Forex Trading Machine
How to Become a Better Trader Through Forex Trading Psychology
When it comes to forex trading as a trader you will ned to execute your forex trades like a forex trading machine, without any emotions, or without being influenced by currency movement that the price has moved up so much that you now need to open a forex buy trade because the up move has really moved some pips.
So to trade like a forex trading machine as a trader you need to transform your forex trading psychology. To transform your forex trading psychology then you will require to write down rules which you will follow in your forex trading plan.
The example below shows how to write the forex trading psychology rules
- Trade without Emotions (greed, fear, anticipation, impulse, bias, over-excitement)
- I trade what my eyes see not what I feel.
- I will be patient.
My job is not to be the trading system!
It is not to decide which trades looks promising.
That is the job of my trading system. My system has a set of rules which tells me this is what I follow. Do not get caught up in price action and make rules as you go along.
MY JOB DESCRIPTION IS
To sit patiently and wait for my system to indicate that it's time to enter or it is time to exit. And then with great focus I execute trade as planned.
Taking trades not indicated by the trading system, second guessing system & not taking trades given, hesitating & getting in late, anticipating & getting in early are all common place and boil down to lack of faith in system and not having a burning focus on accurate execution.
GOAL: To have 100% undivided focus on mastering my ability to execute my trading system accurately.
More you develop the ability to step back from price movement and watch market dispassionately, waiting for a signal to trade, the easier it will be to witness the fluctuations of your emotions without getting sucked into them allowing them to throw you off your game.
By writing forex trading psychology rules like the ones above then as a trader you will start to follow your forex system & trade more like a forex trading machine would if the system you are forex trading with was to be automated.
The more you follow these forex psychology rules the easier it will become to trade the market without being influenced by the various market movements.
Always make sure that you are opening a forex trade because the rules of your trading system have been met and a signal has been generated and not because you have seen the market jump and so now you decide it is time to buy.
By following a forex trading system then you will be able to trade more like a forex trading machine and follow the rules of your forex system and your trading will become more profitable.
Changing your forex trading psychology will not be easy and that is why as a trader you must constantly make an effort to follow the rules of forex psychology that you write on your forex trading plan until the time you master these rule and you can now trade the market without emotions and trade like a forex trading machine.
To learn more about forex trading psychology read the following forex psychology guide
- Forex Psychology Guide
- Forex Psychology & Emotions Fear and Greed
- Forex Trading Psychology Principles
- Learn Forex Trading Psychology
Forex Trading Psychology for Traders.
