While successful forex trading can free us from waking up to the sound of the alarm clock, commute to the office and smile to the boss, it still requires discipline and takes time. There are no shortcuts. Becoming a successful trader does require some characteristics of a day job.
The Forex Guy wrote about the patience that is needed for forex traders, and touched an interesting point – forex traders want to be free of their jobs and their bosses. I’m following up on this point. Here are the characteristics:
- Education: While you don’t need to spend years in college, basic education is necessary. It can either be done in a forex course, by hiring a coach or by studying alone, if you are disciplined enough. In any case, education cannot be avoided.
- Training: Learning the theory is nice, but like driving lessons, getting on the road is essential. Using a forex demo account for learning technical analysis is one necessary step. There are more.
- Discipline: Sticking to a strategy is very important. This means not forcing yourself into a position. It also means not escaping from a position just to calm yourself down. And sometimes this means accepting that you just don’t do anything. The Forex Guy dives into this issue. This discipline is different from the one you have to demonstrate in the office, but it can be much harder.
- Occasional reassessments: You don’t have to go the meeting room for this, but you should occasionally check out your trades, see what went well and what went wrong, and make modifications to your strategy. The meeting minutes are for yourself.
While similarities exist, the freedom is very rewarding. Do you find additional characteristics?Get the 5 most predictable currency pairs