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Scaling the Wealth Pyramid: Your Path to Prosperity 💰🏔️ Embarking on the journey to financial prosperity involves scaling a pyramid of wealth-building levels. From conquering pesky debts to strategically saving and investing, each level signifies a significant stride towards securing your financial future. 🚀 Let's explore these stages in detail, supported by real-life examples that illuminate their transformative impact. Level 1: Banishing Bad Debts At the foundation of wealth-building lies the elimination of bad debts. 🚫🔗 These debts, often accrued through high-interest loans or credit cards, drain your financial resources. Imagine breaking free from credit card debt that accumulates at an alarming rate. By creating a disciplined repayment plan, you can not only shed the shackles of debt but also free up funds for the next levels. Level 2: Cultivating Smart Saving Habits With debts conquered, the next step is cultivating a robust saving habit. 🌱🏦 Setting aside a portion of your income as savings ensures you have a safety net for unexpected expenses and future investments. Consider saving for an emergency fund, a down payment on a home, or your retirement. Level 3: Entering the World of Strategic Investing Once you have a solid financial base, it's time to step into the world of investing. 📈🌐 Strategic investments have the potential to multiply your wealth over time. Whether it's stocks, real estate, or retirement accounts, investing strategically can accelerate your journey to financial independence. Level 4: Achieving Financial Freedom The pinnacle of the wealth-building pyramid is achieving financial freedom. 🏆 This level means that your investments and passive income streams provide enough to cover your living expenses. You're no longer tied to a traditional 9-to-5 job, and your wealth continues to grow while you pursue your passions. 🌟📉 Climbing the wealth pyramid is a transformative journey that requires diligence, discipline, and strategic decision-making. From eradicating bad debts to saving, investing, and ultimately achieving financial freedom, each level builds upon the last, propelling you towards a prosperous future. The examples provided showcase how real individuals navigated these levels, offering inspiration for your own path to financial success. Remember, it's not just about reaching the top; it's about enjoying the view and the security that comes with it. 🏔💰 Hey traders, let me know what subject do you want to dive in in the next post?
OANDA:XAUUSDEducation
by TopTradingSignals
12
How to be consistent in your trading?In the beginning, take your time to learn and absorb all the knowledge. Build a strong foundation that can be used later on in your trading career. Do not rush so that you can start earning money. Many of you tried to look for shortcuts. Let me tell you, there is none. You won’t believe me now. Trust me. A few months or years down the road, you will realized that you’ve wasted all these time for nothing. It’s not about how fast you can profit from the market. It’s not about how fast you can trade live. It’s not about how fast you can do your technical analysis. Your journey will look different from mine. It can take me months to understand concepts like sell-side and buy-side liquidity, but it could take you only a few days. There is no shortcut to application. You have to put in the work to grow. You won’t see this immediately. You can only see growth over time. This is the only shortcut you have in trading. 95% of the traders out there don’t stick to a system of learning and applying what they’ve learnt. They think that by apply some RSI and EMA, they are able to make it big. If it’s so easy, why are 95% of the traders not profitable? Many traders think that a system is shit after a few losing trades. There are ups and downs in trading. You can’t win 100% of the time. There are 5 outcomes in trading. 1. You win big 2. You lose big 3. You win small 4. You lose small 5. Breakeven If you can eliminate #2, you’re going to be a profitable trader. Aside from focusing on trading, you must take care of the conditions outside of trading. Having good personal relationship with your family and friends. Your financial situation need to be a at good position to invest before you start trading. This is a very difficult psychological environment. You’re risking money everyday. You’re managing money everyday. You need to find a way to detach yourself from the need of profiting every single trading session. To remove the stress and psychological barrier, write them down. Many of times, once you’ve written them down, you can be aware of these issues. 80% of the time, these are mental blockages and has nothing to do with your potential. By acknowledging these thoughts, you can control them from a psychological standpoint and prove them wrong. By proving these issues wrong, you destroy the stress and psychological barrier in your head. Overthinking is the biggest causes of losses or lack of profits in trading. Thinking about it more or putting more work into it is probably going to have a negative impact on you in the moment. Put that work into finding a way that can expedite your decision making process. All the thing that once your decision is made, can divert your attention so you’re not there stewing on it. Trading is the same as hitting the gym. All new or unprofitable traders seem to think that for all the profitable traders that are able to trade correctly that there’s this golden nugget. There’s this piece of information that people are holding back to stop them from succeeding. To be strong and muscular, he performs the same squats, the same bicep curls, the same bench press that 99% of gymgoers do everyday. The only difference is that he did it over and over again consistently. He never miss workouts and never create excuses, so that he can push himself to achieve his goals . The exercises are exactly the same, but the differences in results based on compounded discipline and effort is where the differences lie. Stay consistent. Stay safe. Success is just around the corner. If you enjoy such content, feel free to click the like button and subscribe for more. Let me know what are your thoughts and learning points in the comments below so others can learn from you too! Please let me know what kind of topic you would like to read next :)
PEPPERSTONE:NAS100Education
by Keeleytwj
Navigating Losses in Forex and Gold Trading 📉📈 In the world of forex and gold trading, losses are not a mark of failure but an integral part of the journey. 🌐💰 Understanding that losses are inherent to the game can transform how traders perceive setbacks, allowing them to harness losses as powerful tools for growth. Let's delve into the significance of losses in trading and explore real-world examples that illuminate their transformative potential. 🚀 The Learning Power of Losses Each loss carries a hidden treasure trove of knowledge. 💡 Analyzing trading decisions that led to losses unveils valuable insights about market trends, risk management strategies, and timing. For instance, a trader who overextends their position due to overconfidence might encounter a loss. This experience can serve as a pivotal lesson in controlling risk and sizing positions more prudently. Real-World Examples Resilience: The Silver Lining Losses can be emotionally draining, but developing psychological resilience is the silver lining. 💪🧠 Traders who persevere through losses cultivate emotional discipline, preventing rash decisions fueled by fear. Imagine a trader weathering a series of losses during a volatile market phase. By learning to navigate this storm, they emerge as more composed and adaptable traders. 🛑📉 Losses are not detours but vital checkpoints on the road to success in forex and gold trading. By shifting our perspective and seeing losses as opportunities for learning, we tap into a wellspring of growth. Real-world examples like Brexit and the pandemic-driven market fluctuations underscore the transformative potential of losses. Remember, emotional resilience gained through losses is an asset that sets successful traders apart. So, embrace the dips, learn from the falls, and watch your journey in trading soar to new heights. 🚀📈 Please, like this post and subscribe to our tradingview page!👍
COINBASE:BTCUSDEducation
by EliteTradingSignals
9
Tips That Shaped Me Into a Consistent 6-Figure InvestorWhat comes into your mind when you think about what a successful trader looks like? What kind of lifestyle do they live? Do they all own big houses and many cars? Do they all have multiple Rolex watches? Do they have branded items from the top to the bottom of their body? Do they party on a yacht every day? Do they own private jets and are able to go to Japan for lunch, and be back home in Singapore for dinner? There is actually no real answer to what a successful trader is like. A successful trader can be anyone. He or she could be your next-door neighbour that looks like your average blue shirt collar worker. Mark Zuckerberg wears the same outfit every day. He doesn’t wear branded clothing, nor shower himself with luxurious lifestyle. The same goes for Elon Musk and Jeff Bezos. The image that came into your mind has to do with the person’s habits and expectations towards life. If you think that successful traders party all day and spend a lot of money to enjoy, that’s your expectations towards life. If you’re suddenly given $10,000,000 right now, the likelihood of you doing all those is high. You will spend on branded items, buy multiple Rolex watches and start partying all day. You will not be able to sustain this kind of lifestyle as the upkeep is high. Knowing Your End Goal Many of you want to be profitable. Who don't? But how much is enough? What do you really want? Do you want to live with a monthly expenditure of $20,000? Do you want to live an average lifestyle with a monthly expenditure of $2,000? Before you even understand your goals, you need to know how to manage your money. I have a financial roadmap which guides you through the basics. You can find the roadmap here. I'm sure you've heard of lottery winners spending all their winnings within a few months. They are back working in a 9-5 job after spending all the winnings on luxury goods, cars, mansions and travelling. Don't be like them. To be successful, you need to first understand capital preservation. Think about how to grow your money next. If you don't have a plan, you plan to fail. Knowing your end game numbers help too. If you expect to spend $2,000 a month, getting funded with $100,000 and earning 2% a month will get you to your end goal. If you want to be more comfortable, get funded with $200,000 and earn 1% a month. Once you're funded, it gets easier for you to accumulate more accounts if you're doing things correctly. It took me 3 months to get my first $10,000 account. It took me 2 months to accumulate another $200,000 worth of accounts. The Power of Trading Psychology Trading psychology is the foundation upon which successful trading is built. It is the mindset and mental attitude that allows you to make rational decisions in the face of uncertainty and volatility. The ability to manage emotions, such as fear and greed, is paramount in maintaining discipline and sticking to a well-defined risk management plan. One of the first steps in developing a strong trading psychology is understanding yourself. Each trader has unique personality traits, risk tolerance levels, and trading styles. By recognizing these individual characteristics, you can tailor their risk management strategies to align with your strengths and weaknesses. Risk management is a fundamental aspect of successful trading. It is the key that unlocks the door to consistent profitability and long-term success in trading. Yet, many of you overlook the importance of risk management and instead focus on finding the perfect strategy or chasing after the next "holy grail" of trading. The Discipline to Follow the Plan Discipline is the backbone of effective risk management. It is the ability to follow a well-defined trading plan consistently, even in the face of temptations or external influences. A solid trading plan includes specific rules for trade entry, exit, and position sizing, as well as guidelines for risk management. Without discipline, you are prone to making impulsive decisions based on emotions or external factors, leading to poor risk management and potentially catastrophic losses. A disciplined trader understands the importance of sticking to the plan, no matter how enticing a seemingly profitable opportunity may appear. If you think in monetary terms, you are more likely to be affected psychologically compared to