Best Thread Why You Are Failing - and What You Need to Do

[FX4Newbies]

Truly, I feel it is all about understanding the market structure.

It is certainly one of the core components for successful trading on the whole. Too many times, traders put the cart before the horse...the cart being the technical (and fundamental) basis for the current market moves, and the horse (the analysis) ...the means by which you transport your trade idea, in that market, to achieve your trading goal i.e. a profitable trade. The trader must first be able to put themselves in the cart to understand what the market is doing, then they should be able to see more clearly how best to approach it with their plan to go forward to the trading goal.

Critical thinking is also a MUST! Too many people want to reduce trading to a buy/sell signal and a mouse click. It's much more than that if you want to be successful.

A person can destroy the outcome of a recipe working with the best ingredients but the wrong method, or they could follow the method well but use poor ingredients or not have them all. The goal is to have the best of both worlds. That way every time the outcome is great, unless some unexpected event occurs.

The ultimate aim is to have the least amount of room for error as possible on every trade. That is what your technical analysis method should provide. Fundamentals should have already been checked.

 

[Simon54]

It is certainly one of the core components for successful trading on the whole. Too many times, traders put the cart before the horse...the cart being the technical (and fundamental) basis for the current market moves, and the horse (the analysis) ...the means by which you transport your trade idea, in that market, to achieve your trading goal i.e. a profitable trade. The trader must first be able to put themselves in the cart to understand what the market is doing, then they should be able to see more clearly how best to approach it with their plan to go forward to the trading goal.

Critical thinking is also a MUST! Too many people want to reduce trading to a buy/sell signal and a mouse click. It's much more than that if you want to be successful.

A person can destroy the outcome of a recipe working with the best ingredients but the wrong method, or they could follow the method well but use poor ingredients or not have them all. The goal is to have the best of both worlds. That way every time the outcome is great, unless some unexpected event occurs.

The ultimate aim is to have the least amount of room for error as possible on every trade. That is what your technical analysis method should provide. Fundamentals should have already been checked.

I completely agree with you. It is about balancing between analysis & execution. How'd you approach your trade?

Happy New year!

 

[FX4Newbies]

I completely agree with you. It is about balancing between analysis & execution. How'd you approach your trade?

Happy New year!

Very simply. Once I see the entry criteria I am looking for, I'm in. SL and TP orders go in automatically at pre-set levels. Then I adjust them manually based on my method and the timeframe I am trading. Once things are set, I just "forget" it and I allow the market to go to work for me. I give the market time to perform. That is where my SL and TP alerts come in to help me monitor the trade without staring at the chart. The alerts help to keep the emotions in check!

Happy New Year! Make it as great a year as possible!