You are very correct. Forex is not something you become a master of in few days or months. It requires hard work, patience, and lots of discipline. So if a newbie is starting Forex with the hope of making quick money, he should think twice about it.I agree ... it is not supposed to be quick money. You are supposed to study it real hard before plunging in.
I agree completely. Not having the required trading strategies and lacking the right knowledge makes a new trader unprepared for the exerting task of trading Forex.The most common mistakes that many traders follow is that they enter into Forex Trading, unprepared, which eventually leads them towards loss.
You've already said about keeping a diary in order to keep an eye on mistakes.There are lots of mistakes that a trader does in Forex Trading, you need to understand that you are tend to make mistakes, and you need to identify them and then try not to repeat them.
I see, I have one strategy for trading currencies for now.Not all strategies are equal in the markets. Some perform better than others, Hence the need for a trader to find out which strategies are more suitable for him to trade.
hey robian..... yes it would be quite normal..... most of us do..... someone that trades the trend using moving averages will often find himself with no trend to trade..... trends vanish or stall.... during these ranging times , using oscillator type systems can relieve some of stress from impatience...I wonder what if I created 2nd and 3rd strategy? would it be normal?
The second especially is mostly dangerous to neglect, because the more leverage you use the more likely you lose big when things go wrong.There are several things to avoid in trading, however I only choose a few that I think is very important in trading. There is a common misconception that you can learn from a demo account, however, the emotions are different in trading live and demo including the re-quotes that you experience in live trading.
Another misconception is that leverage does not cause you to lose your account; this has even spread as high as government regulatory bodies in the US where there is now a cap on leverage. Leverage is not bad per se; however, without using a proper risk management is very harmful in your trading. As long as you commit to your risk management the amount of leverage will never cause you to lose more than you should.
These traits you have mentioned can be summed up in one word; Emotion. Once a trader is able to control his emotions, then he can succeed.mistakes?
lack of knowledge
honestly i think its more of the little things that people neglect that costs them big time.