Staying on the sideline for the most profitable trade setup

[vickymacklean]

Becoming a successful trader in the online trading industry is not easy. You have to work really hard to learn the basic details of this market. Most of the new traders start their trading career without educating themselves about the dynamic nature of this market. As a result of this almost 95% of the traders loses money in Forex market. But who are the 5% people making a consistent profit? These are the smart investors in the trading world. They know very well about the importance of proper trading education and they never take risk more than 5% of their trading capital. Many people in Australia have mastered the art of trading within a very short period of time just by the devoting themselves to the proper education of Forex. You need to learn how to stay on the sideline and wait for the most profitable trade setup.

Never trade with your gut feelings

If you trade this market based on gut feelings than you are going to blow your entire trading account within a short period of time. Sometimes you might have some big winners but this not the perfect way to trade this market. You have to learn to control your emotion or else you will start overtrading the market just after funding your trading account. Overtrading is often considered to be the most dangerous enemy of the full-time trader. It forces the traders to trade with big lot size and ultimately the traders lose a significant portion of their trading capital. By any means you have to learn to control your emotions or else you will never see the face of success. Success so hard that if you don’t love trading as your full-time profession than you will never overcome all the obstacles.

A single trade enough to secure whole month profit

Trading has nothing to do with high-frequency execution. If you can place the perfect trades in your online trading account than a single trade will be enough for you to support your whole month financial need. But if you trade with a very small trading account than the case will be a little bit different for you. Instead of placing hundreds of trades in every single month trying to find a single quality trade setup. Assess the risk factor and place your trade with precise stop loss. If the trades go wrong there is nothing to worry since you will lose a small portion of your trading capital. Losing trades are inevitable in Forex and you have to embrace it. Human beings are not programmed to accept the losing trades. To become successful in Forex market you have to reprogram your mind to deal with the frequent trading loss.

Fundamental factors and high impact news release

It’s very obvious that the new traders will get excited prior the release of high impact news data. But the professional traders always stay calm in such situation. They know very well that by taking aggressive mood nothing can be achieved in the Forex market. Instead of placing random trades you need to assess the fundamental data to get clear about the movement of the price. Some retail traders often say that doing the fundamental analysis is extremely hard but if you stick to your trading system than within a few months you can easily learn the pure basic of the fundamental analysis.

Being a retail trader you have to overcome lots of trading challenge. Most importantly you will have to stay on the sideline to make a consistent profit by executing high-quality trades. Some traders often rely on the indicators reading too much but this doesn’t make any sense. Try to trade the clean chart and trade with proper risk management factors. Never take too much risk in any single trade even though you are 100% satisfied with the trade setup.