think in terms of percentage. If you're trading a $200,000 account, does it sound scary trading with a $2,000 risk or a 1% risk? Our human mind finds it hard to comprehend each trade with a risk of $2,000. Especially if $2,000 amounts to half your month worth of salary. Start small. All profits, however small they are, contributes to your journey to financial freedom. Below is the profit split I've received since June 2023. They are small. I have yet to receive my actual payout from MFF, but the payouts from TFT are from $50,000 account. These numbers will only go higher as I merge more accounts. Implementing Risk Management Strategies Effective risk management involves a combination of several key strategies. These strategies are designed to protect capital, minimize losses, and maximize profits. Let's explore some of the most important risk management techniques that you should consider. Position Sizing Position sizing refers to determining the appropriate amount of capital to allocate to each trade. It is a crucial aspect of risk management as it helps you limit their exposure to any single trade or market. By calculating the ideal position size based on risk tolerance and account size, you will ensure that no single trade has the potential to significantly impact your overall portfolio. Stop Loss Orders Stop loss orders are a vital tool in risk management. Placing a stop loss order allows you to define their maximum acceptable loss for each trade. By setting a predetermined level at which to exit a losing trade, you can limit their potential losses and protect their capital. Stop loss orders should be placed at a level that reflects the trader's risk tolerance and the volatility of the market being traded. Take Profit Targets In addition to stop loss orders, take profit targets are equally important in risk management. Take profit targets are predetermined levels at which you plan to exit winning trades and secure profits. By setting realistic profit targets based on your trading plan, you can ensure that you capture a portion of their gains and avoid the pitfalls of greed and overtrading. Diversification Diversification is a risk management strategy that involves spreading investments across different markets, asset classes, or trading strategies. By diversifying your portfolios, you can reduce their exposure to any single trade, market, or strategy, thereby minimizing the potential impact of adverse price movements. Diversification allows you to benefit from the potential upside of multiple positions while mitigating the risk associated with any individual trade. I'm currently running 3 different strategies on 3 different accounts. As these strategies are uncorrelated, I spread my risk across different accounts. The likelihood of my overall portfolio going into drawdown is lowered. Risk-Reward Ratio The risk-reward ratio is a critical concept in risk management. It refers to the potential profit compared to the potential loss of a trade. A favorable risk-reward ratio ensures that the potential reward outweighs the potential risk, providing you with a statistical edge over time. By identifying trades with a high probability of success and favorable risk-reward ratios, you can increase their chances of long-term profitability. Traits of Successful Traders Successful traders possess specific traits that contribute to their ability to effectively manage risk and achieve consistent profitability. Let's explore some of these traits and how they influence risk management. Patience Patience is a virtue in trading. Successful traders understand the importance of waiting for high-probability setups and avoiding impulsive trades. They are willing to sit on their hands and patiently wait for the right opportunities to present themselves. By exercising patience, traders can avoid overtrading and reduce the likelihood of taking unnecessary risks. Discipline Discipline is the cornerstone of risk management. Successful traders have the discipline to stick to their trading plans, follow their risk management strategies, and avoid emotional decision-making. They understand that deviating from their plans can lead to costly mistakes and erode their edge in the market. Adaptability The ability to adapt to changing market conditions is crucial in risk management. Successful traders are flexible and willing to adjust their strategies when market dynamics shift. They understand that no strategy works in all market conditions and are willing to make the necessary adjustments to maintain their edge. Continuous Learning Successful traders never stop learning. They are committed to improving their skills, expanding their knowledge, and staying ahead of market trends. They understand that the financial markets are constantly evolving, and staying informed is crucial to effective risk management. Manage Expectations Manage your expectations when you’re scaling up, especially when you’re crossing the 6-figure mark. A 1% gain on a $100,000 account is now $1,000. It’s hard to comprehend the amount of money you’re managing. It gets easier to get 5-figure payouts from here onwards. You just need a 5% gain on a $200,000 account, or a 2% gain on a $500,000 account to hit your 5-figure payouts. If you and your family have been in the rat race for all your lives, you will find it hard to believe that you can earn 10x your annual income just through trading. But always remember, it’s one thing to profit from the market, but another thing to stay consistently profitable. I’ve known traders who had their first payout, only to lose their funded account next. Staying disciplined and following your rules is easy. Maintaining that for 10 years is hard. Trading is not a get-rich-quick scheme. It requires time, dedication, and continuous learning. By prioritizing risk management and developing the necessary skills and mindset, traders can increase their chances of success in the challenging world of trading. Stay consistent. Stay safe. Success is just around the corner. If you enjoy such content, feel free to click the like button and subscribe for more. Let me know what are your thoughts and learning points in the comments below so others can learn from you too! Please let me know what kind of topic you would like to read next :) Happy weekend!
PEPPERSTONE:NAS100Education
by Keeleytwj
12
This is what holding many traders back from being successful Some people don’t actually believe that they can become successful. This is deep imbedded inside their character and belief system. You can find short term success by switching trading systems. But how long does it take you to backtest a trading system? You need to a dataset of at least 100 trades and you have to tweak it to fit your personality. If no one in your family has ever achieved making more than $69,000 a year, it is highly likely that you will simply accept your fate and believe that it’s not possible to make more than $69,000 a year. Maybe you can push yourself a little more and earn $80,000 a year, but there is a ceiling. Unless you get over the mental hurdle and self-identity, you will be unable to break through that ceiling. It’s not going to happen instantly. You won’t be able to change your self-identity overnight. It’s going to take small changes and adaptation over a long period of time. You’re already condition to think with a ceiling for the majority of your life. It’s not going to be easy changing this thought process. It's tough, but achievable. Everyone is able to do it. Daily small changes produce great results over a period of time. This period of growth is needed for you to break through this ceiling. You have to be aware of such mental hurdle and self-identity exist in your mind. Think about how you were brought up. Think about your childhood. How did your parents treat you? Did they give you everything you wanted? What about your parents? Do they have multiple low-paying jobs? Did they bring you overseas annually? Did you have a huge party during your birthdays? Did you look forward to Christmas because you will receive a lot of presents? What did your parents teach you about money? How is your relationship with money? Do you live by paycheck to paycheck? Do you have a budget? Now that you’re aware of all these experiences that shaped you, you can choose to reinforce on the positives and changing the negatives. If you live paycheck to paycheck, start with having a budget and stick to it. Keeping within a monthly budget is also a way to train your discipline. Furthermore, having a budget can develop good relationship with your money, but also contribute towards achieving your goals. If you have a strong connection and relationship with your money, find ways to strength the connections. Understand your cash flow. Understand where are your money are coming in from, and going out to. Find ways for your money to work for you. Next, have a list of affirmation. Write them down using present tense and using “I am”. Below are some examples that you can use to affirm and influence your self-identity. 1. I am successful. 2. I am good with managing my money. 3. I always follow my trading rule. 4. I earn at least 6-figures of profits from prop firm every year. 5. I am a consistent profitable trader. Look into the mirror and read them every morning after you wake up, and before you sleep. Look into your eyes when you say your affirmations out. You do it in the morning because it sets the tone and direction for your day. You will feel in control because you have your systems in place to guide you through the day. You do it at night before you sleep because you want to drill these affirmation and self-image into your subconscious mind. This will take months to years to reprogram your mind. Remember that it took you more than 20 years to have your existing mental hurdle and self-identity programmed into your subconscious mind. As long as you religiously do this every single day, you will find progress not only in trading, but also in other areas of your life. Please feel free to share your thoughts and opinions in the comments section below.
Education
by Keeleytwj
2
[Education] Trading Psychology Tips by a 6 Figure Prop Trader 1. You don't know when to enter or exit your trade. You don't have a system to tell you that. You are always going from one trading strategy to another. You followed another person's analysis and signals. You don't have anything that belongs to you. You don't want to put in the work. You don't want to take responsibility from your decision. Once you have decided to take responsibilities for your trades, you will find yourself following your trading plan. You will not deviate from your trading plan. You have a lot of backtested data to fall back on. This is when profitability will come to you. 2. You focused too much on technical analysis. You know that trading is 92% psychology, 8% technical, yet you don't focus on it. Why is psychology so important, but people focus on technical analysis so much more? Because backtesting and focusing on the technical provide us with instant gratification. It feels good knowing what returns you would have gotten on that trade, over the past weeks, months, or even years. It's feels good to instantly know what you will get out of your backtesting session. 3. Be honest in your backtesting sessions. You have to be honest with yourself during backtesting. Since you will be using your backtesting data to set an expectation on how you will perform in the live market, you should trade exactly how you would in the live market. If you had a glimpse of what will happen in the future, that will affect your bias and thus your backtest results. You should be backtesting candle by candle. Imagine you cheated during your backtesting session, telling yourself "Oh, I should have entered here and exited here, giving me a 10% return.". You have the hindsight bias here and you would not be able to enter that trade in the live market. You will expect yourself to get that 10% return in the live market. When you don't get that trade, you blame yourself and deviate from your trading plan. 4. Set realistic expectations. Backtesting allows you to catch almost every single trade that fits your trading plan, that's if you backtested correctly. In the live market, it is impossible to catch every single trade. No traders are able to do so. I became a full time trader to have time freedom, and not to stare at my chart for 16 hours straight. Sometimes, you will miss winning trades. Sometimes, you will miss losing trades. Sometimes your trade reverses on you when you're 1 pip shy away from your take profit. Sometimes your trade will be taken out by 1 pip and price heads towards your take profit. Anything can happen in the market. Just keep your mind open.
