forexnewadvisor
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Well this has happened to all of us, having a day in which we win absolutely everything or that day is very positive to days that seems that our strategy or robot begins to lose everything, but in my opinion everything is based on averages, and if we manage to stay disciplined we already have 80% of the way done, trading is more psychological than technical.
We could avoid these situations mentalizing the loss as something natural, the first accounts are going to burn, it is a process that we all go through, the long term result is what matters, it is the wrong perception that leads many people to ruin, trading is not getting rich from one day to another with 150% profitability, it is a form of investment and like any other carries its risks as well as its benefits.
We could avoid these situations mentalizing the loss as something natural, the first accounts are going to burn, it is a process that we all go through, the long term result is what matters, it is the wrong perception that leads many people to ruin, trading is not getting rich from one day to another with 150% profitability, it is a form of investment and like any other carries its risks as well as its benefits.
Trading success is often a journey of ups and downs, and maintaining discipline through it all is key to achieving long-term profitability.
FranziskaSchulz
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I still suffer from not sticking to my plan and making trades without planning, but still I can remember times sticking to my plan rescued me from blowing my account!
Discipline in trading is the steadfast adherence to a predetermined set of rules and strategies despite emotional impulses or market fluctuations. It involves maintaining control over emotions such as fear and greed, sticking to trading plans, and following risk management principles consistently. Disciplined traders refrain from impulsive decisions and avoid chasing losses or deviating from their strategies due to short-term market fluctuations. They prioritize patience, consistency, and rational decision-making, understanding that successful trading requires a long-term approach. Discipline in trading fosters resilience, adaptability, and the ability to learn from mistakes, ultimately leading to improved profitability and sustainable success in financial markets.
SteveGoodwill
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Discipline seemed like the biggest issue for me, staying consistent/not emotional was a huge issue for me to overcome, so I found a way around it, by using an EA. Not sure it helps if you want to learn how to trade though, however that's what worked for me.
NeverStopLearning
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If you want to be profitable in the long term, you have to live trading. Your routines need to be consistent to make it as easy as possible for your mind to make good decisions.
SteveGoodwill
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Honestly using an EA and seeing it work overtime even though at times it didn't look good made me trust my manual trading as well, as sticking toa certain strategies proved good in the long run.
Hello
My thread "Beyond Price Action" outlines a novel way of "framing" (any) market
I learned how to frame the market from a skilled gentleman who worked for a firm
that no longer exists (Bear Stearns)
As mentioned in my comments, my mentor died recently and to repay him, I have
begun to work (for a limited time) with struggling traders.
What I noticed over time, was that my system had a tradable edge, however in order
to realize that edge, one had to 1) Identify opportunity, 2) Enter at the right time
and 3) Stick to the rules when exiting. It took several years before I was able
to execute trades in a disciplined manner.
In retrospect the biggest difference occurred when I started to review the previous weeks
price action, comparing my entries and exits with my rules.
I discovered that I needed to learn how to evaluate the first bar AFTER my entry. In past
I displayed a tendency to exit right after the first bar. In contrast, now I watch the first
bar and if it is a "strong" bar, closing on or near its high or low, I will hold. In addition
my system uses an envelope generated by the VWAP. If the next bar closes above or
below the 1st standard deviation, I know that the odds favor continuation. and I will
hold as long as price stays within the range of the 1st & 2nd standard deviations.
For me, the difference has been dramatic
I hope this might help
My thread "Beyond Price Action" outlines a novel way of "framing" (any) market
I learned how to frame the market from a skilled gentleman who worked for a firm
that no longer exists (Bear Stearns)
As mentioned in my comments, my mentor died recently and to repay him, I have
begun to work (for a limited time) with struggling traders.
What I noticed over time, was that my system had a tradable edge, however in order
to realize that edge, one had to 1) Identify opportunity, 2) Enter at the right time
and 3) Stick to the rules when exiting. It took several years before I was able
to execute trades in a disciplined manner.
In retrospect the biggest difference occurred when I started to review the previous weeks
price action, comparing my entries and exits with my rules.
I discovered that I needed to learn how to evaluate the first bar AFTER my entry. In past
I displayed a tendency to exit right after the first bar. In contrast, now I watch the first
bar and if it is a "strong" bar, closing on or near its high or low, I will hold. In addition
my system uses an envelope generated by the VWAP. If the next bar closes above or
below the 1st standard deviation, I know that the odds favor continuation. and I will
hold as long as price stays within the range of the 1st & 2nd standard deviations.
For me, the difference has been dramatic
I hope this might help
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VWAP is a tool used by institutional traders to evaluate how efficient (profitable) they are and to (help) calculate
their bonus. Now that most of the volume in liquid markets is automated, it is assumed that VWAP is part of the
decision making process AND also part of the feedback loop (other firms monitoring price action) use to decide
whether to continue long or short or take profit.
When I enter a trade, I watch the first bar carefully to see how it will close. IF for example, the first bar closes
"strong" (at or near the high or low, with little overlap to the preceding bar), AND if that bar closes above the
1st standard deviation band, then I am likely going to hold to see the next bar. As a trend move progresses
I also look at whether price stays within the 1st & 2nd standard deviation bands. If it does, it is an indication
that institutions are willing to add to existing positions.
These are just a few examples
Been there too! Discipline really can make all the difference
Well said. Thanks for sharing your approach. Discipline is really the key. How have these principles played out in your own experiences?
That's an interesting approach. Do you think using an EA has changed your perspective on trading, or do you still plan to develop your manual trading skills alongside it?
FranziskaSchulz
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well if there is one reason that I am still trading, that is because of discipline. That is the best I can say.Been there too! Discipline really can make all the difference
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That's really insightful. Thanks for sharing
Alchemist254
Newbie
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Discipline is watching your Thoughts, Words and Actions to see if they align with your goals and always course correcting when you notice you are off the mark.
I found this online journal that logs mistakes with tags, boy oh boy are they many? However, I have noticed that as I work on reducing mistakes my equity curve becomes more healthier and less jagged.
I found this online journal that logs mistakes with tags, boy oh boy are they many? However, I have noticed that as I work on reducing mistakes my equity curve becomes more healthier and less jagged.
helenascott
Newbie
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In my trading journey, discipline has been a crucial factor in my success. For example, I always set strict rules for myself, such as only risking 1% of my capital on any single trade and using stop-loss orders to limit potential losses. This disciplined approach helps me avoid making emotional decisions driven by fear or greed.
One time, I set a rule to never risk more than 1% of my account on any single trade. Sticking to that saved me from big losses when the market got crazy. Also, I used to stick to a solid trading plan and not chase losses, even when it was tempting. That discipline helped me bounce back and see steady gains. It’s wild how following your own rules can really make a huge difference!
Zerologic
Active member
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Discipline is very crucial to survive in forex trading, setting maximum risk in a trading plan is one way to manage risk to avoid big risks when the market does not support a trading position. I only use stop loss with the smallest position size of 0.01 lots to learn the forex trading discipline and take risk max 2%.
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