How to become a professional Forex trader in 5 simple step-Just as Forex is a profitable business, its range is so large that there is no shortcut roadmap to becoming a professional forex trader.
How to become a professional Forex trader in 5 simple step?
This means that to succeed in trading the Forex market, he must patiently prepare himself through hard work over a long time. Overcome below 5 step-
This is the first step when you start learning about Forex.
You know it’s an easy way to make money because you’ll hear a lot about it. Unfortunately, you think it’s easy, just like your first desire to learn to drive the car you thought would be easy, the biggest thing is how much harder it will be?
But unfortunately, you will trade a lot and take a lot of risks, just like you put your first hand in front of the steering wheel of the car but do not know what you are doing. When you do trade it will go against you, so you close it and take the opposite trade and it goes against it and it will continue to be so.
You may have some initial success in the beginning, but it is worse because it will tell your brain that it is really easy and as a result, you will start to take more risks.
You will double the trade size to cover each of your losses. It works occasionally but most of the time it will damage your account. You will be completely oblivious to your incompetence.
This first step usually lasts a week or two.
Step 2 – Conscious incompetence:
In the second step, you will realize that it is not as you think,
there is more work to be done here. You will consciously realize that you do not have the qualifications or knowledge to make a regular profit.
Now you will start visiting various websites from the USA to Ukraine world, look at different systems and ebooks, and above all search Holy Grail. This time you will become a “system nomad”. Day after day and week after week you will see that method does not work well. Whenever you see a new indicator you think it will change your whole trading.
You will continue to test expert advisors in MetaTrader. You will continue to play with hundreds of indicators like moving averages, Fibonacci lines, support & resistance, Pivots, Fractals, Divergence, DMI, ADX just in the hope that your magic system will start today. You will try to catch the Top & Bottom in the hope of finding the right reversal point with the indicator. Eventually, you will see that you are running after the lost trades and adding more trades because you know you are right.
You go to different live chat rooms and see other traders getting pips. You wonder why you can’t. You will continue to ask millions of questions, some of which will make other people in the chat room think you are stupid. Eventually, you will conclude that those traders who are making pips after pips are liars. Because you have researched Forex, you know everything that those successful traders know, but you are not making a profit, it means those traders are lying. But they are there day after day and their account is growing where your account is declining.
You’ll be like teenagers. Everyone gives free advice to teenagers but no one listens. Everyone will advise you too but you will be as stubborn as you are and think you know everything. You will continue to trade as much as you can. You will follow the signals of other successful traders. But when that doesn’t work, you’ll want to buy signals from other signal providers and use them. That won’t work for you either.
You will go to some “gurus” who will agree to make you a professional trader (for a fee, of course). Whether that guru is good or not, you can’t do anything because there is no substitute for screen time, and you still think you know everything.
This step can last year after year. In fact personal experience and talking to other traders ensure that this step can easily last around 1 to 3 years. At this stage, you can say goodbye to forex trading even out of sheer frustration.
About 60% of new traders will say goodbye to Forex in the first 3 months, and that’s fine. Imagine for a second you were transposed into the karmic-driven world of Earl. The other 20% will go for about a year and then blow their account with extra risk due to frustration.
What may surprise you is that the remaining 20% will last for about 3 years, and they will think they are safe. But even after 3 years only 5-10% will continue and will continue to profit continuously.
(By the way, these figures are real. It’s not that it came to my mind and I wrote it down. So when it’s 3 years old, don’t think that you will succeed straight from here. None of them have been trading for more than 3 years. If you think you know better then ask someone in a forum who has been trading for 5 years. Ask them how long it took them to be 100% efficient. Didn’t see anyone.)
Eventually, you will start to rise from this step. You’ve probably spent more time and money than you expected, lost 2-3 live accounts, but it’s in your blood now.
One day you will reach the 3rd step.
