- PPF Points
- 10,078
For those that have been trading forex for long have experienced a time when they feel like they are losing their trading edge. Whether it’s because you took a long time from trading; had a significant string of losing trades or blew all the capital on your account, they will come a time when you wish to start from scratch or quit trading all together.
If you do choose to start from scratch, then you’ve only made the first step to swimming rather than sinking. It’s only the beginning of the process. Starting over is more difficult than learning how to trade for the first time. When you start over, you’ll have to confront your mistakes, admit your failures, and let go of your ego and your old habits. But maybe letting go is exactly the point. Just like how some tech startups have to “pivot” in order to survive, you also have to let go of your past trading processes and pursue other avenues to discover a better trader in you.
So, how can you “start over” as a forex trader? Here are a few tips:
Try to freshly study the forex market.
The old dog would have to learn new tricks if he/she wants to successfully adapt to current environments. The key is your willingness to try new things. After all, what do you have to lose when your old tricks aren’t getting you profits anymore? Read and try out others’ trading strategies. Talk to your friends (the traders) and get their perspectives. Learn to look at the forex market in a new way and maybe you’ll find a strategy that would give you a new, simpler, or different edge.
Remember your strengths and weaknesses.
As you freshly study markets and explore strategies, look for opportunities where you can maximize your strengths. A trend-trader, for example, could look at shorter time frames in times of low volatility. Meanwhile, a news trader can expand to trading currency crosses instead of just trading the majors.
Starting over doesn’t mean forgetting everything you’ve learned. If you already know yourself in trading, then you’ll just have to find another strategy or system that would yield you consistent profits today.
Don’t stop, Keep trading.
Just like with trading newbies, sometimes the best way to find a new edge for you is to just keep trading.
Trade often and trade with intention to practice. Trade on demo if you’re not comfortable risking real money on a new strategy. The goal is to find out which methods work and which don’t in the current trading environment.
Develop a detailed trading journal.
Since you’re back to “exploring” what works and what doesn’t, you’ll need to religiously keep track of your progress. A detailed trading journal will help you note your new observations about the markets. More importantly, it will help a lot in improving your new strategy.
Freshly studying the forex market and all its profitable nooks and crannies is the easy part of re-discovering your edge. The more difficult part is admitting you need change and letting go of your old habits to make room for newer, better ones.
Keeping Emotions in check when trading
If you can't keep your emotions in check when trading, you will lose money. The most significant action that you can do to improve trading profits is to work on yourself. Really knowing yourself and how you think can give you an edge that others in the market don't have. My goal is to share practical advice to improve your forex psychology without boring you to death. Hopefully, you can develop the mental edge you need to become the best trader you can be.
If you do choose to start from scratch, then you’ve only made the first step to swimming rather than sinking. It’s only the beginning of the process. Starting over is more difficult than learning how to trade for the first time. When you start over, you’ll have to confront your mistakes, admit your failures, and let go of your ego and your old habits. But maybe letting go is exactly the point. Just like how some tech startups have to “pivot” in order to survive, you also have to let go of your past trading processes and pursue other avenues to discover a better trader in you.
So, how can you “start over” as a forex trader? Here are a few tips:
Try to freshly study the forex market.
The old dog would have to learn new tricks if he/she wants to successfully adapt to current environments. The key is your willingness to try new things. After all, what do you have to lose when your old tricks aren’t getting you profits anymore? Read and try out others’ trading strategies. Talk to your friends (the traders) and get their perspectives. Learn to look at the forex market in a new way and maybe you’ll find a strategy that would give you a new, simpler, or different edge.
Remember your strengths and weaknesses.
As you freshly study markets and explore strategies, look for opportunities where you can maximize your strengths. A trend-trader, for example, could look at shorter time frames in times of low volatility. Meanwhile, a news trader can expand to trading currency crosses instead of just trading the majors.
Starting over doesn’t mean forgetting everything you’ve learned. If you already know yourself in trading, then you’ll just have to find another strategy or system that would yield you consistent profits today.
Don’t stop, Keep trading.
Just like with trading newbies, sometimes the best way to find a new edge for you is to just keep trading.
Trade often and trade with intention to practice. Trade on demo if you’re not comfortable risking real money on a new strategy. The goal is to find out which methods work and which don’t in the current trading environment.
Develop a detailed trading journal.
Since you’re back to “exploring” what works and what doesn’t, you’ll need to religiously keep track of your progress. A detailed trading journal will help you note your new observations about the markets. More importantly, it will help a lot in improving your new strategy.
Freshly studying the forex market and all its profitable nooks and crannies is the easy part of re-discovering your edge. The more difficult part is admitting you need change and letting go of your old habits to make room for newer, better ones.
Keeping Emotions in check when trading
If you can't keep your emotions in check when trading, you will lose money. The most significant action that you can do to improve trading profits is to work on yourself. Really knowing yourself and how you think can give you an edge that others in the market don't have. My goal is to share practical advice to improve your forex psychology without boring you to death. Hopefully, you can develop the mental edge you need to become the best trader you can be.