Education
by Keeleytwj
The Journey of a Successful Trader: From Beginner to Pro Embarking on a journey to become a successful trader is not for the faint-hearted. It requires dedication, perseverance, and a deep understanding of market dynamics. In this article, we'll explore the fascinating journey of a trader, from their humble beginnings to reaching the pinnacle of success in the financial world. 1. The Awakening: The first step on this journey is often triggered by a profound realization that trading offers an opportunity for financial independence and freedom. It could be sparked by an inspiring story or personal circumstances that necessitate a change in career path. 2. The Learning Phase: Becoming a trader requires a solid education in finance, economics, and market analysis. Traders spend countless hours researching, reading books, attending courses, and practicing trading strategies. 3. The Emotional Rollercoaster: The emotional aspect of trading can be overwhelming. Successful traders learn to manage their emotions, overcome fear and greed, and develop disciplined trading habits. They understand that psychology plays a vital role in decision-making and work on cultivating mental resilience. 4. The Trading Plan: A trader's journey is incomplete without a well-defined trading plan. They learn to set realistic goals, identify their risk tolerance, and map out a strategy tailored to their trading style. 5. The Market Battle: Trading is not all smooth sailing. Traders face countless challenges, including market volatility, unexpected news events, and trading psychology hurdles. Successful traders adapt to changing market conditions, constantly refine their strategies, and learn from both their successes and failures. 6. Achieving Consistency: Consistency is the key to success in trading. Traders need to develop a refined skill set, adapt to new market trends, and maintain a disciplined approach to their trading plan. 7. Becoming a Mentor: Many successful traders reach a point where they become mentors, sharing their knowledge and experience with others. Mentoring not only allows them to give back to the trading community but also reinforces their own expertise and helps them stay up-to-date with market developments. The journey of a successful trader is a lifelong pursuit of knowledge, discipline, and continuous self-improvement. It requires dedication, resilience, and the ability to learn from both successes and failures. By mastering market dynamics, emotional control, and developing a trading plan, traders can move closer to their ultimate goal of consistently profitable trading. Please, like this post and subscribe to our tradingview page!👍
COINBASE:BTCUSDEducation
by EliteTradingSignals
5
[Education] How to Master the Art of TradingTrading has always been an alluring career. The promise of financial freedom and the ability to escape the chains of a 9-5 job have led many individuals to explore the world of trading. This is the same for me. I've first came across trading when I was serving in the army when I was 18. Trading is a whole new world to me. Candlesticks, expert advisors, and indicators all promised a world of luxury and freedom. However, the path to becoming a successful trader is not an easy one. It requires discipline, knowledge, and the ability to control one's emotions. My journey was constantly on and off, looking at small successes, then followed by big failures. It was around 5 years ago when I started to be serious in my trading career. It's definitely not a short one, but it's not long either. In this article, I will delve into the key factors that can help you become a successful trader. From developing a systematic trading system to mastering risk management and overcoming emotional hurdles, we will cover it all. So, let's embark on this journey and unlock the secrets to becoming a profitable trader. The Importance of a Trading System One of the key components of becoming a successful trader is the development of a systematic trading system. Without a well-thought-out plan, trading becomes a chaotic and unpredictable process. As the famous quote goes, Knowledge is power, but without action, it is useless. It is not enough to possess knowledge about various trading concepts and indicators. You must have a fixed strategy that you consistently trade with. You fall into the trap of having a scattered approach to trading. You lack a well-defined trading plan and jump from one strategy to another, hoping to find the holy grail of trading. This lack of consistency and focus leads to poor results and frustration. It took me years to be profitable. I tried many expert advisors, signals, indicator, PAMM and account management. It took me years of losses. Is it worth it? Probably. I could have accelerated my journey with a good and solid mentor. It took me years to condense my experiences into the trading system below. Start by marking up your charts and identifying areas of liquidity, points of interest, and demand and supply zones. Conduct a thorough multi-timeframe analysis to identify higher probability trade opportunities. Set alerts at your points of interest to ensure you don't miss any trading opportunities. Once a trade setup is triggered, write down your analysis on the chart. Clearly articulate what you expect to happen when the price hits your point of interest. This will help you stay focused on your trade plan and avoid impulsive decision-making. When the alert goes off, evaluate your analysis to ensure it still holds true. If it does, mark out your stop loss and profit target levels based on your risk management principles. Confirm that the risk-to-reward ratio is suitable before entering the trade. If necessary, wait for additional confirmation on a lower timeframe before executing the trade. Once in the trade, you have the option to either actively manage your position or let it run its course. This decision should be based on your backtesting results and personal preferences. Regardless of your approach, it is crucial to journal your trades. Record your entry, take-profit, and stop-loss levels, as well as any emotions or thoughts you experienced during the trade. This data will be invaluable for analyzing your performance and identifying areas for improvement. The Role of Emotional Discipline Emotions can be both a greatest ally and a worst enemy. It is crucial to develop emotional discipline and learn how to control your feelings when making trading decisions. Emotions such as fear, greed, and impatience can cloud your judgment and lead to impulsive and irrational trading actions. One common emotional pitfall is revenge trading. After experiencing a loss, you often feel the need to immediately recoup their losses by taking impulsive trades. This behavior is driven by anger and a desire to prove oneself right. However, revenge trading rarely ends well and typically leads to further losses. I wasn't good at controlling my emotions in the past. I tend to get angry and sad whenever I had a losing trade. This is made worse when I was having a losing streak. I would deviate from my trading plan and enter into a position when it does not fit my trading plan. You guessed it, I went deeper into drawdown and this vicious cycle continues. To overcome emotional hurdles, it is essential to stick to your trading plan and follow your predetermined rules. Trust the process and have faith in your strategy. Avoid making impulsive decisions based on short-term market movements or emotional reactions. One effective way to maintain emotional discipline is through the use of a trading journal. By documenting your trades and recording your emotions and thoughts, you can gain valuable insights into your trading psychology. Reviewing your journal regularly will help you identify patterns and emotional triggers, allowing you to develop strategies to manage your emotions effectively. The Power of Risk Management Successful trading is not just about making profitable trades. It is also about managing risk. Risk management is the key to preserving capital and ensuring long-term profitability. Without proper risk management, even the most profitable trading strategy can lead to financial ruin. A crucial aspect of risk management is determining an appropriate position size for each trade. This involves calculating the amount you are willing to risk on each trade based on your account size and risk tolerance. I recommend risking no more than 1% of your trading account on any single trade. This conservative approach helps protect your capital and prevents catastrophic losses. I once had a losing streak of 7 trades. On the 8th trade, everything was telling me that I should go long on EURUSD. It was a A+ setup. Everything followed my plan. I increased my risk from 1% to 10%. Guess what? I lost this trade. Anything can happen in the market. Even with a 80% win rate trading system, it may seem impossible to have 10 losing trades in a row. Statistically speaking, it IS possible. Another important risk management technique is the use of stop-loss orders. A stop-loss order is a predetermined price level at which you will exit a trade to limit your losses. By setting a stop loss, you define your maximum acceptable loss on a trade. This helps protect your trading account from significant drawdowns and allows you to maintain emotional discipline during adverse market conditions. Trailing stop-loss orders can also be used to protect profits as a trade moves in your favor. This allows you to lock in profits while still allowing the trade to potentially run in your favor. The Importance of Practice and Screen Time Becoming a successful trader requires practice and screen time. The more time you spend observing the markets, analyzing charts, and executing trades, the better you will become at identifying patterns and making informed trading decisions. Practice is especially crucial to you if you are still developing your skills and gaining experience. Consider starting with a demo account to familiarize yourself with the trading platform and practice your strategy without risking real money. This allows you to refine your trading approach and gain confidence before transitioning to a live trading account. As you gain experience and confidence, gradually increase the size of your trades while maintaining proper risk management principles. This gradual progression will help you build consistency and avoid the pitfalls of overtrading or taking excessive risks. The Role of Accountability Partners For many of you, finding an accountability partner is your path to success. An accountability partner is someone who holds you responsible for your trading actions and helps you stay on track with your goals. They can provide support, guidance, and feedback on your trading performance. Regular check-ins and discussions with your accountability partner can help you stay disciplined and focused on your trading plan. Accountability partners can offer valuable support, tips and motivation. Conduct thorough research and due diligence to ensure that you are partnering with reputable individuals who have a proven track record. Records should also be verified by third parties such as Myfxbook and not excel, where they can write anything they want. If you've been following me for the past few months or years, you would have known about my journey from being an unprofitable trader to a profitable one. I believe I'm successful right now, and is well on track to quitting my 9-5 job. I have a prop firm funded account journey here, where I document my journey to get a public 10k account for growing my YouTube channel. I also have a verified public track record here. You can check out the list of services I provide here. This is one of my latest payout. I'm waiting for next week to withdraw my first 4-figure payout. I will be using that payout for my first giveaway event! Make sure to subscribe to my newsletter to join the giveaway! Right now, I'm currently $230,000 funded, with 2x $200,000 challenges in Phase 2, and 1x $200,000 in phase 1. If I manage to pass these challenges, my AUM will jump up to $830,000. Becoming a successful trader is a journey that requires discipline, knowledge, and emotional discipline. By developing a systematic trading system, managing risk effectively, and maintaining emotional discipline, you can increase your chances of achieving profitability in the financial markets. Remember to focus on the process rather than the outcome. Trading is not a get-rich-quick scheme, but rather a long-term endeavor that requires continuous learning and adaptation. Be patient, stay committed to your trading plan, and continuously work on improving your skills. With the right mindset, dedication, and a commitment to continuous learning, you can unlock the potential of trading and work towards achieving your financial goals. So, embark on this journey with confidence and embrace the challenges that lie ahead. Happy trading! Find out more about me here.
TVC:SPXEducation
by Keeleytwj
Learn The 5 Possible Outcomes Of Your Trades Hey traders, Depending on your actions, you can get 5 completely different results taking just one single trade. 1️⃣The first outcome is a small win. By a small win, I mean a winning trade producing up to 2.5% account growth. 2️⃣The opposite situation leads to a small loss. To me, a small loss is a losing trade producing up to -1% account decline. 3️⃣Occasionally once the price starts moving in the predicted direction, one can protect his trading position moving his stop to entry and making a position risk-free. Being stopped out such a trade produces 0% profit. The level where the position is closed is called a breakeven point. 4️⃣If one perfectly predicts a future direction of the market and opens a trading position accordingly, occasionally, a huge profit can be made. 5️⃣Being wrong in the predictions, however, one can adjust and trail a stop loss not letting himself be stopped out. Such behavior may lead to a substantial loss or even a margin call. ❗️Learning how to trade, I strongly recommend you eliminate the 5th outcome. Managing not to lose more than 1% of your account will substantially improve your trading. Let me know, traders, what do you want to learn in the next educational post?
OANDA:XAUUSDEducation
by VasilyTrader
10
The Silent Killer: Understanding Inflation's Impact Inflation is an economic phenomenon that gradually erodes the purchasing power of money over time. While it may seem like a minor inconvenience, inflation can have detrimental effects on individual savings , investment returns, and overall economic stability. In this article, we will explore why inflation can be considered a silent killer and delve into the reasons behind the growing interest in Bitcoin as a potential defense against its effects. 1. The Hidden Damages of Inflation: 1.1 Reduced purchasing power 1.2 Diminished savings value 1.3 Income distribution imbalances 2. The Role of Central Banks and Government Policies: 2.1 Monetary policies: Central banks use various tools, such as adjusting interest rates and printing more money, to manage inflation. However, these measures can sometimes have unintended consequences. 2.2 Fiscal policies: Government spending, tax policies, and borrowing influence inflation rates by impacting the money supply and aggregate demand within an economy. 3. The Case for Bitcoin as a Hedge against Inflation: 3.1 Scarce supply: Bitcoin is a decentralized digital currency with a limited supply of 21 million coins. Unlike fiat currencies, no central authority can arbitrarily decide to print more bitcoins, reducing the potential for inflationary pressures. 3.2 Store of value: Bitcoin's limited supply and increasing demand make it an attractive store of value, especially in a world where traditional fiat currencies are prone to inflation. 3.3 Global accessibility: Bitcoin transcends geographical boundaries, enabling individuals to protect their wealth and access financial services without relying on traditional banking systems that can be influenced by inflationary pressures. 3.4 Economic uncertainty: In times of economic distress or high inflation, Bitcoin offers a potential safe haven for investors seeking to preserve the value of their wealth independently of traditional financial systems. 4. Considerations and Risks: 4.1 Volatility 4.2 Regulatory challenges 4.3 Technological barriers Inflation can silently erode the value of money, impacting savings, investments, and overall economic stability. While many traditional assets struggle to mitigate inflation risks effectively, Bitcoin can potentially serve as a hedge against inflation due to its decentralized nature, limited supply, and growing global acceptance. However, investors should carefully consider the risks and challenges associated with cryptocurrencies before making investment decisions. What do you want to learn in the next post?
