“Self-disciplined begins with the mastery of your thoughts. If you don’t control what you think, you can’t control what you do. Simply, self-discipline enables you to think first and act afterward.” – Napoleon Hill
Happy New Year!
The Year 2011 had come and gone – gone forever. What a difficult year it was! It was the most difficult year in my entire trading career, but I came out of it triumphantly. My trading results for the last year would soon be published. It’s no wonder that good and bad trading years produce good results, provided one does the right things in the markets. At the beginning of the last year, I told my clients and readers that we would experience losses and profits, but we would come out victoriously by making more money than we lose in the long run. And that’s exactly what happened. Did you come out of the last year’s markets victoriously? If you came out victoriously, then accept my hearty congratulations. If not, there’s no need to despair. Even though your situation may seem desperate, remember that you aren’t alone and that sadly nearly every trader is coping with the mercurial nature of the markets. While in the short term it may seem that your problem will never be resolved, trading results often do improve with the passing of time.
Sam Evans states that instead of blaming the market for your losses or your strategy, step back and ask yourself whether you are actually causing the problems by not following a plan or disciplining yourself and your actions day to day? It can be easy to think that the world is against you sometimes and that you have the worst luck around, particularly during those times when you are enduring a string of losses in the markets and every time you seem to take action, it goes the other way. I have been there and have the t-shirt hanging in my wardrobe! All I can say though is that there is always somebody else out there in a worse position than you. This is a time to look around and take pride in what you already have rather than only focusing on what you don’t have. The markets are not going anywhere and you have the time to make this work.
This year, excellent trading opportunities lie ahead of us. I believe trading this year would be much easier than that of the last year. I’m ready to face the uncertainties and unpredictability of the markets and be home and dry. I just need to do the right things, and profits would take care of themselves. Are you ready to face the uncertainties of the markets? You’d need to focus, not on your past trading results, but on what you’ll gain in the future. You need a good trading quality. It’s the quality of being strong, bold and valiant – the opposite of timidity and cowardice. Being courageous doesn’t necessarily mean that we’re never afraid. Rather, a trader with rational courage takes right action in spite of fears. Successful traders have been willing to go against the crowd. Although they live in the environment where people hold mythical and negative views about online trading, they don’t let fear of what others would think hold them back from doing what they know would benefit them. Rather, they boldly take a different course in life.
Technical knowledge is a requirement but insufficient for trading success. Self knowledge enables the effective application of technical knowledge for reaching objectives. Granted, doing the right things in the markets isn’t always easy. Nevertheless, one must do what’s right in the markets, or one’s in trouble. What did I say? It’s mandatory that you discipline yourself, including having enough patience to wait for good trading opportunities. Patience is a rare and precious quality. Without discipline, you’ll achieve nothing.
Lastly, have you ever wished that someone could take your hand and lead you safely thru trading uncertainties? If so you may find solution by signing up for the services of the trading team at FXInstructor.com.
Please let me conclude this article with quotes from D.R. Barton, Jr:
1. “…A trader can have the best strategies and market knowledge and still get kicked around in the markets if s/he doesn’t apply those tools in a disciplined way.”
2. “When I talk to people who have blown up their accounts, positions that were too big for the account size have almost always entered into the conversation. Again, people have many reasons why they put on positions that are too big: they want their accounts to grow faster, they want to make up for past losses, or they want to hit a weekly or monthly profit goal after going through a drawdown. It is actually fairly difficult to blow up an account if you use proper position sizing methods—that’s actually a main part of the idea. Implementing proper position sizing models is a discipline that, when followed, grants you the gift of time: time to make mistakes in other areas and learn from them while keeping losses small enough so that you can live long in the markets.”
NB: Please watch out for my coming articles with these titles: ‘A Trader’s Trick Entry Technique,’ ‘Making Money out of Losses – A Blessing in Disguise,’ ‘Achieve a Better Hit Rate with Gap Trading (Using the Logic Yourself),’ ‘Play the Markets Victoriously with Nano-cent Accounts,’ ‘Why It’s Difficult to Do the Right Things in the Markets,’ ‘How to Identify a Sideways Market – Be Safe!’ ‘A Negative Expectancy System – Pushing Against the Wind?’ ‘Trading Signals,’ ‘An Intraday Moves Catcher – A Wealth Generating System,’ ‘Unlock the Power of Everlasting Triumph in the Markets (Parts 1 – 12),’ ‘How to Handle Uncertainties in the Markets,’ ‘The Issue of Stops (Come Back! Oh Come Back!),’ ‘A Hedge Funds Strategy,’ ‘My Hedge Funds Strategy Update,’ ‘Experiment with Different Exit Tactics,’ ‘Mastering the Market Equilibrium Zones – A Time-sensitive Method,’ ‘How I Apply Risk Management – Part 3,’ ‘A Simple Positive Expectancy System – Trading Effortlessly,’ ‘Testimonies from My Subscribers (2),’ ‘Resist the Lure of High Risk – Part 4’ ‘Worst-case Scenarios – Facts Are Sacred,’ ‘Effective Swing Trading in Forex,’ ‘Gap Trading Revisited,’ ‘3 Recent Gap Trades,’ ‘Developing the Right Attitude towards Losses – Part 4 (Losses Aren’t Abnormal) ,’ ‘The True Holy Grail – The Long Sought for,’ ‘Forex Trading Vocabulary,’ ‘ Clarifying Some Issues – Part 6,’ ‘Navigating Turbulent Markets – A Double Timeframe Analysis,’ ‘Before You Open that Trade,’ ‘Cogent Trading Biases,’ ‘Overview of My Signals Strategies – Can You Become a Super Trader?’ ‘The Cost of Discipline,’ ‘Monthly Market Review,’ ‘Uncertainty Has Become My Ally – An Interview with a Dogged Market Speculator,’ ‘2 Examples of the USDCAD Hedging Trades,’ ‘I Can’t Express How Grateful I’m to You!’ ‘Yearly Trading Update (2012) – The Big Picture,’ ‘What We’ve Decided to Do in the Markets – Trend Following It Is!’ ‘Yearly Trading Results (2011) – I Was Perfecting My Trading Skill,’ ‘Monthly Trading Report (December 2011),’ etc.
Your questions and opinions are highly welcome.
With best regards,
Forex Signals Strategist, Funds Manager &Coach
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