A self-control assessment is something that you are required to carry out before each analytical decision and trade execution that you make. Your success and longevity within the market will be determined by your ability to keep a cen- tred and clear mind before executing a trade.
More often than not, when a trader does make a mistake, they will be aware of this error and they will also understand that the aftermath of suffering was in- deed self-inflicted.
These mistakes include:
High Volume Size
Moving Stop losses
Entering far too many trades at once
You and only you are only in control of your actions within the market. Along your trading journey you will certainly meet your inner demons, despite this it is a great journey of self-development and discipline.
The temptation to execute a trade in order to 'just be' in the market will always be present! From the moment you open your laptop in the morning your mind will be racing to find your next entry fix. The transition from this train of thought to the concept of 'less is more' can be somewhat challenging yet highly rewarding for your psyche and pocket!
This enticement may lead you into entering each setup that displays itself to you, however this must be fought with good discipline. In a business such as forex, only those individuals who exercise self control shall be rewarded with positive and consistent trading results over a period of time. In order to achieve this it is crucial that you are aware of the various scenarios you may be presented with, as well as recognising when it is appropriate to enter a trade and when you should take a seat on the back bench.
In actual fact around 60% of the time, the market may not even provide you with a solid, high probability trade setup. Professional mentoring, higher timeframe analysis and the art of 'trend trading' is the utmost logical and stress free method in taking advantage of the market momentum. Once you are profi- cient in reading and analysing price action you will be skilled in recognising the indecisive stages lasting for days, weeks or even months, which are the periods when you should take a break and divert your attention to other currency pairs.