11 quick fixes to all your trading mistakes.
As you all know, this week is dedicated to trading mistakes that all of you are making at some point. And while we have discussed and pointed out virtually all of the mistakes which are possible to come around, we are still to talk about ways to fix all of those mistakes.
In case you are only joining us now here are all of the three parts of our discussion so far:
So, mistakes were made and now we need to need to know the ways we can fix them or even never to stumble across them ever again! Let’s roll!
Correction №1 – always stay in touch with the markets.
Correction №2 – include reading the news into your morning routine.
Correction №3 – fix your stop loss.
Correction №4 – adjust your pips and stop loss for every trade.
Correction №5 – treat trading like your own business.
Correction №6 – find your own reasoning.
Correction №7 – do not expect too much.
Correction №8 – invest in a good broker and good account.
Correction №9 – keep trading journal.
Correction №10 – do not dwell on the past.
Correction №11 – enjoy!
Correction №1 – always stay in touch with the markets.
The situation in the markets is changing extremely fast these days. You see dollar climbing up against the basket of six major currencies and in an hour it is failing already! Well. This is hardly a desired situation now, isn’t it? And the thing is that we need to anticipate it. We need to keep that in mind – the situation is not stable. I need to stay alert at all times.
This is exactly why you need trading signals provider and Google alert. Tools that can notify you as soon as something happening. That way you are not going to miss any little detail that can influence your future or current trades.
Correction №2 – include reading the news into your morning routine.
For a lot of us trading is a like a day job – we give it just as much time/ experienced traders can even afford to quit their day job in order to give all of their time to trading. and real pros do not go into the day trading without having read up on the news. Of course you are reading how your favorite sports team have done in their latest games and what a local politician has said at his rally, but really try and at least give a quick read to the financial section. That way you already know what to expect from today’s trading.
Correction №3 – fix your stop loss.
That might be too obvious of a fix, but it is still worth mentioning. Do not widen your stop loss on a losing trade even if you feel like the trade is just going to go down for just a little bit more. do not give into the temptation. Just stick to your previously set numbers. Better come back to the trade when it does go up.
Correction №4 – adjust your pips and stop loss for every trade.
This fix is for those who managed to go victorious for several times in a row out of several trades without changing these parameters. But this in not really a rule here. Change these numbers from trade to trade according to the performance of the trade.
Correction №5 – treat trading like your own business.
Trading is a serious business. It is important to understand that you are going to not only put your money into it. You are also investing time, energy, thoughts and ideas. These are the traits usually regular for your own business, aren’t they? Well, yes. And you need to look at trading not like at hobby, but like at a real job. Only if you are going to see trading like that you are going to be successful.
Correction №6 – find your own reasoning.
That’s just human – you get interested in something and in a while you are not anymore. And that is just fine. You just need to look for a new set of motivation in order to keep on. That is especially true for those who have been on a losing streak. But you need to find your own motivation. You cannot live off the motivation of other traders as well as the success stories of other traders. Your own stories are the only ones that count here.
Correction №7 – do not expect too much.
You need to understand that trading requires constant education and constant progress. That is why you can’t expect too much in your first trading sessions. Of course there are people who manage to make a solid living out of trading, but those are only 1 percent of all of the successful traders. So, especially in the beginning, do not expect much. There is so much you need to learn before you can be successful. Expectations too high will only ruin the excitement for you.
Correction №8 – invest in a good broker and good account.
Having a good broker is as important to you as having a good race car to a Formula1 pilot. This your main support and your main hope. And you need to be able to reach to your broker anytime of the day. It is better to choose a broker that is going to have 24/7 or 24/5 support team. That way in case you are binge-trading late in the night you can always have someone to ask a question from.
Correction №9 – keep trading journal.
You need to document all of your movements and actions. You need to be able to see what movements were made by each asset you have ever traded in a certain period of time. That is why you need to keep a trading journal. Let it be just another tool at your library or trading solutions.
Correction №10 – do not dwell on the past.
You decided to exit a trade just before it went up? And now you’re beating yourself up because of it? Well, that is pretty much a trader’s variation on the topic of stalking your ex after a bitter break up. And we are going to give you the same advice your friends were giving you after that very breakup – let go and move on. Go to your next trade without any back thoughts. Looking at the recent trade you have already abandoned is just a waste of time at this point.
Correction №11 – enjoy!
Just enjoy trading. That’s pretty much it.
So, mistakes and fixes discussed! Any thoughts on the matter? Leave your opinion in the comments!
