollars .. already looks like a loss, cutloss greatness, hedging fear behind again .. nah mending from the beginning so do not be greedy
Just use your 10% margin. After all, if your $ 1,000 capital with 10% margins, if you can average 20 points just one day, that means a month you get 20 x 20 working days = 400 points aka $ 400 was already 40% a month. Be assured that the 40% it is an extraordinary result!
Do not be greedy, do not be greedy, hold your desire to want to get rich quick
V. Keep YOUR MARGIN
The use of margin .. associated with appetite and capital management. When you discipline by placing a Stop Loss (SL), for example 50 points (do study what is the ideal SL?) Then you will never exceed 50 points floating. But if you're greedy and scared of losing 50 points then you have the potential for major floating.
While floating it (10% margin) means you are not able to take a new position until the position is floating close! But you probably do not want to miss an opportunity when there is a good signal then you open another 10% margin. Total has 20% margin. What if the second position is floating again? If both floating BUY it will be even greater. If one SELL BUY another one, the total floating ... will not change, but to be able to profit you must take a position more ... there still enough margin to take a new position? This is from the beginning should your account. If this happens, then you will take this action ff ff.
So there is a series of plans that you should obey all, see the example in the "High Discipline," a streak will be broken then the problem you are facing