Have you ever dreamed of being able to work from home, or from anywhere in the world for that matter? Perhaps you are tired of a job that doesn’t value your hard work, or a boss that is more interested in telling you about his own successes than helping you succeed in your role?
With FX trading, all this can be within reach if you are willing to do the work that is required to become a consistently profitable trader.
How can you learn FX trading?
Learning to trade forex can be an extremely rewarding venture. Becoming a successful independent FX trader is, however, is not an easy journey. For most people, it requires years of hard work and learning from their own failures in the market.
However, the good news is that you are not alone and there is help available. A high-quality FX trading course can significantly cut down on the time required for you to become a profitable trader.
Learn to Trade Australia offers trading courses for beginners in the FX market developed by people with extensive experience from professional trading. As an independent FX educator, we offer you an unbiased look inside the exciting world of FX trading.
Developing a profitable FX trading strategy
One of the first things beginning FX traders do when they become involved in trading is to look for trading strategies. Finding or developing a profitable FX trading strategy, and actually follow through with it, is no easy task. Actually, developing or finding a strategy that works is not necessarily so hard, but following your strategy every day without deviating from it is one of the greatest challenges even for experienced FX traders.
You may have found yourself going online Twitter, checking the news, or discussing with other traders in online forums during quiet periods in the market. All of this influences your own judgment and decision-making, and leaves you vulnerable to abandon your new trading strategy.
As a new trader it is also easy to fall into the trap of jumping from strategy to strategy, believing that something must be wrong with your current trading strategy since you are not profitable.
Implement your FX strategy correctly
Beginning traders need to realize that the problem is not their strategy, but rather their ability to follow through on it. To make sure you are implementing your strategy correctly, as well as learning from your mistakes, follow these simple steps:
- Keep a detailed trading journal where you record all relevant information about each trade, including your reasons for taking all actions related to the trade.
- Backtest your strategy to increase your confidence in it. For more discretionary strategies, a visual backtest where you evaluate past setups on the chart is sufficient. Systematic/mechanical trading strategies, however, should be backtested using software such as the MetaTrader or TradingView’s backtesting functionality.
- Develop routines around your work. If you take trading seriously, you need to treat it as a business. Therefore, it is a good idea to create daily and weekly routines that you follow religiously. For example, if you do your market scan for 4 hours each Sunday, make sure nothing gets in the way of that and cancel other commitments during those hours. That time belongs to you. After all, this is your job now!
- Write down a trading plan where you describe all details related to the planned trade. You should do this when you see your set-up starting to take shape in the chart, for example during a weekly market scan or a similar routine you have.
- Focus on process, not money. As you are learning FX trading, money should not be your goal right away. Instead, focus on executing each trade exactly as planned, and review your trades after you have closed them to look for improvements in your execution.
What can you achieve with FX trading?
FX trading will surely teach you a lot of things you didn’t know about yourself. For example, it is very likely one of the best courses on self-awareness you can get anywhere. You will learn to put your own ego aside and be humble in front of the markets.
You will also likely learn that only you are responsible for the outcome of your work. Some traders inevitably try to blame their broker, trading platform, Internet connection, or even the market itself. These traders will not be around very long and they are sure to fail miserably in their trading venture.
All successful traders know that there are no good or evil brokers or trading assets. There are only assets that move up, move down, or move sideways. Your job is to take every opportunity to learn as much as possible about these market movements to ensure that you will do better the next time around.
Gain financial independence from trading
The ultimate dream for most FX traders is to one day be able to quit their 9 to 5 job and trade the markets profitably with sufficient capital to live off of their trading profits.
Once you have gained the basic knowledge required to start developing your own trading strategy, you also need to choose a time frame to trade on. When doing this, it is important to choose a timeframe that fits both your strategy and your personality. If you prefer a slower pace with more time to make well thought-out decisions, the 4-hour or daily timeframe may be suitable. If, on the other hand, you like a fast pace and making quick decisions, the 15 minute or 1 hour timeframe may be your best choice.
As an independent FX trader, you will be able to work from anywhere you choose. While many younger retail traders are enjoying this lifestyle in South East Asia due to the relaxed living environment and lower cost of living, the older generation usually prefers to stay in their home country because of family and other commitments.
No matter what lifestyle you choose, FX trading can provide you opportunities to live your life in ways you never thought possible. Only your own imagination sets the limits for what you can do with your life. Join us at Learn to Trade Forex today for a beginner FX trading course to get you started on your journey to becoming a profitable independent trader.