COINBASE:BTCUSDEducation
by UnitedSignals
6
Full-Time Job vs. Full-Time Trading Deciding between a full-time job and full-time trading is a crucial career choice that many individuals grapple with. Both options offer potential financial benefits, but it is essential to thoroughly evaluate the income comparison and stability provided by each path. This article aims to provide an in-depth analysis of the income potential and stability associated with full-time jobs and full-time trading, helping readers make an informed decision based on their individual circumstances and preferences. 1. Full-Time Job: Income and Stability 1.1. Salary Structure: Full-time jobs typically offer a stable income stream, with salaries negotiated between the employer and employee. It provides a fixed amount earned on a regular basis, such as monthly or bi-weekly. 1.2. Growth Potential: Most full-time jobs present incremental growth opportunities through salary hikes, promotions, and bonuses. 1.3. Benefits and Perks: Besides a steady income, full-time jobs often provide additional benefits, such as health insurance, retirement plans, paid leaves, and various employee perks. These benefits contribute to overall financial security. 2. Full-Time Trading: Income and Stability 2.1. Income Potential: Full-time trading offers a potentially higher income ceiling compared to a regular job. Successful traders can earn substantial sums of money, sometimes exponentially higher than what a typical full-time job might offer. However, it is important to recognize that trading income can vary significantly based on market conditions, individual skill, and experience. 2.2. Volatility and Risk: Trading, particularly in financial markets, involves inherent risks. The income generated from full-time trading can be highly volatile and subject to market fluctuations. 2.3. Continuous Learning and Adaptability: Full-time trading requires continuous education and staying up-to-date with market trends. Adapting to market changes and acquiring necessary skills is crucial to maintain a sustainable income level. Traders must be prepared for ongoing learning and to adjust their strategies accordingly. 3. Comparing Income and Stability 3.1. Income Comparison: Full-time trading has the potential to yield higher income compared to traditional full-time employment. However, the profitability of trading is dependent on various factors such as market conditions, trading strategy, experience, and discipline. 3.2. Stability Comparison: Full-time jobs offer a more stable income and financial security, with regular paychecks and additional benefits. In contrast, full-time trading is inherently more volatile and subject to market risks, making it less predictable and potentially less stable. Choosing between a full-time job and full-time trading necessitates a thorough understanding of income potential and stability associated with each option. Full-time jobs provide a stable income stream, incremental growth prospects, and additional benefits, whereas full-time trading offers the potential for higher income but entails greater volatility and market risks. The decision ultimately depends on an individual's risk tolerance, financial goals, trading skills, and willingness to continuously learn and adapt to market conditions. It is crucial to weigh these factors carefully to make an informed choice that aligns with personal circumstances and aspirations. Hey traders, let me know what subject do you want to dive in in the next post?
OANDA:XAUUSDEducation
by TopTradingSignals
5
📈Mastering Forex Trading: Your Ultimate Trade Checklist📉 ✅Entering the forex market can be an exciting and potentially profitable endeavor. However, it requires careful planning and diligent decision-making to succeed. One essential tool to streamline your trading process is a trade checklist. In this article, we will guide you through the creation and effective use of a trade checklist, providing practical examples along the way. 📌Preparing for a Trade: Before you pull the trigger on any trade, it's crucial to conduct thorough analysis and set clear objectives. Ensure your trade checklist includes the following elements: ▪️Identify the Market Trend: Determine the overall direction of the currency pair you wish to trade. Consider using various technical indicators, such as moving averages or trend lines, to confirm the trend. ▪️Define Entry and Exit Criteria: Set precise entry and exit points to minimize emotion-driven decisions. Identify key levels of support and resistance, and determine the minimum risk-to-reward ratio you deem acceptable. 📌 Risk Management: A robust risk management strategy is fundamental to long-term success in forex trading. Incorporate the following risk management elements into your trade checklist: ▪️Determine Position Size: Calculate the appropriate position size based on your risk tolerance and account balance. Consider using tools such as position calculators or risk/reward ratio formulas. ▪️Set Stop Loss and Take Profit Levels: Define stop loss points to protect your capital from excessive losses and specify take profit levels to lock in profits once your target is reached. 📌Trade Execution: Executing a trade swiftly and accurately is vital. Include the following checklist items to ensure consistent and disciplined execution: ▪️Double-check Parameters: Before placing a trade, review all the crucial parameters, including currency pairs, position size, entry and exit levels, and stop loss/take profit points. ▪️Timing Considerations: Be aware of upcoming economic releases, news events, or major market sessions that may impact your chosen currency pair, and adjust your trade execution timing accordingly. 💹Conclusion: By incorporating a trade checklist into your forex trading routine, you can significantly enhance your decision-making process and overall trading performance. Remember to adapt your checklist to align with your personal trading style and preferences, continually evaluate its effectiveness, and make necessary improvements. Successful trading is a result of thorough planning, disciplined execution, and a continuous desire to learn and optimize your approach. ☺️I hope this post was helpful to some of our beginner traders😊 Dear followers, let me know, what topic interests you for new educational posts?
COINBASE:BTCUSDEducation
by SignalProvider
9
Understanding the Differences between Traders and Investors Trading and investing are two approaches to the financial markets, each with distinct characteristics and objectives. While both involve buying and selling financial instruments, understanding the differences between traders and investors is crucial for anyone looking to navigate the markets effectively. This article will provide an in-depth comparison between traders and investors, highlighting their key differences, strategies, and goals. 1. Time Horizon: Traders: Traders aim to profit from short-term price fluctuations. They closely monitor market trends and frequently execute orders within hours, days, or weeks. Investors: Investors focus on long-term growth and may hold their investments for years or even decades. 2. Risk Tolerance: Traders: Traders are often comfortable with higher levels of risk, as they aim to profit from short-term market volatility. Investors: Investors tend to have a more conservative risk appetite. They prioritize capital preservation and are willing to ride out short-term market fluctuations for potential long-term gains. 3. Trading Strategies: Traders: Traders utilize a variety of strategies such as day trading, swing trading, and scalping. They rely on technical analysis, charts, indicators, and patterns to make rapid buy and sell decisions. Investors: Investors typically adopt a buy-and-hold strategy, focusing on long-term trends and the fundamental analysis of companies or assets. 4. Market Focus: Traders: Traders often concentrate on specific markets or asset classes, such as stocks, currencies, commodities, or derivatives. Investors: Investors have a broader focus, investing in diverse asset classes such as stocks, bonds, real estate, or mutual funds. Their goal is to create a well-diversified portfolio for long-term growth and income generation. 5. Profit Objectives: Traders: Traders aim to generate regular, short-term profits. They capitalize on market inefficiencies, fluctuations, and price movements to execute trades and make profits from both rising and falling markets. Investors: Investors are primarily focused on long-term capital appreciation and income generation. They typically seek to benefit from the overall growth of their investment portfolio over a more extended period. 6. Emotional Factors: Traders: Traders usually need to stay emotionally detached from their trades, as rapid decision-making and swift actions are often required. They often practice disciplined risk management and maintain strict control over emotions like fear and greed. Investors: Investors have a more relaxed approach and can afford to take a long-term perspective. While they still need to manage emotions during market downturns, their investment decisions are less driven by short-term market fluctuations. Conclusion: Understanding the differences between traders and investors is crucial when deciding which approach aligns best with your financial goals, risk tolerance, and time commitment. Both trading and investing have their merits, and individuals may choose to adopt either approach or a combination of both. By considering factors such as time horizons, risk tolerance, strategies, and goals, individuals can effectively navigate the financial markets and work towards achieving their desired outcomes. What do you want to learn in the next post?
