How to Develop Perseverance as a Forex Trader

If you do not learn how to deal with setbacks early in your career as a forex trader, you will never last. When you are starting out you will inevitably make a lot of mistakes and may even lose a substantial amount of money while doing so. If you cannot deal with these failures on the way to becoming a professional trader, then you will inevitably drop out. In fact, studies have shown that a majority of traders actually don’t last past their first year of trading.

Thus, it is very important that you start cultivating the quality of persistence if you don’t already have it. If you are not persistent, then you will give up when confronted with problems that seem to be insurmountable. Here are some tips on how to develop persistence:

Learn to develop personal responsibility. While there are a lot of factors in the market that are beyond your control which can result in losing trades, ultimately the responsibility for whether or not you are profitable in your trading activities is yours. If you continue to blame external forces for your failures, then you will never become an effective trader.

Develop the attitude that every problem has a solution, even if it is only in the way you view it. This will help you to build a ‘can-do’ attitude that will help see you through many difficult situations. In addition, it can help you develop an analytical attitude that will teach you to look at a problem from all angles.

Always keep your goals in mind. Before you start trading, you should always define what your purpose is for going into it in the first place. For example, your purpose might be to do well enough that you can make trading your full-time job, or you might want to earn enough to build your own house or raise the capital to fund a business. Whatever your purpose is, always keep it in mind during your trading day, and it will help you when you find yourself getting discouraged.

Remember that every setback is a learning opportunity. After you recover from the disappointment, go back over what happened after some time has passed. Look over the situation and see what you can learn from it. Did you do something which caused the problem or was there something that you could have done to solve it?

Facts Source: http://www.admiralmarkets.com/education/articles