Here we will look at some character traits, that you may have already which will give you an advantage, if you decide to trade currencies and if you don't, you need to learn them fast to win. Let's take a look at them and see how, they can help you achieve trading success.
From the list of traits below below, you will be able to see how the character traits are related to FX trading success. If you do have them, chances are you will make a good currency trader. If you don't, you need to understand why there so important and acquire them quickly to execute your currency trading plan for profit.
Do You Have Problems Following a Plan With Discipline?
If you have problems following a plan which involves short term pain for long term gains, you will lack discipline which is an essential character trait needed for Forex trading success. The perfect example is a diet to lose weight.
Anyone can lose weight and we know that if you cut calorie intake a person will lose weight but around 90% of people cannot follow a diet and keep weight off long term and this ratio of people who fail at dieting is the same, as the number of people who lose trading currencies.
While the logic of weight loss is sound and we know that it works, most people cannot do it and the reason why is - it involves short term pain for long term gain. People on diets are not prepared to take short term pain for a better life long term. The same applies in terms of a losing traders trading strategy – these losers can't apply it with discipline, to make a long term gain. Just like a dieter changes the rules of diet to allow a treat “just once” (which ends up numerous times) the losing Forex trader when he is losing alters his trading plan so he doesn’t have to take a loss by – moving his stop loss back (so as not to take a loss) over riding his trading system rules and does this because - he doesn't like the signal generated! Now if you don't follow the rules of a diet, you are not dieting and if you don't follow the rules of a trading system, you are not following a system.
Both the person on a diet and the currency trader, who cannot follow a plan are destined to fail in their objectives – they know what they need to do but can't do it because, they can't accept short term pain to make a long term gain which in both instances will change their lives. They have failed to control their emotions and lacked discipline. So if you have failed, at following a diet or any other long term plan which involves, taking short term pain to achieve a long term gain – you shouldn't trade Forex.
Do You Put off to Tomorrow what You Could do Today?
There is an old business saying – “Do your worst tasks first” so why is it so important?
The answer is – you become more efficient and clear your mind and it shows you are decisive at getting things done. How many people put off going to the dentist (even though they know there going to have to go) or any other task which they are going to have to do eventually like – talk about a problem with a loved one or fix a problem in their lives? They know the problem is not going to go away but they put it off.
In Forex trading, you need to be decisive in terms of trading signal entry or stop loss exit and you can't wait – you need to make your mind up quickly and do an order, even if it's not what you want to do (like taking a loss) Most traders in FX, will leave it just one more day, to see if it turns around but just as many people put off things they need to do in life, they do the same in Forex trading and lose.
Do You Get Angry at Other People for No Reason?
Do you get angry at things you shouldn’t like seeing a friend do well at work or envy a celebrity on TV - Do they make you angry because there doing better than you? If you do then, you are not only lacking confidence in your ability to do something about it, you are getting angry at people who have done no harm to you. The Forex market will give you pain and losses but if you get angry at it and personalize it - you will lose. Anger is a strong emotion and should not be directed at things or people who have done nothing to you. If you have this trait think about how wrong it is, focus on your own life and what you can do to improve it.
I Couldn't do That!
Now I have said this in terms of - doing the 100 meters in 10 seconds or being an astronaut but many people, say the above phrase, in terms of simply doing simple tasks for themselves. When I mean simple tasks I mean things they could easily do, if they wanted to like - learning to do a new job or getting fit. These people, don't have a positive attitude and will always fail in life. If you can do it, there is nothing wrong with trying but most people, simply don't want to do what's necessary to change their life for the better and it's the same in Forex trading.
I have seen losing traders, make the same mistakes over and over again – why? Because they think, they will get lucky and win. They won't do what they need to do and this is because, the reality of Forex trading is short term pain for long term gain as we said earlier.
In terms of Forex trading success the character traits you need to win are:
Discipline, perseverance, decisiveness, confidence, a positive attitude and a belief in yourself.
Most people don't have these traits but even if you don't, you can learn them. If you do, you will get more from life and make money trading the currency markets. If you have the above traits, you will have no problem taking up the challenge of currency trading and winning. I have stressed this throughout this site but will stress it again:
Forex trading can be learned by anyone and simple trading systems are all you need to win BUT – They key is your mindset! If you want to win you can and hopefully, the above will show you that if you do have the above personality traits your can enjoy trading success and if you don't, you can change your mindset and win. Trading currencies is the world's best business opportunity and one you can succeed at all you need to do is learn the character traits above and you will be able to build wealth trading currencies – good luck.