The Holy Grail of Trading Success

New traders are often targets of the hype being promoted online and elsewhere, promising get-rich-quick methods of trading.
Beware of anyone who promises overnight success. Commerce is a real and legitimate profession and, like any other, requires a thorough education, a dedication to hard study, skill development, plenty of experience, and a commitment to personal growth in the process.
No e-book, magic indicator or forex robot will make you rich. You have to do the work yourself and do it well.
 
BECOME A RISK MANAGEMENT EXPERT
Profitable traders tend to focus more on managing risk than making profits. When you have a profitable trading methodology, the most important thing is to be very diligent in managing your risk.
You have to keep your losses small, and let the winners rush. You can achieve risk management through personal discipline, use of preventative stops, diversification, and hedging, among others.
 
Document your trading
You can’t measure numbers that you don’t have. Documenting every trade is not the fun part of trading, but you should document every trade you make to improve yourself as a trader.
Businesses live and die by their numbers. Good businessmen carefully monitor their income, expenses, profits and losses, balance sheets, and other financial reports so that they know the strengths and weaknesses in each area of ​​their business.
Professional sports clubs do the same. They have each player’s stats, and they video-record every match for their team and opponents. They use these documents in an endless quest for improvement.
As a trader, you can improve your chances of success by documenting each trade, including the following information:
1. Time and price of entry and exit operations
2. The reason for your trading
3. Mistakes I’ve Made
4. What were you thinking when you took every deal
5. How did you feel when you took each deal

Read more: What’s Your Sign? Determining Your Trader Type

 
Review your trades
At the end of each day, week and month, review your trades. Print out your charts and match them to your entries and exits. Look for patterns in your thoughts and feelings as you enter into trades. You can use these patterns as indicators for future trades. Look for the patterns of mistakes you usually make. For example, do
1. Exaggeration?
2. Exiting trades too early?
3. Do you hesitate too long to enter your trades?
4. Continuing to trade reversal of the trend?
5. Willingly break your trading rules based on a gut feeling?
No one ever becomes a perfect trader, but if you can reduce the habits of making the same mistakes over and over again, you can move on to the winning trader category.