Step 3 – Eureka :
Towards the end of step 2, you will realize that there is no problem in the system,
which you thought. You will begin to realize that it is possible to make money with a simple moving average if you can apply proper money management. You will start reading different ebooks on psychology and match the different characters described in those books. Eureka will finally arrive at the moment.
This Eureka Moment will create a new connection in your brain. You will suddenly understand why no one in the world can predict what will happen in the next 10 seconds of the market, 20 minutes is the next thing.
Because of this feeling, you will stop thinking about what others are saying, what will be the impact on this news market, or what the event will be like. You will trade in your own method.
You will start working with just 1 system that goes with you, you will start to be happy, and you will start to define your loss.
You will start taking every trade that looks good in your system. When there is a bad trade, you will not be angry anymore, because you will understand that it is not your fault. You will close the trade early when you realize it is a bad trade. You will understand that the next trade or the next trade may be better because you know your system works.
You will stop seeing trade-to-trade results and start seeing weekly results. Because you know 1 bad trade doesn’t make 1 system bad.
You will suddenly realize that trading games are just one thing, that is the discipline and determination to take every trade in your system because you know the probability will be in your favor.
You will learn about good money management as like professional Forex trader, leverage, etc., and smile at those who advised you to learn about it 1 year ago. You weren’t ready then, but now you’re ready. Eureka Moment will only come when you realize you can’t guess about the market.
Step 4 – Consciousness Qualification:
You are trading when your system tells you to trade. You accept losses as easily as you gain.
You now keep your winning trade to the end without closing too quickly. You know your system trades more profitably than it loses, and you close when your trade loses (without adding more positions as before).
You are now at a stage where most of the time your account is Break Even (profit equal to loss). Maybe if you get 100 pips this week, you lose 100 pips next week. At this stage you are not losing money, you are breaking even. You know now that you are doing good trades and you are getting respect from other traders in the chat room. You still have a long way to go and the more you move forward, the more you gain rather than lose.
You start the day with 20 pips, but then you lose 35 pips but your mood will not change because you know that those pips will come back. You will continue to gain consistently every week, 25 pips this week and 50 pips next week.
- This stage lasts up to 6 months.
- Take care and good trading to you all.
Step 5 – Unconscious Qualification:
Now you are driving like a professional Forex trader.
Every day you sit in your chair and trade. You do everything unconsciously now. You are now running Autopilot. You are trading big now. Gaining 200 pips a day or 1 pip is the same, neither can create any joy/excitement for you.
You now see newcomers shouting “Go Dollar GO” on the forum as if they were betting on a horse race, among them, you find yourself back many years ago.
This is the fantasy of trading. You have mastered your feelings, and you are now a trader whose account is constantly growing.
You are now the star of the trading chat room and other traders are listening to what you have to say. You get back to the questions you asked yourself many years ago. You keep advising like you do, but know no one will listen to your advice because they are mostly those stubborn “teenagers”. Some of them will come to your position, some fast, some late. Usually, after a dozen of them, dozens will not be able to cross-step 2, except for a few.
Trading is no longer a pleasure for you, but a bit annoying, just as you find your current job/study annoying, trading becomes annoying. You are doing your job.
You are now sharpening your system on how to bring more profit at less risk. Your system is not changing, just getting better day after day.
You can now raise your head and say “I’m a currency trader”, but to be honest you won’t want to, because it will feel like any other job to you.
I think your “inner journey of a trader’s mind” has been enjoyable and maybe you have found a point of view professional Forex trader your own here.
Remember, only 5% can. The reason is not merited, but the power to stay.
They are losers who want to be ‘get rich quick.
I can happily say that I also started trading in the hope of ‘get rich quick, but now I can see that trading is ‘get rich slow’.
If you want to give up, I can give you an advice –
You ask yourself – “How many years would you go to a school, college, or university if you knew a job with a million dollars a year was waiting for you at the end?”
Overcome these 5 steps then you can become a professional forex trader.
Take care and good trading to you all.