Four major mistakes in price action trading - Forex Trading For Profit

Forex Trading For Profit

Four major mistakes in price action trading

5/5 (1)

Share on...

All Forex traders knows price action trading system is one of the best way to find great trades in Forex market. Do you really think it’s easy to master the art of price action trading system? The simple answer is yes. However, due to some common mistakes most of the new price action traders fails to make money. They simply don’t understand the fact trading is has nothing to do with 100% precision. You need to follow the basic rules of investment business and trade with proper money management. Taking unnecessary risks in the retail trading industry is nothing but ruining your career. If you start following the rules strictly, you can easily become a successful Aussie trader within a short period of time. Today, we are going to high light four major mistake that every new price action trades make.

Ignoring the market trend
The majority of the price action traders thinks to counter trade the market. To be precise they want to ride a new trend. There is saying in the Forex market, the trend is your friend. So if you want to save your investment, it’s imperative you start following the market trend. Instead of analyzing the candlestick in the lower time frame try to focus on the daily time frame. Never think you will assess the strength of the market trend based on technical data only. Focus on the fundamental factors since it is one of the easiest ways to assess the economic performance of a certain country. Once you have spotted the market trend properly it’s time to wait in the sideline for the most reliable candlestick pattern. Never execute any trade unless you have a precise confirmation about a trade. It’s better to wait rather than losing money on low-quality trades.

Not having defined goal
Being a price action trader, you might get carried away by the winning edge. People don’t really understand why they should have defined goal in Forex market. They simply trade CFDs and think to earn tons of money. This is nothing but overtrading the market. You need to have a specific goal or else it will be really hard for you to make money in the long run. Always remember trading is nothing but finding the great trades at low-risk exposure. If necessary learn from the experienced traders but never take unnecessary risk to earn huge amount of money.be smart and take a rational decision when it comes to trading profession.

Trading with emotions
Following your emotions is normal at the initial stage. If you always stick to your emotions, trading is not for you. You have to lock your emotions in an iron cage and trade the market with logic. Forget about the short-term gain and focus on long-term return. Some of you might find it really hard to control your emotions are losing a few trades in a row. In such case, it’s better for you to take a small break and start your trading with a fresh mentality. Never try to trade the market when you are frustrated.

Always have a backup plan
Those who are trading the market as their full-time profession must have a six-month financial backup. No one knows about the result of a certain trade. At times you might have to lose money for a few months and there is nothing wrong with it. So, in such a case, you need to have a backup plan to support your family. No matter which trading strategy you follow, you must face consecutive losing trades in your career. Unless you are prepared for such situations, the chances are very high you will take excessive risk to recover the loss. This will eventually jeopardize your career. Try to trade the market in a stress-free environment so that making decisions becomes easier.

forex trading

Share on...

Please rate this

Leave a Comment

Be the First to Comment!

Notify of
avatar
Photo and Image Files
 
 
 
Audio and Video Files
 
 
 
Other File Types
 
 
 
wpDiscuz

Forex Trading For Profit


Forex TFP

A journey of a retail trader. How to trade on the foreign exchange market and make it a lifstyle.

Comodo SSL
    Connect
  • Facebook logo
  • Twitter logo
  • YouTube logo
  • Linked in logo

We have been voted in the top 100 Forex Sites

Top-100-Badge

Forex Trading

Forex Trading For Profit, a journey of a retail trader. This website has been set up for retail traders to give answers to those seeking the same information I was when I first started trading. Forex Trading For profit endeavours to bring the most informative approch to trading forex, and shows anyone can become a successful trader no matter what your background, with some dedication, study and determination. Trading CFD's and in the foreign exchange market is a high risk investment so please read the disclaimer.


DISCLAIMER: Any advice or information that has been presented on this website and related accounts on social media forums is only general advice and is not intended for you to invest your money solely based on its contents. By viewing the content on this site you agree that it’s for educational purposes only and will not hold the Author responsible for any loss incurred by the content herein and associated online accounts or paraphernalia. Forex Trading for profit nor do the Author('s) operate under an AFSL and any product or advice sold on this site is only bought or taken as an educational product or guide from my collective experience’s and knowledge trading forex. If you invest any money into forex you do solely at your own risk.

HIGH RISK WARNING: Trading CFD’s such as forex and/or on high leverage is a high risk investment and you must make yourself aware of the potential loses you may incur. Forex trading is not suitable for all investors and you have the potential to lose all of your deposited funds or more. Any opinions or analysis of the financial markets on this site is ONLY commentary in nature and does not solicitate investment advice. Please do not invest any money based on the advice given on this site or associated accounts nor invest money that you cannot afford to lose. Past performance of any trading system or method is not indicative of future results.


Privacy policy

What information do we collect?

We collect information from you when you fill out the form. When ordering or registering on our site, as appropriate, you may be asked to enter your: name, e-mail address or phone number. You may, however, visit our site anonymously.

What do we use your information for?
Any of the information we collect from you may be used in one of the following ways:

For contact purposes and conversing requirements between staff and client.

How do we protect your information?
We implement a variety of security measures to maintain the safety of your personal information when you enter, submit, or access your personal information.

Do we use cookies?
We do not use cookies.

Do we disclose any information to outside parties?
We do not sell, trade, or otherwise transfer to outside parties your personally identifiable or business information. This does not include trusted third parties who assist us in operating our website, conducting our business, or servicing you, so long as those parties agree to keep this information confidential. We may also release your information when we believe release is appropriate to comply with the law, enforce our site policies, or protect ours or others rights, property, or safety. However, non-personally identifiable visitor information may be provided to other parties for marketing, advertising, or other uses.

Third party links
Occasionally, at our discretion, we may include or offer third party products or services on our website. These third party sites have separate and independent privacy policies. We therefore have no responsibility or liability for the content and activities of these linked sites. Nonetheless, we seek to protect the integrity of our site and welcome any feedback about these sites.

Childrens Online Privacy Protection Act Compliance
We are in compliance with the requirements of COPPA (Childrens Online Privacy Protection Act), we do not collect any information from anyone under 13 years of age. Our website, products and services are all directed to people who are at least 13 years old or older.

Your Consent
By using our site, you consent to our web site privacy policy.

Changes to our Privacy Policy
If we decide to change our privacy policy, we will post those changes on this page.

Contacting Us
If there are any questions regarding this privacy policy you may contact us using the information below.

Paul@forextradingforprofit.com.au

Back to top

© 2018 Forex Trading For Profit. · Disclaimer · Privacy policy