Losing patience will cost you a lot of money.
Why do most of the traders lose patience?
FOMO: Fear of missing out – You hear other traders are making money and have a compelling fear inside that if you don’t trade now, you will miss out on an opportunity to make money. This usually happens during the economic news-times like FOMC, Non-farm payroll, GDP, Interest rate decisions, etc.
Recovering previous losses: when you lost money, your emotions trigger and you try to recover the loss as fast as possible. This leads to overtrading and costs you further more losses.
Laziness: Most of them want quick money, but they are lazy to analyse the market. Due to laziness they enter the market without confirmed trade setups, confirmed trade setups help you make more and loss less.
Sticking your dream with trading profits: After opening a trade, do not create a dream that you are going to make X amount of dollars to buy your desired things. This will give you high stress, and fear of holding the trade.
How to stay patient in trading?
1) Place small minimum lot trade first (example: 0.01 lot) to find out which way the market is going.
2) Once you found the direction of the market, increase your lot size – but enter into the trade at the confirmed trade setups in the chart. Do not enter if you miss the trade at the correct entry point. Market always gives you new opportunities.
3) Write down in the paper “what triggers you to lose patience” and find out how can you change those behaviours.
4) Find, when you must not trade – for example: if you trigger the gun at the wrong time, you will waste the bullets. Similarly, if you enter into the trade at the wrong time, you will waste your money.
5) Get busy – Doing nothing and sitting idle watching the markets are also the important job of the trader. If you don’t have any other important job, feel free to get busy with something that makes your mind really happy.
6) Sleep well – Having enough sleep helps you to recover your mind and body. When you lost your patience and money in a day, do some other thing that makes you happy and grateful, and go to sleep without a revenge mindset on recovering your losses.
Example: Talk to your old friends or family relatives.
Watch some movies like cartoons and play physical games or video games that make you shift your mind completely to a different world.
Get engaged with the good things that make you happy and grateful.
You deserve to be a successful trader, but you are pulling yourself back without knowing how to stay patient.
If you like this message, please feel free to share it to your friends to help them trade better.
Forex GDP Team.