If you want to follow your trading plan, make sure to have the right attitude to do that. It is an essential component in forex and commodity. This strategy will make you trade based on the right direction.
Besides that, It makes you have a target and more discipline at the same time. However, almost all traders are ever found that it is difficult to do a plan properly.
Mostly, they want to change that strategy if certain situations occured. The worse thing is that they don’t think about the consequences before. If you are one of them, here are the things to do.
Follow Your Trading Plan without Being Emotional
You must understand that usually a professional trader has been owning the proper preparations before entering market. That is included making any other considerations needed.
Those are like mapping the important price levels, the triggers to enter a msrket and so on. Vice versa, a beginner needs more time do these actions. Mostly they enter without any preparations.
It will trigger them to an emotional situation when making a decision. One of the example is when you open a buy order And in a profit position because price is moving upward..
However, then Price is moved down so that you are in a lost position. What is mostly happened is that someone is not ready to face this high volatility condition.
It makes them panic and being really impulsive by closing them in a cut loss condition. That is when you don’t follow your trading plan because then prices can move upward again.
Keep Calm, Wait and See before Making an Action
Based on the explanation above, it is essential to set stop loss based on the tolerance limit and trading strategy. Do that before making order in every action that you do.
With this stop loss, someone may tolerate the loss until certain limits. He will not careless to close order again when floating loss or others are happened in an open order.
When you are too emotional, it is better to take your time for a while and stop trading first. Use a demo account will be great to train your discipline attitudes in following the whole strategies.
How to trade in a neutral emotion is something that differed a professional trader with a beginner. That is why; a professional will not be easily trapped in the impulsive decisions.
Always Make the Maximum Strategy
If you have been discipline to follow your trading plan and never been covered by an emotional decision but the results are not satisfying, the problem can be in your strategy.
Try to check again whether it has owned the complete components or not. Some factors that must be included are the risk limit for every transaction, profit target, and products.
After that, decide the amount of lot that will be traded, entry level, take profit, up to the stop loss. Everything must be based on your own target and limit.
The risk limit must be based on the tolerance and decide the rational target for that. The tips is by using RRR or Risk to Reward to decide this component and the minimum amount is 1:2.
It means that your profit target must be twice bigger than the risk limit. That will make you still get the profit although your winning rate is low.
Join the Best Forex Broker to Support That
To support your trading activity, don’t forget to join the best broker such as Didimax forex broker. It has been years in this industry and offer various types of trading platform.
With a low spread and competitive price, this broker is great for beginner or professional. So, join it right now to feel the greatness by yourself. Follow your trading plan too for achieving the best result.