TVC:GOLDEducation
by UnitedSignals
10
[Education] How Did I Evolve As a Person After I Started TradingI’m a funded prop firm trader with over 5 years in trading the forex market. I’ve tried it all, searching for the legendary holy grail. I’ve lost over 5 figures worth of money before I reached where I am today. From the usage of expert advisors, signals, PAMM, copy trading, account management, indicators, grid trading, martingale, scalping on the 5 seconds chart to swing trading, I’ve tried it all. I started out as a noob, thinking forex is a get-rich-quick scheme. Initially, my small account grew by more than 1000% as I was overleveraging with no stop losses. I thought I was a god in trading. After a few more trades, I blew my account. I topped up my account with more funds and found myself losing all my hard-earned money. I burst plenty of accounts this way. Similarly, due to greed, I found myself in the land of copy trading and expert advisors that use grid and martingale. You guessed it, I burst many more accounts thinking that these will get me my FIRE dream. I know it sucked being wrong. It sucked even more losing money to the market. I know the ins and outs of the forex market. To be a good trader, trading strategy is just 1 part of the equation. You need to take into account psychology and risk management which are equally important. I didn't get the "Aha" moment on my way to succeed. It's the gradual realization and the application of what I've learnt over the years made me successful. Trading teaches me a lot. These are the growth that I'm aware of. Teaches me discipline. Teaches me who I really am. I am not what I think I am. Think in terms of probability, law of large numbers, risk management. No more instant gratification. I’m patient. Appreciate analysis of data. Being aware of now. Better at regulating my emotions. Being strict with myself. More tolerant of others. Being humble and showing humility. More work doesn’t always translate to more result. Instant Gratification With the rise of the internet, people demand instant gratification. This is detrimental to trading where we need the law of large numbers and probability to play out over a period of time for results to show. In the beginning, take your time to learn and absorb all the knowledge. Build a strong foundation that can be used later on in your trading career. Do not rush so that you can start earning money. Many of you tried to look for shortcuts. Let me tell you, there is none. You won’t believe me now. Trust me. A few months or years down the road, you will realized that you’ve wasted all these time for nothing. It’s not about how fast you can profit from the market. It’s not about how fast you can trade live. It’s not about how fast you can do your technical analysis. Your journey will look different from mine. It can take me months to understand concepts like sell-side and buy-side liquidity, but it could take you only a few days. There is no shortcut to application. You have to put in the work to grow. You won’t see this immediately. You can only see growth over time. This is the only shortcut you have in trading. 95% of the traders out there don’t stick to a system of learning and applying what they’ve learnt. They think that by apply some RSI and EMA, they are able to make it big. If it’s so easy, why are 95% of the traders not profitable? Many traders think that a system is shit after a few losing trades. There are ups and downs in trading. You can’t win 100% of the time. Losses are felt more intensely than gains. Psychologically, 86% of the people are affected by a loss twice as much as a gain. This is loss aversion bias. To avoid a loss, people give up favorable trades. This is because most of you only focus on that 1 trade. You have to understand that trading is a game of probability. You need to have a large number of trades to allow probability to work in your favor. Take for example a 50% win rate trading strategy with a RRR of 1:2. Assuming you risk $10 per trade. Over a series of 100 trades, you are expected to have a profit of $500. . This is favorable to you as a trader! So you have to get rid of looking at a single trade. But instead, look at a series of trades to let the law of large number play out. You will come out ahead if you let your edge play out. Afraid of Losing There are 5 outcomes in trading: You win big You lose big You win small You lose small Breakeven If you can eliminate #2, you’re going to be a profitable trader. I’m a human too. I get how a losing trade can be disappointing. It’s even more disappointing if a 1% loss is equivalent to $1,000 on a $100,000 account. Think about all the good food and stuff you can buy with that amount of money. Once you’re in a bad trade, do not move your stop loss. Your stop loss is there to cut your trade once price action invalidates your trade idea. Trading is a business. You want to be in the game for as long as possible. This gives you the chance for the law of big numbers and probability to work in your favour. Since this is a business, you’re bound to incur business expenses. Losing trades are your expenses, while winning trades are your revenue. You don’t see businesses spending all their capital on 1 single product. Neither should you risk all your capital into 1 trade. By having a strict risk management in place, you can lose 10 trades in a row, and still end up as a profitable trader at the end of 50 trades. I have a 40% win rate and ~2.5 RR strategy. I got the data from my backtesting. I know how I will perform in the live market if I trade according to how I backtested my strategy. I know what to expect, what’s my potential losing streak, what’s my maximum drawdown. I don’t cling onto that 1 losing trade as I know I can lose an average of 6 trades out of 10 trades. The important thing in trading is your long-term equity. As long as you’re looking at a general uptrend, you’re already performing better than 90% of the traders out there. Afraid of failing I failed a lot. I can show you screenshots of my failed attempts with The Funded Trader challenges. These are just from 1 prop firm. But once you've found consistency, you can recoup all your losses. It doesn’t matter who you are, you have to pay the entrance fees multiple times in order to achieve success. Don’t be afraid of the entry price. You pay it, and you will earn it back. It’s just like your money. You pay for Coldplay’s concert today, at the end of the month, you will earn your money back. You will fail, and it’s fine. You will fail again and again. That happens to everyone. You will learn when you fail. Don’t trap yourself in a life you don’t want to be in. Understanding The Basics Understanding probability is the first step towards your success. There are a lot of ways to profitability. You can have a high win rate, but low risk-to-reward ratio, or a low win rate, but high risk-to-reward ratio. Before you say you want a high risk-to-reward ratio trading strategy, you have to understand how your psychology works. Are you able to execute the same trade that fits your trading strategy again and again, despite losing 10 or 20 trades in a row? Will you start to doubt your trading strategy looking at your account balance going lower and lower every time you take a trade? Next, you will need to understand risk management and probability. They both go hand-in-hand. When you’re trading live, you have to accept the risk for each trade you’re taking. You have to accept that you can be wrong more than you’re right. You cannot control the outcome of your trades. However, you can control the amount of risk you take per trade. I recommend risking 1% or lower for each trade. The goal here is to prioritize capital preservation. By limiting your risk to 1% a trade, you are able to keep your account balance relatively safe. Compare this to people who risk 20% or 50% a trade. In a few losing trades, their account balance will be very close to $0. These are the gamblers that do not have the right risk management skills. A good trader will be able to differentiate between these trades. A good trade should be a trade that follows your trading strategy, risk management and trade management plans. Even if this trade ends up losing money or closing at breakeven, it’s still a good trade as you did not deviate from your trading plans. On the other hand, taking trades that deviate from your trading strategy is a no go, even if it ends up being a winner. This could be a lucky trade. Luck is not a sustainable trading strategy. What if you did this again and the trade turns out to be a winner again? It will inflate your ego and lead to more of such trades. When you luck runs out, you will find that you lose more than you win. Relying On Others But Keeley, I can just follow signals of profitable traders or get EA and courses from people who are successful. You need to understand that there are a lot of scammers in the trading world. Scammers feed off human’s greed. Many times, they will tell you that they can help you pass your prop firm challenges, give you free signals or sell you highly profitable EAs which usually consist of very high win rate, using very low risk. If you think about it, why would you send cold messages to random people if you have such a good system? I could very easily use these systems and make millions of money myself instead of doing “sales” on these systems. Proof can very easily be falsified in the online world. Make sure they are using 3rd party verification such as myfxbook or fxblue, using legitimate brokers such as Pepperstone, Oanda or IC Market. Many scammers can use white-label brokers. They paid to get a broker name, so that they can deposit “capital” into their account with the server showing “live”. Their track record and trading privileges can be seen as verified, but their records can still be falsified. I’m not saying not to get any of the signals, EA or courses. You have to make things work yourself. Their system could be profitable for them because the trading style fits their personality. It could be a low win rate, but high RR trading system, but your trading psychology could not handle the period of drawdown. You will soon discard this trading system as it doesn’t fit your personality. Accountability Partner Having an accountability partner or a mentor is the best solution to you being profitable. Having someone there for you when you feel down and unmotivated can be motivating. It's hard to find a suitable mentor or accountability partner given the nature of the financial market. There are a lot of scammers out there selling course materials which you can find online. You need to know that the person selling the course or mentorship does not rely on sales for a living. But instead, he must be earning most of his income from trading. Look at his content, see if they resonates with you. Look at his track record, are they afraid of showing 3rd party verification? Do they only show you screenshots of trades that have already happened? Do they only show their results on excel sheet? If you're serious about bringing your trading to the next level, consider getting one. This has been a game changer for me. Remember, trading is not an easy hustle. It take years of hard work, losses and, breakeven to achieve consistent profitability. Stay consistent. Stay safe. Success is just around the corner. If you enjoy such content, feel free to click the like button and subscribe for more. Let me know what are your thoughts and learning points in the comments below so others can learn from you too! Please let me know what kind of topic you would like to read next :) Happy weekend!
TVC:SPXEducation
by Keeleytwj
6
Unveiling the Secret to Wealth: Why Patient Traders Are Rich Introduction: When it comes to investing, one of the most crucial decisions you'll need to make is how to allocate your assets. Proper asset allocation is the key to striking a balance between maximizing returns and minimizing risk. In this article, we will explore three distinct approaches to asset allocation: conservative, moderate, and aggressive, along with their respective advantages and considerations. 1️⃣ Conservative Asset Allocation: Conservative asset allocation focuses on minimizing risk and prioritizing stability over high returns. The key components of conservative allocation include: - Diversifying investments across low-risk assets, such as bonds, cash equivalents, and stable dividend-paying stocks. - Emphasizing capital preservation and income generation rather than aggressive growth. - Maintaining a higher percentage of fixed-income investments, which offer steady returns but lower potential capital appreciation. - Utilizing asset allocation tools like target-date funds or balanced mutual funds that automatically rebalance the portfolio based on the investor's desired risk level. 2️⃣ Moderate Asset Allocation: Moderate asset allocation is a middle-ground approach that seeks to balance growth potential with some level of risk. - Allocating a portion of the portfolio to relatively low-risk assets, like bonds and cash, to provide stability. - Investing in a diverse range of assets, including a mix of stocks from various sectors, to capture growth opportunities. - Regularly rebalancing the portfolio to maintain the desired asset allocation ratio. - Considering investments such as low-cost index funds or exchange-traded funds (ETFs) to achieve market-like returns while minimizing fees. 3️⃣ Aggressive Asset Allocation: Aggressive asset allocation aims to achieve maximum long-term growth while accepting higher levels of risk. The key elements of aggressive allocation are: - Allocating a significant portion of the portfolio to higher-risk, high-growth assets like stocks or venture capital. - Emphasizing capital appreciation over dividends or income generation. - Maintaining a diversified portfolio that includes growth-oriented mutual funds or individual stocks. - Staying engaged with market trends, keeping a watchful eye for potential investment opportunities. Conclusion: Determining how to allocate your assets is a crucial decision that must align with your risk tolerance, financial goals, and investment horizon. Whether you choose a conservative, moderate, or aggressive approach, each has its own merits and considerations. Remember to regularly review and adjust your asset allocation as your circumstances change and consult with a financial advisor for personalized guidance.
