Forex training (also known as foreign exchange currency or fx training) entails more than just learning the various trading strategies. The key to successful trading is in the mastery of your mind and emotions.
Mastery of your mind and emotions during forex trading is essential to enable you to feel in control, balanced and stable throughout all the fluctuations of the prices, so that you are able to effectively execute your trading strategy as planned. Much training and personal coaching is needed to help you manage your mixed feelings during trading.
When trading real time with a live account, most people would experience a myriad of emotions as the prices fluctuate up and down. After entering a trade, if the prices go up, the traders would feel joy, hope, euphoria and then greed. They do not exit as planned, hoping that it would go up even higher. But when the prices come tumbling down just as fast, the traders feel regret, disappointment, hope, desperation, fear and then panic. They do also do not exit as planned either, as they do not want to take losses, hoping that the market would turn back up. But if it does not, they would take even greater losses. This is a very common scenario and reason that many traders end up losing money.
Lots of coaching and practice is needed to prepare you for the pitfalls in advanced, so that you are mentally prepared on the day you trade with real money. You will need to acquire total confidence in your skills and trading strategies to develop discipline and self-control. You can do this by acquiring knowledge, plenty of practice on the demo account with real-time live quotes.
Without mastery of your mind and emotions, no matter how good your trading strategies are, they will not be successful for you, as they would not be executed rationally. The trades that are actually done, would have been based on emotion, and that is known as emotional trading, which is very hazardous to a trader’s financial account.
