I have l learned the basics of charts and indicators and am in the phase of learning to handle the psychology of trading. I am understanding how the pro traders say that 80 % of trading is psychology. One of the biggest reasons I have noticed this, in myself, is that sometimes we just want to get into a trade cause we want to get in and make money, even though it might not be the best time to get in and/or the strategies we know and are trying to use do not match the scenario.
Of course, when I sit down at the beginning of the day I want to get in and make trades, but changing this mental focus to only looking for patterns that fit into the pattern I have learned in a strategy is something to get used to.
Yesterday I did alright, I didn't calculate my win ratio however the biggest gain I had from one trade is $100 USD in less than 1 hour. I did this trade at the end of my day after about 11 hours of being active in the market and with using bonus dollars from InstaTrade (which are no deposit bonus dollars, they give $3500 bonus dollars to practice with).
Being as my win ratio was not the best in the beginning I am glad to have had the bonus money to play with and it decreased the intensity of emotions because I wasn't emotionally attached to the money.
For anyone starting out if Forex or even stock or cryptocurrency trading I suggest using bonus money to get started so you can practice with zero risk to your own money.
With all of that said, after learned the basics of candle sticks, simple patterns and indicators I was looking for the best strategy out there. The strategy I wanted was one that would have potential for high reward while also limiting my risk.
This, as it turns out, is one of the most important thing to learn in trading...reducing risk while increasing reward. In fact, it more or less applies to all aspects of life.
So I came across two strategies that fit this order, and were relatively easy to use, and had consistently reliable results
Enter Pro Trading Strategy.
This strategy can be taught in 1 hour, however learning to master it can take a lot of practice. There is the pattern that fits perfectly into the strategy, however that patterns that happen are typically small variations of the patterns which will trigger doubt and confusion.
For me, it took watching the pro strategy video 4 times (on different days) to get all of the strategy to sink in to the point where I was confident I had a strong understanding of it. On top of that I have learned that having a checklist to go through for "the rules" of the strategy helps a lot. Because making trades as a newbie can be a little nerve racking and emotional when I have not used a strategy a bunch of times previously. I am a strong believer in learning, doing and teaching to really be able to master something, including the strategies for trading.
It is very easy to learn the strategy and look back and see how it worked...but making the trade, especially with your own money, becomes more of an emotional event. Its a whole different thing.
So as a newbie, making lots of smaller trades is required to get a lot of trades under your belt with a new strategy and so that you can prove to yourself that you can do it...and there will also be some times where you might have taken a trade when it didn't exactly fit the strategy.
These lessons need to be learned partly by actually trading.
So on the next post is the Pro Strategy training video and a list of the rules for the trade.