COINBASE:BTCUSDEducation
by EliteTradingSignals
7
Why risking only 0.5%-2% per trade is absurd?I’ve tried everything. From scalping, intra-day to swing trading. My first mentor taught me price action and is a strong believer of swing trading. He taught me to trade on the higher timeframe, or 4h timeframe and higher. All timeframes below that are noises. I devour his trading content and backtested every single day. Back then, I was hungry for success. I have strong backtested data backing me on the live market. I traded live after this. I stick to my trading plan. I won some trades. I lost some trades. I faced another problem. I was always looking at the chart, even though I executed my trade on the daily or 4-hour timeframe. My average trade duration is a few days. I couldn’t control the price, yet I’m stalking my trade. This is different from backtesting. During backtesting, I can let my trade play out immediately using the fast forward button. In the live market, I couldn’t fast forward time! I started to mess around with my trade because I was always watching the chart. Trades aren’t playing out fast enough to meet my need to trade. I realized at that time, this kind of trading style doesn’t suit me. I felt lost even with a profitable system. I drifted a few months searching for another holy grail. I found a signal provider membership, but this guy is a mentor. My intention was to trade base off this guy’s signals. But who knows, after a few days of joining his signal, he decided to remove it. He trades live in front of his mentee. I joined his live session and saw a trading beast. He’s actually scalping on the 5s chart live in front of his mentee. Some of them took his calls and profited. At that time, I can’t believe what I was seeing. How can someone even be fast enough on their execution on a 5s chart. I joined more of his live session and realized that this guy is legit. I love this style of trading because I was impatient and love to see how my trade play out immediately. I booked several 1-1 sessions with him. I learned his way of trading. It was heaven to me. I realized that I’ve made something clicked in my head and is on my way to profitability. I backtested extensively and traded live soon after. I had decent results, passing phase 1 and 2 of MFF challenge. When I got my first live funded account, burst it. I haven’t got my psychology and emotion in control yet. I wasn’t ready. I revenge trade after a series of losses. I did not limit the number of losses I can take a day. I over-risked on some trades, believing that they are high probability trades. I lost the account without reaching my first payout. Should You Scalp Or Swing? It depends on what timeframe you're trading on. But, price is fractal. Trading on the 4-hour timeframe requires the same technical analysis skills as trading on the 1-minute timeframe. If you’re scalping on the seconds chart, you can take many trades within a day. Scalping on the lower timeframe also requires you to be accurate and fast in decision making. You can’t stop to think and go through your checklist. They have to come to you automatically. You need to focus and good at regulating your emotions as you’re more likely to get faked or stopped out. This is especially true if you’re scalping on the seconds timeframe. If you’re swing trading, it gives more room for error. Scalping are for people who are impatient, or for people who loves adrenaline. It is fast pace and you can close your trades within minutes from execution. You can end your trading day within a few minutes or hours. It’s easy to overtrade and take bad trades after a series of losses. This can increase the likelihood of revenge trading. On the contrast, swing traders are good for people who loves freedom. You don’t have be in front of your screen whole day. You can spend a few minutes a day checking the charts, and attend to them when your alert goes off. When the alert goes off, you can check the chart to see if the price is playing out according to your expectations. You can decide to take a trade, or to wait for another opportunity. This takes only a few minutes of your time and you can continue on with your life. You don’t have to rush to make a trading decision. You are able to go through your trading plan without any pressure before taking a trade. You don’t have to worry about overtrading. There are lesser opportunities in swing trading compared to scalping. Too Many Choices Making You Feeling Lost Many of you don’t know yourself. Let alone knowing what trading style fits yourself. You do not know which trading style fits your personality. Trading is like choosing what type of undergarments you want to wear. Some people like underwear. Some people like brief. Some people like boxer. Some people don’t like to wear anything. You have to consider factors like your lifestyle, personality, personal commitment, trading skill level, and psychological strength. These questions are often neglected. Solving them will cut down on your journey to be a profitable trader. For me, I used to be an impatient person. I’ve changed my lifestyle for the better. I took up breathing technique, meditation, and improved my mindset. I’ve learnt to be patient. I understand that I do not like to take swing trades even though I’m a patient one. I’m lazy, and do not like to stare at the chart for 1 or 2 hours straight. I have to focus when trading on the seconds chart. Some days I will lose motivation and not trade at all. Without trading, I won’t be able to profit from the market. If I’m lazy, I have to find another way to profit from the market. I’ve stopped scalping on the seconds chart once I’ve accepted this fact. Instant Gratification But Keeley, we need more trades to let probabilities and the law of large number for our edge to play out. If we don’t scalp, how are we going to hit 100 trades trading the live market? I also love to see high RR trades so that I can post them on my social media to make myself look good! First, trading is not a get-rich-quick scheme. You need years of consistency to achieve profitability. There is no end game here. You are always learning from the market. You can be consistent and trading your game plan for 5 years. But that one time you decide to deviate from your game plan, you can wipe out 5 years of track record. You don't magically be profitable after watching 10 videos on demand and supply on the YouTube. You need chart time. You need losses. You need stress. You need to feel like you're giving up. You need to hit the rock bottom. You need to build your trading psychology. You need to build your resilience. Trading is not easy. Next, the social media is a bad place to be looking at trading related content. You look at people posting high RR trades, earning thousands of dollars every single day. You don’t know if they are taking the trades on a demo account, or from a white-label broker. White-label brokers are their own server which they can fake their own trades. Think about why are they posting all these? Are they selling you a course? Why would they sell you a $50 course if they are earning thousands of dollars a day? Ask them for verified track record from reputable brokers. I can assure you that none of them are able to provide you that. Getting Lucky Trading involves a little luck here and there. Saying that I become consistent and profitable based on my skills alone is a lie. I do need to have a certain factor of luck. A correct analysis can lose, and a wrong analysis can win. Anything can happen in the market. As long as you're following your rules, and you have a profitable system, you will be profitable in the long run. I have a client who told me he used to flip $100 small accounts into thousands of dollars. He risked his whole account by over-leveraging and praying for the best. He earned 1,600% within a few weeks. He asked me if he should replicate this strategy using more capital. If he's able to do it a few more times, he would be a millionaire. I told him that he got lucky. He's getting cocky and greedy now. I told him that he's not going to like what I'm about to tell him. He's not going to believe me. I told him that if he's continuing this path, he's going to get burned. 1,600% is not a small amount. It's not something that you or me can do it consistently. Even the best hedge fund in the world has an average of 30% returns a year over a decade. Don't get fooled by all the Instagram posts. He didn't believe me. Guess what? He lost all the 1,600% profits. Not Using 1 or 2% Risk Per Trade A few weeks later, he came back to me. He told me he will reduce his risk this time, but with a higher capital so that he can afford more losses. He doesn't listen to me. I took a look at his backtested result and noticed that he has a high win rate, low RR trading system. The max drawdown he encountered was 3 straight losses out of the 100 trades. Not going to lie, but his backtested results looked pretty decent. He told me that by risking 10% per trade, he can earn so much more. His backtested results showed him that the max loss he will encounter is 30% using this risk setting. It looked decent, and the math shows that he can 10x his result in a short period of time. But yet again, he failed. Why? He did not take into consideration his trading psychology. Let's understand why I recommend 1% a trade. Losing 10 trades in a row, I will be down 10%. But if I risk 10% a trade, I can't afford to lose 10 trades in a row. Even with a 70% win rate strategy, it is still possible that I lose 10 trades in a row. Statistically, it's low chance, but it's still possible. You need to take into consideration your psychology after losing 10 trades in a row. If you're risking 10% per trade, you're at a risk of making revenge trades to gain back your losses. The sight of losing money can damage your ego, leading you to take trades not according to your trading plan. The Breakthrough I went to the in-between, which is intra-day. I have no idea why this did not occur to me earlier. Intra-day suited me because I have a day-job. Trading on the 15-minute timeframe isn’t as slow as taking swing trades. It’s also less stressful compared to scalping on the seconds chart. I will look at the chart before i leave for work. If there are any opportunities, I will set a limit and leave for work. My strategy is set-and-forget, so the trade will either hit the TP or SL. I do not have any MT4 or MT5 on my phone so that I won’t mess around with my trades. I finally found consistency and seen profitability in my trading. I’ve gotten my first funded account with FTMO, with a payout in April this year. In May, I got another funded account with The Funded Trader. Earlier this month, I’ve gotten another funded account with My Forex Fund. My life has started to change all because of I’ve made the decision to understand myself. Tips I came up with a framework that can help you on the right path immediately. Consider these questions. Do you stalk your trades when you’re in any position? Are you able to endure stress and pressure? Do you have a social life? Do you have a day job? Are you able to trade at work? Are you lazy to look at the charts? These questions can guide you towards understanding yourself and understand the type of trades should you take. Taking Accountability Trading alone is hard. Being consistent is even harder. It's hard to hold yourself accountable if you don't have the discipline. Having someone who has been there done that before is important. An accountability partner can provide valuable advice that can define and reach your goals faster. A mentor is helpful in guiding you too. A mentor must be able to look at any strategy and tell you what's not working and what you should stop. A mentor should not force you to use his strategy. He must be able share his mistakes. He must be able to show you solid trading results via 3rd party verification. 3rd party verification should be Myfxbook or Fxblue, not screenshots or excel worksheet. He should walk you through development as a person outside of trading. Stay consistent. Stay safe. Success is just around the corner. If you enjoy such content, feel free to click the like button and subscribe for more. Let me know what are your thoughts and learning points in the comments below so others can learn from you too! Please let me know what kind of topic you would like to read next :) Happy weekend! @MillionaireTiger @CaptainTiger @TigerStars
TVC:SPXEducation
by Keeleytwj
3
Your Trading Success – Work vs. Luck Introduction: In the exhilarating world of trading, achieving consistent returns is the goal of every investor. However, a crucial question often arises: is trading success a result of hard work and discipline, or is it merely a stroke of luck? In this article, we delve deep into the eternal debate of work vs. luck in trading, highlighting why consistent returns can only be achieved through persistent effort and disciplined strategies. While profit from luck may bring fleeting gains, it is no testament to an individual's skill. Let's uncover the truth and find out how to navigate the world of trading for long-term success. 1. The Fallacy of Relying on Luck: Luck, by its very nature, is unpredictable and random. Relying on luck in trading can lead to inconsistent results, ultimately undermining any chances of long-term profitability. While it's true that there are instances where traders may encounter windfalls due to favorable circumstances, these gains are often short-lived and can create a false sense of mastery. 2. The Importance of Hard Work: Consistent returns require dedication, perseverance, and a commitment to continuous learning. Trading can be immensely challenging, demanding immense effort and research to identify viable opportunities. Successful traders invest countless hours in analyzing market trends, studying economic indicators, and honing their analytical skills. Through intense preparation, they manage to develop strategies that provide them with an edge in the market. 3. Discipline: The Bedrock of Success: In the trading world, discipline is paramount. It serves as the bridge between a trader's intentions and their actual actions. It ensures that a trader follows their carefully crafted strategies, adheres to risk management protocols, and stays committed to long-term goals. Discipline helps traders avoid impulsive decisions driven by emotions or the allure of quick profits. To summarize, the notion that luck alone can sustain profitability in trading is a fallacy. Successful traders understand that consistent returns are the result of hard work, self-discipline, and a dedication to continuous improvement. While luck may occasionally offer temporary gains, it is the combination of rigorous preparation, analytical skills, and a disciplined approach that empowers traders for long-term success. Aspiring traders should focus on developing their skills, remaining patient, and diligently following their well-constructed strategies to achieve consistent returns that truly demonstrate their proficiency in the trading world. Remember, work trumps luck in the world of trading – steadfast effort and unwavering discipline will be your true allies in the quest for sustainable profitability. What do you want to learn in the next post?
