Posts Tagged ‘short term trading’
Advantages of Short Term Trading
Think of how many times a trader or even you specifically, have taken a trade based on something an indicator in your system has told you. Let’s say you always enter a buy order after an upward trending position takes a 50% retracement.
The market hits your entry, and moves against you. You wait and wait, watching as the market falls further down and inches closer and closer to your stop loss. You start losing your edge, praying and wishing that the trade will stop and get back on track…and it doesn’t. You hit your stop loss.
After you get done punching the wall and turn the river of profanities running out of your mouth off, something else hits you – you probably shouldn’t have taken that trade in the first place. Every trade you lose isn’t the result of an external force or bad luck, it’s the result of your decision making and more importantly, not making the right decision.
Becoming a trader in this ultimate state of focus isn’t as simple as an emotion that can be taught through reading a book though. You can log on to a forum online and hear thousands of opposing opinions. Most of us on the foreign exchange markets can trade 24 hours a day, 5 days a week.
There are services to send text messages to your phone when a new event occurs, and there are tons of different times that you can get the most volume in trading. At the same time, you might have no problems at all mastering this sort of focus, and you’ll be able to jump in tomorrow, scalping the markets left and right with precision accuracy. The bottom line is that focus is something you will develop through repetition and devotion.