The reason a vast number of traders in Forex industry are losing their capital is they trade the market when there is no need to trade. Trading is like a habit to them and they cannot pass one day without trading Forex. You do not need to trade the market when the market is not good. This market is open 24 hours a day but it does not say every hour the market has money.
The money changes hands and only the right people can take the money in their home. If you want to trade Forex for your pleasure, you can trade all day in this industry. If you want to make money in this sector like the experienced traders in the United Kingdom then you need to keep your mind focused and only trade when there are good opportunities. This market is always changing and the money is always shifting hands. Not all traders can understand this and they think they can get their profit anytime whenever they place trades on the market. Do not jump into a bad trade and create your own grave. Wait for the market to give you a good chance and you can trade Forex.
But I am here to trade the market
Many traders only think for themselves and the trades. They do not understand there are also bad trade setups. For example, we can talk about the choppy market. In a choppy market, the signals are always changing the heartbeat rate of running patients and you are likely to lose all your money. So you should never invest your money in the trades of the choppy market. Though the risks are there, traders are still trading in choppy markets and losing money. Either they do not understand the risks of bad trading or do not want to know.
If you are trading in Forex, do not jump into every trade you see in the market. Analysis the market and check the market trend, if you think this trade is okay for you, place your trades. Overtrading the market or chasing after a bad trade will only end your career. You need to focus more on quality than on quantity. If you cannot trade for a day, it is okay. Wait for a new good trend to open up and place your trades wisely. Forex trading is not a game rather it is one of the most elite classes business in the world. You need to be very precise at what you do and understand the nature of this market with the extreme level of precision. A single bad trade execution might even wipe out your entire trading account so it’s up to whether you will wait patiently for the good trade setup or lose all your hard earned money.
Trading is all about quality trade execution
Traders in the financial industry always need to have a strong focus on quality trade execution. It’s true that if you trade the lower time frame then you will have lots of trading opportunity but quality will be extremely poor. Instead of placing many trades you need to act like sniper where you will only place a single trade with a great level of accuracy. Try to learn the basic concept of price action trading strategy as it will guide you to the right path. Instead of using indicators reading focus on the formation of the candlestick pattern and trade the key support and resistance level with proper stop loss and take profit level.
Summary: You should never trade the market only to participate. In order to become a successful trader, you need to have a very clear understanding of the basic of this market and wait patiently for the quality trade setup. Try to master the price action trading strategy since it will allow you to trade high-quality trading signals.