How many times have you “regretted” of a Forex order which you were supposed to place immediately but you had not?
You must have opened your computer many times and thought that “I should have had (lots of) money” and regretted it, haven’t you?
Plenty of times, you have decided to cut the loss when the price is close to the automatic cut-loss that you set earlier. But after waking up the next day, you saw prices have come back which should have made your orders “profitable”.
With many years of experience, I personally still make such “mistakes”. And I guess that for those who are new to the Forex market, you encounter these mistakes a lot more than me. This is a big issue that we all suffer quite often.
Today we will discuss how to overcome and avoid this situation. However, you also need to understand that it is not too bad to miss such “tasty” opportunities. We never have to be afraid of losing opportunities, what we are afraid of is losing money.
Why don’t we place or exit an order in Forex?
The first thing you need to do is find the cause of the problem. Why don’t you click on an opportunity and tell yourself “just place it”? I would list the following.
Worry and hesitation before each order is a common phenomenon often found in new traders and traders who have experienced a long period of losses. This fear comes from various sources such as not fully mastering your trading strategy, risking too much compared to the money in the account, etc.
And whatever the reason, “fear” is not a word that should be in the dictionary of successful traders.
Lack of certainty and confidence will make you feel hesitate when placing a Forex order
You always feel suspicious about your ability to make money in this harsh Forex market, don’t you?
Whatever the reason, if you lack confidence, you will miss many of the opportunities the market offers. I know confidence can only come when you have a few achievements during trading. But if you are new, don’t be afraid. Accept reasonable risks and be confident. This job you can do for a lifetime (just with a computer and an internet connection).
Invest in learning and studying to increase your knowledge, thereby boosting your confidence.
Too much pressure when making a trade
Some traders have a habit of putting too much money (compared to their balance) at risk for 1 Forex order or trade a lot in 1 day. They put too much “pressure” on whatever order they place. This makes them become nervous and afraid when placing a new order after a series of losing orders. Even when before their eyes is a pretty-sure-candlestick system to earn dollars.
If you risk too much on each order and lose a few ones, you will become scared of losing more money. That’s why you miss certain “fairly” good opportunities that the market offers (we can’t know for sure which orders will be profitable).
If you’re an over-trade person and trade even if you think you shouldn’t (I am sure you used to), you most likely have lots of losing orders. This makes you in a state of fear and dare not enter a new trading order in Forex.
Not mastering your trading strategy
Perhaps you do not fully and clearly understand how to trade with your strategy. If in this case, you need to take time seriously learning, practicing your strategy WITH A DEMO ACCOUNT. And remember, you should use and choose a simple strategy. Don’t complicate unnecessary things.
If you are confused with charts of more than 10 types of indicators, you may have missed out on the price action trading. It is because the method you choose is too complex and too difficult to analyze to decide whether or not to trade.
When you have a simple and clear method, just follow the rule. If there are enough conditions, then place a Forex order. If not, continue to observe.
Believe in signals
The first thing to do when you want to get out of this problem is to trust your trading strategy and every signal you see on the chart.
I will never make a trade if I am NOT FULLY TRUSTED in it. So how do you know if it offers a high chance of winning in a Forex order to trust?
You need to really understand and master your trading plan and your price pattern as well as how and when to “enter” it. As long as you know exactly what you need to observe in the market, you will no longer doubt yourself. And you will no longer trade when you think that you should not. You also have no reason to hesitate when a certain chance to make money appears.
Many traders do not trust their trading strategy because it is too complicated. It makes them feel confused and sometimes lost in a jumble. Or maybe they don’t really understand it.
Becoming a master of the trading strategy you pursue is what I repeat many times. And I think you should only trade with a real account once you master it. You have no need to rush. We can trade forex for a lifetime.
Trust yourself and your abilities
Only then can you do everything well. If you do not believe that you are capable of making money with Forex trading, you should not even trade forex, let alone become a successful trader.
Do not be sad, disappointed, and blame yourself after a losing Forex order. Losing orders are an unavoidable, even for legends in this field throughout history. All traders have losing orders. It makes no sense to let it affect your confidence and trust.
Face your fear
After all, to make a profit on the market, you have to accept a certain level of risk for each trade. You have to let the market decide whether you are right or wrong.
Once you make a trade, accept that you have lost the amount put in the stop-loss and stop “fighting” with it. Let the market decide. Always honor the market and follow it. Do not try to control or command it. Stand on the shoulders of the giant and follow it. You will be “shattered” if you want to become an obstacle before Mr. Market.
The market is always moving up or down. You need to know how to read market signals to follow. You must understand and accept that you will SURELY have losing orders. Remember that you cannot confront the market. You can only get what it gives you. At that time, your transaction will be much easier and simpler.
We humans get frustrated and angry when things do not follow what we think. The same is true for Forex trading. You need to learn not to place expectations (greed, hope) into each Forex order, because any order can lose.
The key to the problem is to trust your “trading strategy” and continue to “prey” upon opportunities as they appear on the chart. Forget the fear and let the market do its part when you’re already in a position. Do not cut loss or take profit by yourself before the cut-loss or take-profit setpoints.
You must really understand and control your trading method as well as follow the plan carefully and accurately. Then you will see positive changes with your trading. Please trust.