TVC:GOLDEducation
by UnitedSignals
9
📊The Ten Commandments of Forex Trading: A Beginner's Guide📊 1️⃣ Thou shalt have a trading plan: Having a trading plan is crucial to my success in forex trading. By setting clear entry and exit points, as well as defining my risk tolerance, I am able to trade with discipline and avoid impulsive decisions. 2️⃣Thou shalt not risk more than you can afford to lose: I understand the importance of capital preservation. I never risk more than 2% of my trading account on a single trade. This ensures that I can withstand potential losses without jeopardizing my overall financial stability. 3️⃣Thou shalt analyze before executing a trade: Before entering any trade, I conduct thorough technical and fundamental analysis. By examining price charts, economic indicators, and market sentiment, I can make informed decisions based on sound analysis rather than relying on instincts. 4️⃣Thou shalt not overtrade: I resist the temptation to overtrade and remain patient for favorable opportunities. I understand that trading excessively can lead to emotional decision-making and ultimately result in losses. 5️⃣Thou shalt not chase losses: When a trade goes against me, I avoid the temptation to chase losses. I accept the loss, learn from it, and move on. Chasing losses would only lead to irrational decisions and potentially larger losses. 6️⃣Thou shalt not rely solely on indicators: While technical indicators are helpful, I do not rely on them alone. I consider various factors such as geopolitical events, news releases, and market sentiment to get a holistic understanding of market dynamics. 7️⃣Thou shalt use appropriate leverage: I use leverage responsibly, understanding its potential benefits and risks. I never exceed a leverage ratio that could expose my account to excessive risk. I am aware of the importance of managing leverage effectively. 8️⃣Thou shalt continuously educate thyself: I understand the importance of ongoing education in forex trading. I regularly read books, attend webinars, and consult reliable sources to stay updated on new strategies, market trends, and economic factors. 9️⃣Thou shalt keep a trading journal: I diligently maintain a trading journal to track my trades, strategies, and emotions. By reviewing past trades, I gain insights into my strengths and weaknesses, enabling me to refine my approach. 🔟Thou shalt not let emotions drive trading decisions: I maintain emotional discipline when trading forex. Fear and greed can cloud judgment and lead to poor decisions. By staying rational and following my trading plan, I avoid emotional biases. ⏩Remember, forex trading requires patience, discipline, and a commitment to ongoing learning. By following these ten commandments, you can lay a strong foundation for a successful forex trading journey. 😸Thank you for reading buddy, hope you learned something new today😸 Do you like this post? Do you want more articles like that?
Education
by ProSignalsFx
4
Unlocking Profitable Forex Trading Forex trading can be a complex and risky endeavor, but with a well-defined trading plan based on trend and key levels analysis, traders can gain a competitive edge. In this article, we will explore a real-life example of a forex trading plan that leverages these two powerful strategies to maximize profitability. Understanding Trend Analysis: Trend analysis involves studying price movements over a specific period to identify and capitalize on market trends. By analyzing the direction, duration, and strength of trends, traders can make informed decisions and align their trading strategies accordingly. Leveraging Key Levels Analysis: Key levels refer to significant price levels on a chart that tend to act as barriers or magnets for price movement. These levels can include support and resistance levels, Fibonacci retracements, pivot points, and psychological round numbers. Real Example: A Forex Trading Plan: 1️⃣ Identify the Trend: Begin by analyzing the higher timeframes (daily, weekly) to determine the overall trend. Use trend indicators like moving averages or trendlines for confirmation. 2️⃣ Zoom Into Lower Timeframes: Switch to lower timeframes (4-hour, 1-hour) to identify potential entry points in the direction of the established trend. 3️⃣ Spot Key Levels: Locate key levels such as support and resistance zones, Fibonacci retracements, or psychological levels that align with the trend identified in the higher timeframes. 4️⃣ Analyze Candlestick Patterns: Look for bullish or bearish candlestick patterns that confirm a potential reversal or continuation of the trend at key levels. Popular patterns include doji, engulfing, and hammer. 5️⃣ Plan Entry and Exit Points: Once a high-probability setup is identified, determine precise entry and exit points, factoring in risk-reward ratios. Utilize stop-loss orders to protect against unexpected price reversals. 6️⃣ Set Risk Management Parameters: Determine the risk tolerance and position size based on the trading account balance. Implement sound risk management practices, such as using trailing stops or adjusting stop-loss levels as the trade progresses. 7️⃣ Monitor and Adjust: Continuously monitor the trade, adjusting stop-loss levels or taking partial profits as the price reaches predetermined levels. Adapt to changing market conditions if necessary. 8️⃣ Learn from Experience: Review past trades to identify strengths and weaknesses. Learn from unsuccessful trades to improve the trading plan and identify areas of improvement. Conclusion: Creating a forex trading plan based on trend and key levels analysis provides a structured approach to the dynamic world of forex trading, enhancing the chances of profitable trades. By incorporating this strategy into your trading arsenal and continually refining it based on real-life experience, you can become a more successful and profitable forex trader. Remember to stay disciplined and adhere to your plan at all times. Hey traders, let me know what subject do you want to dive in in the next post?
OANDA:XAUUSDEducation
by TopTradingSignals
14
Unveiling the Secret to Wealth: Why Patient Traders Are Rich In the fast-paced world of finance, patience may not always seem like a virtue. However, when it comes to trading, those who exhibit patience tend to emerge as the biggest winners. In this article, we will uncover the reasons why patient traders are often richer than their impulsive counterparts. So, let's delve deeper into the mindset, strategies, and benefits that set patient traders apart. 1. Proven Strategies: Patient traders follow well-researched and proven strategies that enable them to minimize risks and maximize returns. They meticulously analyze market trends, study financial indicators, and make informed decisions based on thorough analysis. 2. Delayed Gratification: Patient traders understand the concept of delayed gratification. Rather than constantly seeking instant gratification through frequent trades, they carefully select quality investment opportunities with an extended time horizon. 3. Embracing Volatility: Patient traders are not intimidated by market volatility. They understand that short-term price fluctuations are inevitable and often present lucrative opportunities for long-term gains. 4. Long-Term Thinking: Impatient traders often focus on short-term gains, while patient traders adopt a long-term perspective. By investing in fundamentally solid companies or assets with long-term growth potential, patient traders build wealth steadily over time. 5. Risk Management: Patience allows traders to implement effective risk management strategies. Instead of making impulsive decisions driven by fear or greed, patient traders take calculated risks and set clear exit points. 6. Compound Interest Magic: Patient traders harness the power of compound interest to their advantage. By allowing their investments to grow steadily over time, they benefit from the compounding effect, where returns are reinvested and generate additional returns. 7. Psychological Benefits: Patience in trading brings about psychological benefits, enabling traders to maintain a disciplined approach. Patient traders do not succumb to impulsive decisions in response to short-term market fluctuations, which can lead to costly mistakes. 8. Financial Freedom: Ultimately, patient traders attain financial freedom. They have the luxury to wait for their investments to mature, take advantage of long-term trends, and build substantial wealth. The journey to becoming a wealthier trader lies in embracing patience. By adopting proven strategies, cultivating delayed gratification, and maintaining a long-term perspective, patient traders consistently outperform their impulsive counterparts. The compounding effect, risk management, and psychological advantages ultimately pave the path to financial freedom. So, if you aspire to be richer as a trader, remember: slow and steady wins the race! Please, like this post and subscribe to our tradingview page!👍
COINBASE:BTCUSDEducation
by EliteTradingSignals
7
🐼Mastering the Art of Forex Trading Strategies🐼 Key words: ,,,,, , ,, 🐼The world of forex trading is as fascinating as it is dynamic. To thrive in this fast-paced market, developing a robust trading strategy is paramount. In this article, we will explore the key points that can help you identify and refine your trading strategy, bringing you closer to success. 🐼Identifying Market Trends: Understanding market trends is crucial in making informed trading decisions. By analyzing moving averages, trend lines, and price patterns, you can identify the prevailing market direction and potential opportunities. 🐼Implementing Effective Risk Management Strategies: Mitigating risks is a vital aspect of any trading strategy. Set appropriate stop-loss orders, determine suitable position sizes, and manage leverage wisely to protect your capital and minimize exposure to potential losses. 🐼Incorporating Technical Analysis Tools: Technical analysis tools provide valuable insights into market behavior. Use oscillators like the Relative Strength Index (RSI) to identify overbought or oversold conditions, Fibonacci retracement levels to pinpoint support and resistance levels, and Bollinger Bands to gauge market volatility. 🐼Staying Informed about Market News and Economic Calendar Events: Keeping up with the latest news and economic events can provide valuable context for your trading strategy. Monitor economic indicators such as GDP releases, central bank meetings, and geopolitical events to understand potential impacts on currency movements. 🐼Conclusion: Crafting a successful forex trading strategy requires a comprehensive approach that covers market trend identification, risk management, technical analysis, and staying informed about market news. By incorporating these key points into your strategy, you can enhance your trading skills and increase your chances of long-term success in the forex market. Remember, forex trading is a continuous learning journey, so adapt and evolve your strategy as the market evolves. Please cheer me up with a like and a nice comment😸❤️ Please, support my work with like and comment! Love you, my dear followers!👩‍💻🌸
Education
by AnabelSignals
6
[Education] Itchy Hands Ruin Your CareerI was impatient. I've always wanted my live trades to play out as fast. As fast as I click the "forward" button in TradingView replay function. When I'm not in a trade, I'm bored. I want to be in a trade. It doesn't matter if the trade does not fit my plan. I will find excuses to justify my actions because anything can happen in the market, right? I want to feel the joy and excitement every time I'm in a trade. But every time I don't trade my plan, I see my account balance getting lower and lower. This is when I realized I was gambling, not trading. Trading should be simple, boring and mundane. You should not feel anything from it. It's like working your day job. Do you feel happy analyzing spreadsheet? My mentor suggested that I trade on the seconds timeframe. It's the closest to the speed of backtesting. I agreed. I switched over to trade using the 15 seconds chart. When I was scalping, things are moving fast. Analysis and trade management needed to be quick and there is no time for me to stop, gather my thoughts and act. I took on many unnecessary losses because I wanted to be in all the moves. At the end, my $1,000 account ended in a $600 drawdown in 1 month. This is unsustainable. Not Following Your Plan Your biggest problem is not following your trading plan. You have a profitable trading system that you have backtested a lot. But why do you not trade according to it? Discipline. There is no one to keep you accountable for the trades that you take. If you're working in a day job, you will be discipline to arrive at work on time. You must meet your KPI, and to complete your job according to all the rules. In trading, you're your own boss. No one will be telling you not to take the trade if it doesn't fit your trading plan. No one will be telling you to risk only 1% and not 10% on a single trade. No one will be here to punish you for all the mistakes that you've made. Success and failure belong to you only, no one else. Without the discipline to follow your trading rules, you will be running around a circle. You will find some small successes, only to fall back into the same spot as you did a few months later. You will be a breakeven trader, unable to achieve profitability. Even worse, you will be in a drawdown, and will be unable to pull yourself back to profit. If you want to improve your trading to achieve financial freedom, I have good news for you. I have a bespoke mentorship and is currently accepting students. Do note that slots are highly limited and not everyone who is interested can join. Check it out here. Feeling The Pressure To Trade There can only be two reasons why you feel the pressure to trade. First, you're attempting a funded challenge and you're reaching the end of the