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    The Golden Rules for Every Forex Trader

    The Golden Rules

    Every new trader should read the list below showing the Golden Rules that will help your trading, print the list and stick it near your trading monitor to remind yourself not to make any decisions that will cause you to lose money.  

    • Never add to a losing trade.
    • Never lose more than 1% to 2% of your trading capital on any trade.
    • Never trade anything you do not understand 100%.
    • Trade in the direction of the trend in your trading time-frame.
    • Only look for low risk and high reward trade, or high probability setups.
    • When you do not have strong signals DO NOT trade.
    • Trade your plan, your system, your signals, the chart and the price action.
    • DO NOT trade your opinions, bias or predictions.
    • Find a trading methodology that fits your personality.
    • DO NOT trade before you have a complete trading plan, including rules on entries, exits and risk management.
    • The size of your wins and losses determines your trading success.
    • Your risk management rules will determine the success of your technical trading system.

     

    The behaviour of a Successful Trader

    • Get enough sleep
    • Learn from mistakes
    • Stay laser-focused
    • Don't waste time
    • Live healthily
    • Ignore noise

     

    Words from a Successful Trader Steve Burns

    • I trade in the direction of the long term trend. I am primarily long in up trends and short or in cash in downtrends.
    • I trade based on quantifiable facts, not my own emotions. I react based on price action, not based on my feelings.
    • I have spent thousands of hours studying the financial markets. I did my homework before I began trading.
    • I read several hundred trading books and tried to learn from other people’s experiences, instead of losing my own money and learning the hard way.
    • I studied historical charts of monster stocks and different extreme time periods. I backtested what I thought would work to see if it would before I traded my ideas.
    • I followed great traders on Twitter to see how they operated.
    • I learned from professional traders in Facebook groups.
    • I developed a trading plan to give me rules to follow to instil discipline in my trading.
    • I developed a trading methodology that fits my own personality and risk tolerance parameters.
    • I have a passion for trading.
    • I love the game of trading and the markets.
    • I never gave up.

     

     

     

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