Trading discipline in Forex means following the rules of a given trading system exactly and unquestioningly. More than 95% of foreign exchange traders lose not because they do not have a good strategy, but because they have not learned self-control and discipline.
If you ask them about the methods and systems used, they explain everything very well, but when you ask them about the indicators and results, you will realize that they are almost not making a profit.
- Are you trading without setting a proper stop loss?
- Do you widen your stop loss when there is a possibility that it could be caused by a movement in the market?
- Do you trade every day even when there are no strong trading signals?
- Do you have to take a position when you are sitting at the computer?
- Are you trying a new trading strategy, timing, indicators, etc. every day?
- Do you take a position when you hear that someone is opening the same, or if some people say that one currency will go up / down against another?
- Do you close positions before they hit your stop loss or profit target?
- Are you taking too many risks?
- Do you accept the position simply because you have to make money?
If your answer to any of the above questions is yes, then the lack of trading discipline in Forex is your problem, and you will suffer losses until you change yourself and you cannot trade like a disciplined trader. In the end, you will give up your idea and forever miss the chance to make money through Forex.