time limit. Nowadays, there are many prop firms out there without any time limitations. This is better for your psychology and it's easier for you to pass since you do not need to force any trades. You are able to trade at your own pace, taking trades that fit your trading plan. Second, you're relying on trading as the only source of income to put food on your table. Trading is the worst hustle you can rely on to put food on your table, especially if you're a beginner. Trading is already difficult and stressful to begin with. You are dealing with the fact that 95% of the traders fail. You're dealing with human's fundamental nature of greed and fear. It took me 5 years to achieve consistent profitability. What are the odds that you're a genius? What are the odds that you will be profitable when you're starting out? There is no guaranteed income in trading. Trading is a great side hustle at the start. You need consistent cash flow from your day job to put food on your table. You will most likely lose money during your first few years of trading. Get your personal finance in order first. Make trading your main source of income later. How To Curb Your Itch You can create another small account. This account is to satisfy your urge to be in a trade. This way, you do not hurt your main trading account. You are able to look at how you are performing when you’re not following your trading plan. Compare this result to the results where you followed your trading plan. You will be able to see which is performing better. If you get better results for not following your trading plan, tweak your actual trading plan. Backtest them and see whether there is an improvement by implementing these changes. If yes, good! You’ve found improvement to your profitability. If not, you should realize that you must stick to your trading plan. But Keeley, trading on a small account isn't satisfying enough. Yes I know. But don’t forget, you’re deviating from your trading plan. You do not know whether this way of trading is profitable or not. You can be lucky for the first 5 trades and think that you’re doing fine. This is when everything will go wrong. You will take the next trade on your main account. You will take the first loss. It’s ok, this is just 1 loss out of the 6 trades you took. If you’re unlucky enough, you can lose 10 more trades this way and put a dent in your trading account. This could actually be a losing strategy. By continuing to trade like this, you will lose your trading edge over the long run. Do you want to lose a small $100 account or your main $10,000 account? The answer is clear for me. Accepting Change Fear and greed are the enemy of traders. They are innate in us and it’s hard to overcome them. Do you know that 95% of the traders are unprofitable? Do you know why people love to stay in their comfort zone, unwilling to try something new? Fear. Change is the only constant in life. Why change something that is working ? Why change your lifestyle for the better when you’re not suffering? You’re not doing bad, but you’re not doing well either. Everyone must choose one of two pain. The pain of discipline, or the pain of regret. Whenever we try something new, we experience anxiety. We are afraid of the unknown. Master your emotions - Thibaut Meurisse The most dangerous addiction in the world is comfort. People who’s living your dream life is not that smarter than you. They are simply better at overcoming the fear to take that very first step. It feels good to be trapped within your comfort zone. You have certainty. Negative emotions will find it hard to penetrate your bubble. Think about it. You are in your 20s or 30s right now. When do you plan on retiring? 60? 70? That’s still a long way to go. Can you imagine yourself working for another 30 to 40 years? That’s 8 hours a working day on average. There’s an average of 260 work days in a year. Assuming you took all your 30 vacation leave and 14 sick days off. You’re still working 1,728 hours a year. What if you work for another 30 years? That’s 51,840 hours, or 2,160 days or 6 years of your life. And you don’t even work only 8 hours a day. Slogging your life in a 9 - 5 on the weekdays, only to go home and watch Netflix and play video games. The cycle repeats. Look back into the past 2 years, what have you achieved? Do you want to continue living your life like this for 30 more years? Waiting for your paycheck at the end of the month, save and invest here so that you have enough money for a 5 days vacation to escape your mundane life. Then you’re back at it again with your savings wiped out. Life always begins with one step outside of your comfort zone. - Shannon L. Alder To create an extraordinary life, take full responsibility for your actions and decisions. Stop blaming external factors, and focus on the things you can control. If you can’t control what others think about you, then don’t. What are the things that you can control? How you treat yourself, your body and your mind. How you react to people and situations. How you think. What you do with your time. The people you choose to surround yourself with. How you treat others. Where you give your time, energy and attention. The contents that you consume. When you’re trying to do the extraordinary, the ordinary will try to stop you from doing. People don’t like to see you succeed. They heard that entrepreneurship is hard and risky. You could lose a lot of money. They think that they have the best interest in you. They like to stay in the comfort zone and you should stay there with them. They tell you to be realistic. You are not someone incredible of great success. Anything can happen. Ultimately it’s up to you to take the first step. There will be a lot of what-ifs and negative scenarios playing out in your head when you’re venturing into the unknown. The unknown is scary. But what if it turns out better than expected? What if everything should go well, actually went well? That’s something you can only find out if you take the first step. Framework Many of you focused a lot on the entry and the exit of your trades. You have screenshots of your before and after of all the $Tesla Motors(TSLA)$, CSEMA:S&P 500(.SPX)$ and $Apple(AAPL)$ trades. How about the process during the trade? Trade management is crucial in your trading career and is often neglected. You're interested in how many RR the trade can give you. You're interested in sniping the best entries with minimal drawdown. You're interested in trading using the smallest stop loss for the largest gains. Understanding trade management can save you from losses. Trade management is also dependent on your personality. Do you like to manage your trade? Or do you prefer to set your limit order and continue with your life, forgetting about them? You have to find a trade management system that fits your personality. You can incorporate many trading tools into your stop loss placement. You can incorporate tools such as moving average, structural highs and lows, opposing order blocks, ATR, Fibonacci extension, using time elements, and even volume. Set And Forget I use this for myself. As I’m trading on the 15m timeframe, I know that my trade can take a few hours or even days to play out. Since I don’t have any power to control the market, I don’t manage my position. I manage my position when there are news or when my trade is aligned with the higher timeframe order flow. By using this method, you accept all the possibilities that this trade will be a loser. You know the win rate of your trading system through your backtesting. This way, you trade according to how you backtest. This method gives you a lot of free time for you to do what you love. This gives you time freedom which every traders should strive to achieve. Trailing Stop Loss When price moves in your favor, the stop loss will follow behind the current market price. This ensures that you capture all the profits. When a retracement comes, price will take you out in profit. I seldom use this method unless there is a red folder news. I will shift my stop loss to at least breakeven, and trail my stop loss to structure highs or lows. I have a few accounts with different prop firms. I can set my stop losses to different structure highs or lows to spread my risk. If one trade gets taken out, other trades could still be in. When red folder news is happening, the price can move fast in one direction. Often times, price will retrace back in my favor. This is to secure my profits, in case the price moved against me and hit my original stop loss position. Taking Partial Profits I use this whenever there is a red folder news approaching. 2 minutes before the release, I will close half of my position and shift my stop loss if my position is in a profit. I will close 75% of my position if my position is in a drawdown. There is great volatility during red folder news. If I do not close any position, I’m risking more than I want. This is due to the risk of slippage during news. I talked a lot about it here. You can consider taking partial profits when the price hits structural highs or lows. You can also use a Fibonacci extension to determine when you should be taking partials. This is up to you and your trading plan. Results If you've been following me on my journey, you would have seen my growth to be a consistent profitable trader. Imagine receiving all these profit splits every other week. It gives a boost to my confidence. It also reinforce the fact that following my trading plan is the way to profitability. I have a funded account journey where I trade a $10,000 account, showing the ups and downs of how real trading is like on my YouTube channel. I post weekly updates on my progress and show you the reality of trading. I walk the talk, being transparent with my progress with the public. I know exactly what you're struggling with and I know exactly how to fix your issues. I’m sure you will benefit a lot from my free contents. Stay consistent. Stay safe. Success is just around the corner. If you enjoy such content, feel free to click the like button and subscribe for more. Let me know what are your thoughts and learning points in the comments below so others can learn from you too! Please let me know what kind of topic you would like to read next :) Happy weekend!
TVC:SPXEducation
by Keeleytwj
2
❌Trading Mystery: Why 95% Of You Will Fail❓ 🟥The world of forex trading holds immense allure - the promise of financial freedom and the opportunity to make money from the comfort of your own home. However, it is no secret that the path to success in forex trading is treacherous, with estimates suggesting that a staggering 95% of traders fail to achieve their desired outcomes. So, what exactly goes wrong for these aspiring traders? Let us unlock the creative narrative behind this apparent mystery and delve into the reasons that prevent them from cracking the code. ♦️Lack of Proper Education: Just as successful carpentry requires the right tools, so does forex trading. Many traders dive into the financial ocean without a true understanding of its currents, waves, and hidden dangers. They overlook the importance of acquiring comprehensive knowledge about markets, technical indicators, risk management, and strategies. Without a firm grasp of these essentials, traders unwittingly chart a course for disaster. ♦️Emotional Tempests: Imagine being a captain of a ship, navigating treacherous waters while being plagued by anxiety and fear. Forex trading is not for the faint of heart. As the markets fluctuate, traders battle their own emotions, succumbing to impulses that lead to impulsive trading decisions. Greed, fear, and overconfidence can cloud judgment, causing traders to buy or sell impulsively rather than relying on calculated analysis. Emotion-driven trading inevitably leaves traders shipwrecked amidst the unforgiving tides of the forex market. ♦️Unforeseen Volatility: The forex market is a living organism that reacts to an array of factors, from economic data to geopolitical events. These dynamics can send currency values into a frenzy, defying logic and leaving traders bewildered. Sudden fluctuations, unpredictable trends, or unexpected policy decisions can capsize even the most astute trading strategies. By underestimating volatility, traders find themselves drowning rather than riding the waves. ♦️Inadequate Risk Management: Imagine moving forward without a life jacket while navigating choppy waters. This risky endeavor can lead to dire consequences, just like trading without proper risk management. Successful traders understand the importance of setting stop-loss orders, managing trade sizes, and allocating a portion of their capital to each trade. Those who disregard risk management find themselves sinking beneath the weight of their poor decisions. ♦️Overreliance on Automation: In recent years, the rise of automated trading systems has piqued the interest of aspiring traders. While these algorithms can streamline processes and enhance efficiency, they are not a guarantee of success. Blindly relying on automation without understanding how it works or constantly monitoring its performance may result in unexpected losses. It is essential to strike a balance between human insight and technological support. 🟥The realm of forex trading is a captivating one, tantalizing traders with elusive riches. However, becoming part of the 5% who succeed requires diligence, perseverance, and a deep understanding of the whimsical nature of the market. One must embark on this journey by arming themselves with knowledge, taming their emotions, embracing volatility, implementing effective risk management, and balancing human intuition with automation. Only then can traders hope to navigate the tempestuous seas and emerge victorious in their pursuit of forex trading success. 😸Thank you for reading buddy, hope you learned something new today😸 Do you like this post? Do you want more articles like that?
Education
by ProSignalsFx
5