Forex Secret Trading Tips: How This FX Trader Went On a Suicide Mission

A few years ago I had the opportunity to instruct and help a Forex trader who was attempting to become a full time Forex trader and trade for a living. He needed me to coach him one on one and he needed me to be his mentor. I used many of my Forex secret trading methods and after only a few months of training he was already profitable and trading full time. We are still working together on strategy development and market research.

During the time I trained and instructed this trader I was able to notice some of the main mistakes he was committing that kept him for years to make consistent profits. In this article I would like to share with you the primary errors this good but unprofitable trader was making and how we improved them.

Having surreal goals, big expectations lead to big failures: I am a believer that without goals you will not get anywhere in life. On the other hand, I believe that setting up unrealistic goals and having really big expectations from one trading idea ordinarily heads to big failures and losses.

Successful Fx traders are able to make unbelievable returns because they focus on the profits and they do not get married to any trading idea. They realize that if a trading idea is not working, it is better to cut your losses and find another one.

Risking capital funds you cannot afford to lose: Another huge mistake this FX Trader was making was that he was trading with his family's living capital funds. Things like your mortgage payment, your daughter college tuition money or your car insurance money are funds you should never trade, even if you are Pro trader. In the Forex there is a very thin line between extraordinary trading opportunities and chaos and for a lot of traders they just happen to be in the market at the wrong time.

For this reason I always ask my traders and protg es this question " What would happen if you lost all of your trading funds ?" . Most people respond " I would be very upset " or " I would go bankrupt ". Well trading under these circumstances is a mistake; remember of only trade with money you can afford to lose.

Putting all the eggs in the same basket: Pro Currency traders NEVER get married to a trading opinion. The reality is that the market is always changing and several times your super efficient trading system gets unprofitable just because the markets have changed. As a result, it is highly suggested to never put all your money into one trading system. Always have a fall back plan and never trade more than trade 20% of your total net worth.

Your net worth is your personal monetary power. For example, if you have $ 250, 000 in the bank, $ 350, 000 on Real Estates, and $ 20, 000 into a hedge fund your total net worth is $ 620, 000. Then 20% of $ 620, 000 is $ 124, 000 so a person with this net worth should never trade more than $ 124, 000. Money management and capital management is highly important.

Trading based on what you hear around: I have perpetually said it, you cannot earn money by just listening to other people. You need to learn your trading style, do your homework, and master the basics of currency trading; no one can do this for you.

I hope you enjoyed this article. I will be posting more and more exclusive Forex secret trading methods very soon.

Best wishes,

Jay Molina

Pro spot market Trader & Educator