Becoming a Doctor, Lawyer or an Engineer requires hours of dedicated approach and clarity of thought for application. The effort is very similar to what it takes to become a professional in foreign exchange. Just like to work in any professional capacity, you need to dedicate time in honing the skills, it is the same prerequisite for becoming a Foreign Exchange broker. It requires the same amount of dedication and skills to ensure you not only understand trading but also are tremendously successful in it. If thoughts are applied correctly it is guaranteed that you will rise and perhaps be equally profitable.
Since you will become an individual contributor in this setup, you need to have a strong sense of determination and discipline, along with another array of personal and professional attributes, and technical skill sets. Not taking a stalk of your current strengths, and areas of improvement, and hastily jumping into the profession, with a grandeur sense of success, will guarantee failure and loss of capital.
Here are some broadly classified steps to consider before you plan to become a Foreign Exchange Professional:
Be true to oneself and practice and Learn the Trade
Becoming a successful trader will take a lot of effort, courage and time from your end and there is also a considerable amount of risk that you will need to take from time to time. Drive, passion and ambition is the true essence of trading. Trading will not make you a millionaire overnight, initial profits as a mark of success is not the right vision to have. You need to exercise risk control and have a keen observation to spot trends. As a trader, you need to accept that there will be losses, and you cannot make back all the losses on one single trade.
Using a demo account, that is trading in live markets with monopoly money, will help you develop your own style and trading ideas. It is a good idea to become an apprentice to a professional trader or research on the subject. It is a daunting task until you get a hang of it, so take all the support that you can.
Learn the Basics of Trading – Then Develop a Trading Strategy
It is important that you have a clear vision. And that is only possible when you have a strong foundation, the basic introductory concepts of trading. Once you have understood how the forex market functions, it is time to develop your style of trading, a strategy. Now there are many ways you can trade in the market, however, if you need to be an expert in reading raw and natural price dynamics of a market, forex price action strategy is recommended. It will help you develop chart reading skills that will go a long way. It is basically you, who will choose how to proceed with the strategy of your comfort.
Become a Successful Trader
Once you start trading life, points to remember…
• To avoid failure set stop losses on every trade
• Always stick to your trading strategy
• Have a risk margin of not more that 2% on every trade
• Do not get emotionally influenced on a trade
• Trading with the mindset to recover losses is a vicious circle stay away from it
• Trust your instincts
• Don’t be vary of losses, the most successful traders also face it
• Have a target to achieve more profitable trades, than the one with losses
The above are but a few tips that might help you trade successfully. Be aware that this is a very daunting path, and one cannot confirm success or failure until you invest years of hard work, face loads of stress, but stay determined. With effort and passion, drive and patience you will cross over to greener pastures.