Forex Tips : Learn Through Losses Part 01

01. Cutting every losing trade too much

When it is a losing position, it is understandable you would close it as a lost to stop further losses.

The question is : have you planned for this losses?
How to calculate to let the profit run long enough while risking a reasonable pips.

 02. Changing  strategy too much

When a strategy wins you money, you keep using it until losing money and keep changing strategies, hoping for the best strategy. If you unable to focus the losses problem, the symptom is this problems always repeated. 

The question is : Are you too focus on 100% winning strategy or the best strategy in the market?
 


 03. Loss Small Many Times, Win A Big One few

This strategy would make you tired and to be greed at the wrong place. Once the Big One does not appear, you would start to panic. It's a No-No. You lose so many times because you are unable to spot the Big One, right?

 

The question is : what is your direction? Win small? Win Big?

 

04. Sit Down and straight away playing
 

This strategy normally known as a gambling strategy. Where there is an empty seat, you sit and start playing. How about checking on each table, to look at which table has a big player and seeing how he/she is playing, there must be a reason that the big player sit there for a very long time. Then you start to learn the way he/she is playing.


The question is, do you know your playing style?
 


   05. The Behavior of Winning

 

If somebody tells you that he/she has won in the forex, there are three typical behaviors. 
1st  : Doesn't require long hours of playing.
2nd : Requires long hours of playing.
3rd  : Play whenever he/she wants.

The question is, do you know what would happen when mixing up all of them?
 


   06. Amount Per pips too much

 

If USD per pips is too much, you would unable to stay long for the risk. This strategy requires to spot the correct position at the right time.

The question is, does USD per pips carry too much could only wins you big money?

 

   07. Exit trade after long candlestick is form

 

When you lose the most, exit trade is definitely a No - No. Forex swings up and down.

The question is, do you know when will it swing back?


   08. Enter Trade before the candlestick to complete?

When we perform a study, every candlestick is completed, so with the indicators along with it. Once it completes, then place your trade. If you are too fast to place your trade, you might end up at the opposite direction.

The question is, do you use candlestick chart while you are using indicator? or else please cover candlestick as it serves no purpose.

 

   09. Touching Currency Pair with high spread?

 

High spread certainly is meant for longer time frame. If you accidentally click GBP/CAD, your accounts automatically deducted 23 pips depends on the forex broker. So with the GOLD, automatically deducted 100pips. 
Any indicator in the shorter time frame, failed to assist you.

The question is, do you understand spread effects the way you play?

 

  10. Win continue to Play, Lose also continue to Play?

 

Is it the same answer as play until you lose (if you win) and play until you win (if you lose)?

The question is, do you know what is the benefit of rule and discipline?