Every investor wants to make a steady profit in trading, and aspires to
make a million dollars from the forex market. Before reaching this goal,
it is necessary to develop a short-term habit of 21-week stable profit,
followed by the 21-month habit. Financial trading features both simple
and complex process. So the key is we wanna make it easy or intricate.To
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To develop a correct trading idea.
Individual forex investors should understand that its hard to profit
stably and only a few people become rich overnight. It takes risk-taking
and trading skills to double your capital, which indicates that the
speculation is made on the basis of investment mentality. In layman's
terms, investment relies on the concept, while speculation relies on
luck. If the trading concept is correct, the luck seems to come easily.
So, how to establish a correct trading concept？ We need to follow the
three points below.
Set goals, divide them into stages, and refuse to be spontaneous, with
an effort to develop a good trading habit for stable profit. Firstly we
need to set a goal for ourselves and see the daily, weekly and monthly
profit starting from the present moment. We also need to develop a
trading habit of making money steadily. Many investors who like trading a
lot should consider that if they have the experience of continuous
profits in the market before betting on the trades. On a weekly and
monthly basis, if the trading record shows loss most of the time, you
should think over whether it is more important to lay a solid foundation
first for trading.
Develop a steady-profit habit, youd better start from the first 21-week
plan. Let's start by setting a goal for ourselves on a weekly basis. For
example, we aim to achieve a good trading record for 21 consecutive
weeks in a short-and-medium term. The 21-week cycle is very essential,
and if you stick to do one thing for the 21st week in a row, it will
soon become one of your habits. Once we achieve the
short-and-medium-term goal of 21 weeks and become a stable and
profitable trader, believe me when I say we will have a better
understanding of forex trading. A trader who keeps profiting can have a
deep understanding of trading ideas, skills, money management and risk
control.
It is not difficult to make consistent profits, which can be obtained
by focusing on simple trade and training the ability to manage capital
as the core. How to develop the habit of making consistent profits？ How
to reach the 21-week goal of profiting stably in the short and medium
term？ Simply put, forget about the rules and regulations, just focus on
simple trading, and improve the ability of capital management. The first
thing we need is to drastically cut off the inappropriate positions and
profit expectations rather than to apply EA, read the famous books of
trading masters, and attend various training courses.
Consider stability first, then profit, which is based on the
stability. Take a $10,000 account for example, previously we were used
to opening 0.5 lot of EUR/USD and adding positions. Then in the
implementation of the 21-week stable profit plan, it is worth reducing
the position to 0.05 lot, with at most eight orders distributed among
three to four currency pairs, each of which has not more than three
orders. We go to trade for 21 weeks under this premise, I believe we
will have a different experience. This is a basic framework for simple
money management, which works as expected. If you can do this, stability
and profitability should not be a problem. On this basis, we can then
think about trends and retracement/breakout to improve profitability.
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