This currency trading tip is to do with, the difference between good traders and the truly best traders of all. This trading tip, may not help you become a super trader but it will help you understand, why, you can become a good trader and make great profits but why only a few traders achieve true greatness.

The first point to keep in mind is - the strategies of all the great traders are all very different in terms of style of trading. Some may be contrary traders, some trend followers and some may trade shorter time frames but from reading profiles of numerous great traders, I think what separates them from the rest is a mindset which puts them, at one with the market and gives them a higher intuition to where prices may go.

Intuition and the Sub Conscious Mind

Intuition lies within the subconscious mind and it's really intuition, about the market and where it will go next which is neatly summed up by this quote:

“The trick is to differentiate between what you want to happen and what you know will happen” (Anonymous Trader in Market Wizards)

Your conscious mind is influenced by all sorts of inputs, from your present position and view in the market to how a classical technical set up looks and how you have performed in a currency pair in the past. If you are disciplined and have a logical plan, you can still make money but it seems to me the truly great traders, can tap into their sub conscious mind where there intuition allows them to see an event that other traders don't see. This may sound quite confusing but how many times have you done a trade and thought, this doesn't look right?

All the rules in your trading strategy come together and it looks a good trade but something tells you there is something wrong. You can't quiet pinpoint why, the trading signal is executed and you lose – was your intuition telling you not to do the trade?

Probably yes, you have seen a pattern which you can't explain beyond the charts your conscious mind saw but you didn't listen to it – the best traders seem to have an uncanny ability to spot set ups on the charts which others don't. This comes from experience of watching prices over a considerable amount of time which allows them to feel the market and to act on intuition and know their right.

It might sound a bit of a wacky concept but read about the great traders and you will see, how many can't quite explain why they were so bullish or bearish of a particular market on a trade which made them such a big gain but they knew, it was the right thing to do.

I read this concept in the New Market Wizards by Jack Shawager and it makes sense to me. Many times I have put on a trade, it looks good but I know there is something not right which my intuition is telling me but I still did the trade.

Today if I have a doubt on a trading signal I ignore it and stay out and surprisingly, its saved me a lot of money – I just need to start seeing the charts in a different way and spotting patterns that others don't but that hasn't happened to me yet, so I will probably remain a good trader rather than a great one!

Keep in Mind

We write constantly about trading in isolation as the best way to trade because you are blocking off inputs which can distract you such as opinions from friends other traders and news stories. I think anyone can become a good trader and will quote from Ed Sekyota:

“A losing trader can do little tom transform himself into a winning trader. A losing trader is not going to want to transform himself. Thats the kind of things winners do” Ed Seykota

I would say that losers are losers only winners in life are able to get the skills that are needed to win which is all about attitude. Most can and thats why most traders in Forex and other financial markets lose. You can win by simply by knowing your strengths and weaknesses and then, changing your attitude to trading – you or I or anyone can do this but the next quote made me think about intuition:

“ Good traders have a special talent for trading just as good musicians and good athletes have talents in their fields. Great traders are ones who are absorbed by the talent. They don't have talent the talent has them” (Ed Seykota)

Seykota is saying, that some people are born to be great traders which most of us are not. When I first read this, I agreed with many it was elitist. On reflection and after 25 years of trading, I know that anyone can learn currency trading and become a winner - but it takes a special intuition to become a super trader.

So this currency trading tip hopefully, will help you realize your sub conscious mind or at least pay attention to it and if you do, maybe you can become a super trader but if not don't worry, you can still make a lot of money trading Forex, with the right mindset and attitude.