Are you bordered over your earning from the forex market? Have you been wondering why you are still earning low? If this is your case, then you need not to worry any longer. You registered with a broker with the intentions to make real money. And probably consider trading as a means of living. Yet, the result you get from it–Is nothing to write home about.
The good news is –You can fix this. You can increase your earning as a forex trader, but you’ll need to address those exciting factors holding you from earning more than you’ve been earning in the forex exchange market.
While there are several factors pinning you down to still earn low, the major ones are as follow.
#1 You lack Violent confidence: Yes, I know this may sound a little bit hard on you but it’s the fact. If you’re still earning very low in the foreign exchange market, there is a higher probability that you lack an essential ingredient known as “violence confidence”.
Relax a bit; do you know that violent confidence is one of the basic virtues possessed by profitable-traders? You need this virtue to man-up and overcome all those fears making you trade and earn like a mediocre.
Unfortunately, today, most traders still struggle and find it very difficult to build a certain level of confidence while trading. In fact, the lack of violent confidence in trading forex has caused serious harm in the life of average traders. And it also acts as a core cause of their low earning.
#2 Zero knowledge of when to enter and leave: Traders with zero knowledge of when to enter a particular trade and when to leave, practically end up earning low or nothing.
Let’s take For instance, you got your friend Jeremy Honda’s Civic and hit the road to BITMUS work centre. You had zero idea of what the road signs are. Instead of stopping at the red traffic signal, you were like-what’s this sign for and zoom off because you’d no idea. Suddenly, you got busted by cops.
Before hitting the road, you mind was to get to your work place without hindrances’/ any sort of delay; same also is the traders mind. You entered the trade to make profit without hindrances.
He got busted, delayed and paid a heavy fine because he broke some rules he had no idea of–the road signs. Similar to that of a trader who is clueless of the market rules; the trader will either lose all or earn very little because he had no idea of when to enter the trade or quit.
#3 Low speed rate of market update due to bad network and poor trading platform: This is also another effective reason keeping some average traders to still earn low. The delay on the market update, due to some lags such a bad network or the brokers trading platform, practically create some sense of confusion which could or probably result to the trader earning low or nothing.
For instance, a trader who knows what decision to make and when to make them would not be able to fully harness the opportunity because of the delayed timing and updates, which probably would result to low profit or even loss.
#4 We don’t treat trading as business: Yes, believe it or not, one of the reasons behind your poor earnings is the manner in which you treat forex trading. Most traders who does treats fx trading as a business make it way more compare to trader who just trade for trading sake.
While you don’t treat your trading as a real businessman or business woman, principles and virtues like focus, dedications, faith, patience, thorough analysis e.t.c won’t come to play. And with such absence, the probability of you to earn higher will be a mirage.
To avoid this, you really need to restructure and reposition your mindset that as a trader you are a businessman. For when you consciously start to trade as a businessman, your earning level changes.
#5 We take our underground work for granted: Taking our underground work for granted is also one of the reasons behind the low earnings. Just because you find it very easy to get into forex business, does not mean you have to be too lax to trade it.
However, some traders have another version of understanding; they see it as a simple means to make money. So, they ignore to integrate their skills by learning more about it.
While they’ve refuse to learn more, they’ve practically limited their understanding, which holds them from knowing how to harness more opportunity from the market.
#6 Poor money management techniques: Poor money management technique is also a sure factor that results to low earn. When a trader finds it hard to manage his equity or adopts a poor money management technique, he/ she end up earning low.
The question is how? By being so greedy– to ridiculously place a high take-profit and small stop loss. For example, if the normal market price for EUR/USD is at 1.234 and you place your take-profit to be 1.500 and your stop-loss to be 1.220. Your analysis might be right and reveals that the EUR/USD is going to appreciate and you decide to go long. But what if it never got to 1.500 and stops at 1.320 and reverses? You’ll observe that the reversal will lead to a significant loss and might wipe out the traders equity depending on the set volume.
Stop thinking of the forex market as an overnight rich making machine, but as something you have to grow gradually (a business man thinking style).