January 16, 2008
Survive the Forex Market
What does it mean to survive in forex trading? I think it means more than just trying to make a profit. To me it means sticking with it, learning reliable strategies and not quitting when you take a few losses. If you stay around long enough, follow your set trading plan and take your profits as they come, you will be there when a “big move” comes along which can be extremely profitable.
If you have a trading plan and a trading system to guide you then you will be able to take a few losses and catch the big moves. The statement “cut your losses short and let your winners run” is a very powerful concept. Use good entry and exit signals; trust your indicators and you will have some small losses, but many more very large gains.
Many people go for a home run every time at bat. You can have home runs if you get good at the basics, have discipline, and consistency in your trading. If you get 20 pips each day then at the end of a month you will have around 400 pips. Add the home run on for another 100 plus pips, and now you are at 500 pips for the month. Good steady growth in your account like this is much better than a savings account.
It is a wiser move to become a good trader rather than a lucky trader. I have talked to traders that have made $20,000 in 2 months and in 2 days lose $24,000. They were guessing which way the market would go and got lucky because of a good trend. Then not knowing the signals for a trend reversal they started to trade in the other direction because they thought the market was turning rather than letting the market tell them which way it was going and when it was going to turn, or change directions. They were using signals that were obtained by past history trying to project the future rather than trading in the present.
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Followed you back from Endangered Spaces. Do you actually make money with Forex? As I understood it, you had to have big $ to make money. I was burned on some egold investments, so I opted out.
Yes. Many people believe that you have to have big $ to survive the market, but that’s not true. Start out small (maybe with a $500 account) and use a simple strategy that consistently gives a little here, a little there. Obviously there will be some losses along the way but they will be small compared to your consistent profit. Use the “JumpStart” strategy that we have developed to get an idea. Find it here: Online Forex Course.
Thanks a lot for the tip,its truelly helpful.I am new to the system and want to survive in the market as you say,I read another blog that explained to that I can make the 20 pips daily,the problem is,I dont know how to read the different charts,becouse according to him,they are the most helpful in these market.Can you explain to me how I can make the 20 pips daily without making a mistake.I have never traded before,and I would like to start next week.Thank for your help,
Nicholas
Nicolas,
I would recommend that you spend some time practicing first if you already have not. Do not throw good money at something that you really need to study first. This market is not a get rich quick opportunity. Anyone that says it is, is not telling the truth. With practice and with time you will learn to read the charts and know what they are telling you. You will also need to develop an ability to lose money without it affecting your over all plan and direction. Loss is a part of the game. Our Jump Start Online Course Strategy will help you to understand and learn this market. Remember, patience is the key to success in this industry. Start small too; don’t quit your day job until you are making money consistently.
Jed