Mistakes cost Forex traders money every day.
Want to start making money from Forex?
When I think about what stops traders from making money every month from Forex I think about 5 common mistakes million of traders make.
I am going to share the 5 reasons you're not making the Forex profits you want in this post. So here we go.
1 - You Need To Act Like A Pro
I can pretty much guarantee most Forex traders get this one messed up. And this is really an easy one. Click here to find out the #1 Forex Mistake. This is more of a problem for the trader than anyone else. Because most traders think, "I can just read a few blog posts and watch a few videos and Forex profits will start rolling in" I know because I said this before too. The short story = I didn't make the Forex profits I wanted.
Imagine everything a successful Forex trader does or knows that you would like…
- How they became successful
- The tools they use
- Their Forex strategy
- Where they get their valuable information from
How do you think you get this information?
I can tell you personally it's not free! People want to know these answers from me regularly and I can't go into loads of detail because I have paying Forex students who took the time to buy my courses. It starts with free content. And many people have told me I give away so much valuable content for free. Most Forex websites do not give away valuable information for free, it is normally generic. Being better than other Forex sites is one aim here but I also care about my readers so I try to give them as much as possible, without being unreasonable to paying students.
The difference between you right now and a pro Forex trader is they know what they're doing and you probably don't. When traders don’t know what they're doing, they tend to do too much and lose big.
The difference between you & Pro Forex traders
You could ask me any question you like about my trading and I could give you an answer pretty quickly. But if I asked most people trading, any of the questions below, I am sure they couldn't answer them all correctly.
- What is your risk to reward when trading?
- How many trades do you take a month?
- How accurate was your trading strategy last month?
- Which financial instrument brought in the most profits two weeks ago?
Most traders cannot answer these questions because they don’t think about trading like this. They are just a few questions, there are more.
In my Forex Mistakes Training I get everybody going through this stage to get themselves asking one simple question all the time.
If you have no answers for those questions above you are far behind. And I know it's down to two reasons in most cases.
1. You just use free Forex content and think that’s enough.
2. You focus on learning from scammy Forex salespeople who don't trade. For me I recommend traders go through my Forex Training before my All in one Forex course because you need the right framework first. It also makes it low risk (even though all products we sell come with money back guarantees).
2 - You don't know how to trade for yourself
I see this time and time again. And I keep telling Forex traders, 95% of traders lose money. Stop trying to do what everybody else is doing. I guarantee when you learn what works in Forex, you will look around and say to yourself "this is why so many people lose money trading Forex"
Most traders do not know how to trade by themselves and rely heavily on some sort of Forex indicator, tool or software for success. If you remove this indicator, tool or software, they would get even worse results than they get now.
You ever notice why in most Live Forex trading rooms, live trades are rarely taken?
Most moderators just want the money and make excuses about why no trade setups are coming up.
Why do you think Forex forums are so busy?
Loads of traders spend time in these groups talking instead of trading. And the result is they needed to be with other traders but don't have confidence to trade by themselves.
There are no guarantees
You may be thinking, why is independence so important? Well because the goal all traders want is consistent Forex profits every month.
What do you think is more sustainable long term:
Learning to trade by yourself or relying on a group which can fold anytime?
3 - You don't avoid common indicators and robots
At least for the start of your Forex trading I don't think you should use robots or indicators. I personally don't use any indicators like moving averages because everybody uses them and I don't really want to do anything that too many people are doing.
I don't use or recommend them because they rarely work and are extremely misleading. The quicker you learn this the better. Forex is an easy place to get caught up blaming yourself. Sometimes it isn't you but the things you have been taught to do.
This is kind of like #2 because the reason loads of traders lose money consistently is because they use the same strategies and tools everyone else does.
Think about what I said earlier on. Most things which work are not spoken about on free Forex sites.
How to get better at Forex trading
Getting better at trading sometimes is as easy as subtracting from what you are doing now
- What tools do I see everyone using that I use too?
- Where does everyone seem to get information from that I use as well?
- Am I taking the same trades as loads of other traders?
Avoiding indicators like moving averages and Bollinger bands helped me learn to trade Forex for myself without relying on other traders or tools. This was one of the best decisions I made as a Forex trader.
I hope you make the same decision too.
4 - You need to set the right kind of goals
On average most traders want to make about $5000 a month. And most traders make a really big mistake. They say, "my goal is to make $12000 a month" The first mistake is trying to set a goal which is not even the actual goal you want. In all honesty and through experience, I know that most people need less than what they want.
Because most traders enlarge their goals it means the end target is further away. This means it's harder to reach and most people give up before they even try.
What you need to do instead is set a goal which is easy to attain.
If you need $5000 a month, focus on setting goals around $1500 or $2500 first. Immediately this makes the goals more achievable and in your mind (Forex psychology) you feel it will be achieved a lot easier.
Why This Is important
The reason this is so vital is because as you pass each goal, you will gain more confidence. This is also important because you can scale these goals up towards making $5000 a month. But you can't scale something which is not achieved, like a goal you will never reach.
5 - You need to plan trades ahead of time
All trading comes down to is buying or selling. This doesn't have to be decided there on the spot and I don't advise you do so. If you plan to find places to buy and sell in advance, you will be much more prepared to take the trade than most.
There is nothing wrong with not planning trades in advance but if you think from the standpoint of what would be easier, planning in advance is more likely to give you the results you want. You can ask traders if you know any, most will tell you they don't do it. Even more interesting are traders who tell you they have never heard of planning trades in advance.
Be a step ahead of other Forex traders
As a Forex trader, you want to put yourself in a better position than other people trading. The truth is, you are competing against them.
When other traders are panicking about whether to buy or sell because like most they don't know what they are doing. You have already picked out a potential trade and are waiting. You don't have to start thinking under pressure about which way to trade. But are waiting for your trade opportunity to arrive.