THE 20%
In the forex market, there’s a well known saying that over 80% of traders lose money, while only a small 20% come out on top. The big secret? It’s not just about learning strategies or reading charts, though that’s part of it. What truly separates the winners from the rest of the crowd is their ability to control their emotions, manage their mindset, and be smart about risk . But hey, let’s be real it’s easier to understand what "order block " is than to keep your cool when you see your trade tanking ,the edge pair is simple So, how do you join the 20%? Let’s break it down in a way that won’t make you run to Google for definitions
First, let’s talk about emotions. Now, if you’re thinking, “I’m not emotional, I’m a calm trader,” just wait until your trade is running 20 pips in the wrong direction. Emotions in trading is all about greed and fear sneak up on you faster than a surprise NFP report . Greed tells you to stay in a winning trade just a little longer because who doesn’t love more profits, right? , and fear makes you close a trade early, worried that the market’s about to reverse. The trick to being in the 20% club is treating every trade like a business deal unemotional and logical. Imagine being a robot who doesn’t care about wins or losses. That’s how you need to think. One way to keep your cool? Set your exit points I mean both profit and loss before the trade starts, and follow through like your trading career depends on it because it kind of does.
Now, let’s talk about psychology. Trading isn’t just about knowing when to buy or sell; it’s a mental game. You might think you’re confident, but when it’s time to pull the trigger, you hesitate. Or worse, you get overconfident after a big win and start making reckless trades. Trust me, that second one will humble you real quick. The successful 20% understand that having a plan and sticking to it builds confidence. They don’t make decisions based on gut feelings or second guesses. Instead, they rely on a system. They review the market, double check their analysis, and then, and only then, do they enter a trade. The biggest difference between winners and losers in this game is mindset. The 20% know that losses happen and that the goal is to stick to the process, not get emotional after a single bad trade .
Ah!!, risk management the thing everyone claims to understand but few actually follow. Most traders blow up their accounts because they’re risking too much on each trade, hoping for that one big win. But let me tell you, the forex market doesn’t care about your dreams of getting rich overnight , no hard feelings. Risking more than 3% of your total capital on a single trade? That’s like betting your house on a coin flip. The smart traders the ones in that top 20% know that protecting their capital is the most important thing. They only risk what they can afford to lose and aim to survive long enough to let their edge play out. Think of it this way: it’s better to take small losses and live to trade SURVIVING IS WINNING another day than to take a massive hit and be out of the game for good.
Let’s not forget discipline, the glue that holds everything together. And no, I’m not just talking about setting stop losses and take profits. Discipline means sticking to your routine like it’s your best friend. It means not jumping into a trade just because everyone on Twitter is hyping up a currency pair. The disciplined trader follows a process that covers all the bases most do like , fundamental analysis to know the economic backdrop, sentiment analysis to understand how other traders are feeling, and technical analysis to find good trade setups. The disciplined trader doesn’t rush in; they make sure everything lines up before making a move. It’s like cooking you can’t just throw everything into the pan at once and expect a gourmet meal . Take your time, follow the recipe, and the results will speak for themselves believe me .
And here’s a pro tip that will help more than you might think , work like professional trader no matter you had $50 acc ,keep a trading journal. If you don’t track your trades, how are you supposed to know what’s working and what’s not? Write down why you entered a trade, how you felt, and what the outcome was. Over time, you’ll notice patterns in your behavior, and you’ll be able to fix mistakes before they become bad habits. It’s kind of like writing a diary, but instead of embarrassing teenage crushes, you’re documenting wins and losses in the market.
In the end, trading isn’t about who knows the most strategies or who can read charts the fastest. The real secret to success is mastering yourself. To join the 20%, you need to control your emotions, trust your plan, and manage your risk like a seasoned pro. And remember, being a smart trader isn’t about being the smartest person in the room. It’s about discipline. The traders who win aren’t the ones who make flashy moves; they’re the ones who follow a process, keep their losses small, and stay in the game long enough to see profits. Stop searching for motivation and inspiration I said this two weeks ago that "Motivation is just myth, success is forget by grind"
So, if you want to be part of the 20%, get serious about your mindset and routine. And while you’re at it, don’t forget to have a little fun along the way just don’t let that fun be you ignoring your stop loss! I wish you a good weekend
Trading psychology explained like no body before, tell us in comments how does it work to you
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