You Don’t Need To Trade Every Week

Something that I thought early in my trading journey, was that I’d always be “in a trade”.

It felt like if I wasn’t in a trade, I was doing something wrong, or I wasn’t looking hard enough for entries.

I wrongfully believed this, and got tired of the stagnation. I recall placing market executions, and forcing trades that were half-baked, at best. Incase you can’t guess what happened next – I severely damaged my (luckily demo) account. It made me then feel like I had no business trading Forex.

When I started the private coaching with Marc, we dug into what it was exactly that I needed help with to find success. We found that I was guilty of over trading, and I was taking on too many losing trades. It wasn’t so much that I couldn’t find winners, no. It was more so that my wins would be heavily outweighed by losses, keeping my growth to a minimum.

The solution? Only take A grade, valid setups.

 

Learn to Sit on Your Hands

One of the hardest things for a beginner to grasp, is that trading takes patience. Unfortunately, It’s a lesson best learned, not told. So although I’m telling you this, it might not be something you fully grasp for a little time.

Let me tell you what I’m talking about.

You might look at a chart or setup, and see – a valid entry! But, it’s so far away… Well, you don’t see anything else for the week, and people in the forum are posting trade ideas, so you thing that means you’re either looking at it wrong, or not looking hard enough. So what do you do?

You ever hear people say something like, “If you go looking for trouble, you’ll find it.”? Well, the same goes for placing a trade. Only problem is, you don’t realize it’s trouble until it’s too late. It’s easy to chase the rabbit, but it’s much harder – and takes patience – to wait for it to come eat out of your hand.

A weird thing about being profitable with trading, is that we only have to win about 30% of the trades we take. This comes down to how we’re taught to manage risk. We can have 4 losses, and since our risk was managed, one win could clean up the whole mess, while locking in gains on our accounts. This isn’t something to go and test, though…

I remember learning this and wrongfully thinking, “I bet I could get at least 3/10 trades right, I got this”. So, I placed way too many orders, thinking that the minority winners would sweep up from the other losers. I thought of placing trades like fishing poles; cast as many as you can, something oughta bite.

Only issue was, I kept snagging my lines because I was casting in stupid areas. And those snags added up, more than the few floppers I managed to get in the bucket. In other words, my losses outweighed my gains, which I thought was acceptable…? But the difference was, each time I’d compound a loss, it would chip away at my gains. I would tip the bucket over, releasing all of my fish, back into the pond.

650x60 100 Free training course 4

What do I do?

The key takeaway here is that patience is paramount. Learning to sit on your hands and wait for the perfect setups is a crucial skill that separates consistent winners from those who chase every trade.

If you’re on the right path, it’s simply just a matter of time until you see this clearly.

Talk soon!

Phil Flipse