Fighter pilots are an occupation that requires exceptionally high skills that ordinary people like us find very complex. However, for those who do that job, it’s all just the work habits they have repeated hundreds or even thousands of times. Surgeons, magicians, etc., or highly skilled careers are the same. Let’s relate this to our job as a Forex trader.
Surely, outsiders also think that this is a very complex job with all kinds of theory and confusion, with lots of information back and forth, etc. They do not understand how we can make money from that “super messy mess”.
What do the people in the examples mentioned above have in common? That is perseverance.
You’ve probably read a lot about (good) habits that are the “key” to help you succeed with forex trading and virtually every field of your life. But perhaps not many people know how to establish these good habits and maintain them. In today’s article, I would like to discuss this issue.
Growing your account is like building muscle
Persistently going to the gym, even if that day you don’t want it at all, will give you the result. You will get stronger (both body and soul) and your body will be more good-looking. Persevering healthy eating, staying away from alcohol, tobacco, etc. will also give you the result. You will be healthier.
For those of over-sized bodies with too much fat, it is very difficult for them to practice healthier eating, or go to the gym hard. Because they HAVE HAD a lot of bad habits like being lazy, eating unhealthy foods, and creating “junk” in the body.
For people who are healthy and lead a healthy lifestyle, they feel comfortable and at ease doing the right exercise, jogging, and eating. Because they have persisted for a long time with these habits, making them an integral part of everyday life and becoming part of who they are.
Similarly, if you persevere to get up early to go to school or work, you know that it will soon become a habit. On the contrary, if you get used to staying up late at night, it can also turn into a habit. And changing is difficult and time-consuming. Sleeping and getting up early helps you become a healthier and more active person. So obviously we should take advantage of perseverance and repetition to form good habits.
Persevering learning and cultivating yourself turns you into a more knowledgeable, more successful person. Thereby, you can earn more money than those who are not willing to learn.
Napoleon Hill wrote in his “Think & grow rich” as follows: “We are what we think about and do”, so you have the right to decide for yourself good or bad habits, based on perseverance in the action.
If you smoke every day, it quickly turns into your bad habit. If you persevere and discipline your capital/risk management reasonably, persistently trade with your strategy, and do not indiscriminately trade, etc., you have been forming extremely good habits for trading. And the result will come very quickly. You will become a successful trader and investor, not only in forex trading but also in stock or real estate trading, etc.
Persistence in building habits of a successful Forex trader
Perseverance and sticking to your trading strategy helps you to control and master it. Only then, you may really know whether it works or not. Changing trading strategies constantly, finding, and hastily testing new strategies that “other people” tell you that they can bring you a lot of money, will cause you great damage in both short term and long term.
How do you know if a strategy will work if you don’t really understand it, master it and spend enough time to test it? You might ask me how long is enough? My answer is at least 06 months.
Perseverance in risk management is very important. Always fix the risk amount in the dollar (not the percentage %) for each trade. This helps you control your losses within a tolerance limit, both on your account balance and emotions. Many traders often change their risk levels. Maybe only after 1 or 2 winning orders, they are ready to bet bigger, then lose all the profits and even burn out their accounts.
Maintain your risk level in place, even after a (big) loss or a (big) win. This is a very important key to the difference between a professional Forex trader and an amateur.
Persistently monitoring your trading orders and recording daily trading reports (a form of transaction log) are the things you should do to have good and effective trading habits. These things do not take you much time. It is also quite boring and is probably the most “paperwork” stuff you have to do as a Forex trader.
Most traders do not do these things. They do not review on orders that have ended. They do not look back at the mistakes to make corrections or the right things to promote. And they become easily undisciplined and fail to create and maintain good trading habits to succeed in the market.
Perseverance is the catalyst of successful trading
A fighter pilot begins learning in classes. He then practices virtual piloting on computer screens. And eventually, after years of learning, he practices with real fighter planes.
A professional Forex trader also starts with courses. He studies online, meets these and those teachers, finds himself a suitable method then trades on a demo account. And later, when he feels confident enough, he can start trading on real accounts. From there, he gets along to live with the trading career.
Without patience, you cannot become one of these two examples or perhaps every other example of success in life. I have a simple formula for you: perseverance = habit = result.
Be patient with your trading strategy. Stay persevered in risk management. Consistently maintain your composure after every order whether you win or lose. That is you are giving yourself the best opportunities to make money in the long run.
Most traders lose money as a result of not having perseverance with good trading habits. Instead, they establish bad habits such as non-compliance with their trading strategies, undiscriminating risk management, excessive trading, etc.
The good news is you have the power to choose what you will focus on. You can choose to establish and repeat good or bad habits (you already know what they are).
In trading, you just need to fight yourself, not anyone else, or any other force. Train to be better than yourself yesterday on your way to becoming a successful forex trader.