Challenges as a Forex Trader

Discussion in 'Forex' started by PriceAction Ltd, Dec 14, 2020.

  1. The biggest challenge all traders face is creating a feasible trading strategy. The forex market is always changing and no matter how good a strategy is, it loses its effectiveness. As traders, we need to understand the different market conditions and trade accordingly.
     
    #101     Feb 1, 2022
  2. tomorton

    tomorton

    I don't agree - I don't believe that effective strategies lose their effectiveness. I believe that rubbish strategies have runs of good luck, and then the good luck runs out.
     
    #102     Feb 1, 2022
  3. socool

    socool

    In most of the cases, the effectiveness of any strategy is lost when the trader doesn't know the rules.
     
    #103     Feb 2, 2022
    tomorton likes this.
  4. Some of the challenges I have faced
    1) Creating a workable strategy
    2) Finding a good broker
    3) Controlling greed and fear
     
    #104     Feb 2, 2022
  5. Gujind

    Gujind

    There are lots of challenges and problems which newbies face during their first steps in trading. In most of the cases they are connected with the fact that they don't know the market pretty much so every unfamiliar situation brings about some stress and psychological pressure.
    I feel that the best remedy is gaining trading experience which will definetely help them learn how to react on this or that financial environment. It is important to feel comfortable on the market and get your trading under control. Beginners should be patient in order to keep the motivation to learn and develop your skills and knowledge abot trading. Trading success depends on hard work and ability to learn.
     
    #105     Feb 2, 2022
    tomorton likes this.
  6. no challenge there is to be a Forex trader , the main challenge is to keep survive in here with successfully .
     
    #106     Feb 3, 2022
  7. Schmutz

    Schmutz

    The biggest challenge for me as a forex trader is to find out the correct entry and exit point in a trade. I also had a habit of keeping my position open for too long for bigger profits, which has cost me on a number of occasions. Now, I use take profit and stop loss on every trade to make decent profits and avoid heavy losses.
     
    #107     Feb 3, 2022
  8. noframe

    noframe

    This really is a major problem among beginners. Proper emotional management is highly needed to have better trading.
     
    #108     Feb 4, 2022
  9. not only beginners level but also pro traders sometimes fail to manage emotional management , its really a complicated issue
     
    #109     Feb 4, 2022
  10. It is impossible to mention all the difficulties which a newbie faces durin their first days in trading.
    Trading is a sort of environment where everything is new and unusual. The first challenge that I had to overcome is to master the trading platform itself. Surely, I could understand how to set pending orders, but the question was in doing it fast and the right way. It is a certain skill or a habit which you need to have in order do the mechanical stuff without distracting your attention from important things like planning and risk management.
    The next difficulty was the fact that I knew nothing about forex market. It was a huge search to find some courses or information which would be combined in the right order. I took me pretty long to do that but I finally found the right place for that. Learning is significant for growing up as a trader so noone should undermine its significance.
    Finally, I had to comb my psychology and emotions. In the beginning I tried to read some literature about trading psychology and all this stuff, but one day I realised that I'd better to concentrate on improving my trading strategy and make it more precise and objective. So after that moment, I wasn't really interested in the question of sheer psychology. I try to deal with the facts and objective reality, the numbers which don't bring about any emotional distress.
     
    #110     Feb 5, 2022