The Importance Of Discipline In Trading In order to become a trader successful Whether you are trading foreign currencies in the forex market, or shares of United Trading companies in the global stock exchanges or any other asset, you must, of course, as is the case for any other field you can familiarity with a certain amount of knowledge as much, and how to apply this knowledge on the land
Know the global financial markets, the participation of many parties from institutional investors, banks, hedge funds and traders to individuals, so and so that you can keep up these institutions and professional traders others and survive in the market known as competition increases continuously, you have to be an expert on how markets work and how they behave competitors other traders. Therefore, you are required to be familiar with most aspects of the trading of comprehensive knowledge of how to move their prices and the ability to analyze, which is gained by learning the technical and fundamental analysis.
Although the availability of knowledge and full understanding of how markets move and the ability to predict future trends is very important, but it is not enough to continue to market and make profits that were not able to discipline in the implementation of your strategy and commitment to plan your trading.
The importance of discipline in trading
In order to become a trader successful Whether you are trading foreign currencies in the forex market, or shares of companies in the global stock exchanges or any other asset, you must, of course, as is the case for any other field you can familiarity with a certain amount of knowledge as much, and how to apply this knowledge on the land Indeed. Therefore it has to be familiar with aspects of fundamental and technical analysis and the factors that will affect the market, which traded in it. Add to that the ability to trading discipline and control options.
you may be a master of understanding how markets move and can anticipate future trends of prices, you may lose your money and withdraw from the market quickly so were not able to trading discipline and commitment to the plan.
May be circulating a great knowledge of the technical and fundamental analysis, and you have a good ability to analyze the market and predict future trends for the 100K Factory Revolution Scam price, but this is not enough, you need to set yourself and control your emotions in real-time to make the right decisions with regard to dealing with transactions during the trading process , because you will be under great pressure as long as you are prone to losing your money, as you might come your way feelings of fear, greed and vanity.
If you are trading without discipline will be an exhibition of loss dramatically, because you enter a spiral of irrational decisions due to the lack of any prior plan. And it will trade according to the instantaneous trading decisions, so that it enter into a deal on an asset just because you heard a positive story about the origin, just to know the origin of this momentum and an increase in trading volumes. Once the bounce against your position panic and anxiety because you do not know what to do, you are closing the deal and incurred minimal loss, or wait in the hope that the price falls back to your advantage, here will act according to your feelings, fear of loss and vanity through Waiting for this pair to your advantage .
What should be done to stay disciplined?
To be able to control yourself and stay disciplined during the trading process you should in the first place to find yourself a profitable strategy has been tried in the sense that in the long term and through the implementation of this strategy frequently will be permanent total earnings greater than the sum of your losses, so you before sitting down to your computer screen and access to your trading platform will be aware of in advance, what are the tools that will be traded on, what is it that will make you open a certain center, and is something that will make you shut this place, and what is the length of time it might take place.
The evaluation of the risk ratio properly and make the size of trading positions commensurate with the risk ratio for each center, and find out how much risk can you afford in each deal easier for you Momoretk trader, and will relieve you of trading pressure and makes your mind relaxed.
Something else can help you trading discipline is the use of stop loss order and ordered to profit-taking in your operations, so must put stop-loss order immediately after the opening of any deal, and whatever the direction. Stop-loss level is the exit area in case prices move against your position, and that when it reaches the price then means you were wrong about the price trend and thus exit the least damage.
And is this benefit in that your position closes automatically when the price reaches an area, where a lot of traders are trading without the use of stop-loss order for fear that the price up to the stop loss area means closing their positions and then bounce them, and these traders are incurring heavy losses. It also applies to the profit taking is that you should be able to determine your goal in terms of price and take profit is put accordingly.