Forex Trading Strategy - Slow Down to Go Fast

In auto racing, like trading, most rookies think that the harder you press the pedal, the faster you will go. This might be true when driving in a straight line, but racing, like trading involves lots of turns. Think about a typical trading month in foreign exchange. 

The month starts with non-farm payroll (NFP) on the first Friday and in the work of this week cost often behaves in a positive way. In the work of the second week of each month, after NFP, currencies will often change work and behave in an entirely different manner. Now think about a typical trading day. 

Is there such a thing? Yes, there's occasions when there is more cost movement, but this movement never moves in a straight line. As rookie traders they frequently put logic aside and focus on speed while they try to trade every move they see and every gut feeling that they have. A rookie foreign exchange trader, much like the rookie race automobile driver, often forgets or does not appreciate that it is the way you manage your automobile, and your account, in the curves that determines the way you finish the race.

I come from an auto racing background and in that sport there is a saying that goes, "sometimes you need to slow down to go fast." This saying definitely applies to FX trading as well.

I have written before about of the ways you can slow down when trading currencies online, I call it taking weeks off. Take a break from trading and define why you need to be a trader, what your expectations are, and whether or not those expectations are realistic. Ask a logical person in case you have reasonable goals and expectations in your foreign exchange trading. It is simple to forget that the man with an fascinating accent is trying to sell us something and they forget to ask ourselves if what they are hearing about foreign exchange success is reasonable. Foreign exchange marketers need you to think in going fast because the faster they get you thinking, the faster you will buy.

Another way to slow down in foreign exchange trading is to evaluate the timeframe you are choosing to trade. Positive, there is much more adrenaline and excitement trading a lower timeframe, but fast timeframes need fast decision making. Slow down and trade a higher timeframe so you will have more time to evaluate the chart, choose where you need to trade from, and make better decisions. I showed limitless traders how simple it is, and low stress it can be, to check a chart two times every day in lieu of two times every minute.

The finish aim of any foreign exchange trading strategy is to grow your account. Account growth is the final measure of success, not adrenaline. Take weeks off and figure out why you need to trade and then slow down and see how fast your trading success will come. Your ability to handle those trading twists and turns will make all the difference.

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