IG = A pig is a well rounded animal who is happy with the life style it has created for itself. A pig understands the importance of “money management”, “goal setting”, and how to "following the system" for it is the system that has given the pig its profits.
HOG = A hog looks like a pig, however, is so very different. A hog runs over all rules to be the first in line. A hog has no concept of the system or money management therefore fails time and time again. The only thing a hog really accomplishes is being the first one to lose.........or should I say, the first one in line to be slaughtered. yummmmmm, I do love bacon.
Forex trading is awesome. The skills you are about to learn are essential to long term successful trading and when these skills are combined with our complete trading system you will then have a clear advantage over the average trader and the opportunity to change your life forever as it has done mine. You, have the potential, right now, to create great wealth through the Forex market, HOWEVER, there are some very specific situations that you need to be aware of when you trade, as well as, very special personal traits that are needed to become profitable. Please read the following information slowly, and then, read it again. THEN – READ IT AGAIN!!! You may even want to read it weekly as your mind-set must be “IN THE ZONE” to become profitable. DO NOT take any of the following information for granted.
When you put your hard earned cash in a trade, it is difficult not to get emotional. Beginning traders might experience a roller-coaster ride of emotions, feeling glee after a good streak of trades and disappointed after a group of losses. To become a profitable trader you must control your emotions and not let your emotions control you.
Quote from a young trader named Dustin from the e-newsletter Innerworth:
"To make me realize whether or not I was emotional, I had to go through hard times with trading. I think it's crazy how the market can take you from a high to a low, and back to a high and then back to a low. You think you've got it all worked out, and then six months later, you're thinking of finding a new job. What I realized is that when I'm doing okay, I'm totally unemotional when it comes to trading, like when a new trading strategy has been working. I just sit there and have a good time. Even if I have a bad trade, it doesn't bother me. But when I was having trouble, like earlier this year and late last year, when I was only able to keep my head barely above water, it was really frustrating. I guess that's when you learn more about how emotional you are when it comes to the market. I'm not the kind of guy who is going to throw my keyboard around, but it definitely has a psychological impact on the rest of my day."
Thinking, "losses are to be expected" can help you become a better trader. Just thinking to yourself about taking losses in stride can be quite consoling. By expecting losses from time to time, you are being realistic with yourself. We are all in the same boat, so why beat yourself up over a loss? Our emotions can be overpowering when we are caught off guard. However, if we go in fully expecting the possibility of failure, we can mobilize our psychological resources more quickly and fight back immediately before our mood worsens. That doesn't mean going into a trade pessimistically expecting it to be a failure. What it does mean is preparing to take a loss. Before the trading day begins, you should mentally rehearse how you'll deal with the loss. You might think, "I'm not going to be caught off guard. The trade may go wrong, and when it does, I'm going to just close it out and move on". Through a combination of monitoring your internal dialog and mentally visualizing what can go wrong, you can get ready to take a loss, so that when it happens, it won't hurt so bad and knock you off balance.
Part 6 to follow in a few days. If you would like to be notified when it is posted email me at steve@mydu.org
Thanks for your time,
