You Can Learn The Forex Trading Holy Grail

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by Mark Rayner

While you are reading this article, you may get the feeling you want to dismiss this message, and go back to looking for the Magical system. If you do, please resist until the end, as I promise you’ll learn the truth about Forex trading, and how to become good at it.

During a profitable month in my service, a member contacted to cancel. He explained how he took the first 3 trades I sent him, and they were stopped out, and how he became fearful and stopped trading. Because he stopped he missed the next 2 trades that were very profitable. Then he jumped into the next trade which was stopped out. Then he quit altogether.

It’s true that two people can trade the same system, and one will lose money. So it’s what happens in your mind that is the most important. When you learn Forex trading, everything you do comes from your mind set.

If you cannot gain control of your emotional state, your emotional state will control you. Do not underestimate how important this really is.

Too many traders become obsessed with indicators. Without realizing what an indicator really is. An indicator is just a way of smoothing price action. Because it has to use historical data, it will always report a lagging view of the market. You should see indicators as an aid to help you, not as the complete guiding factor. Remember the market moves through the sum total of all the actions (trades) of the market.

When I look at the forex market I always try to get a feeling of overall sentiment. One classic example of this is when we know a big news item is coming. The market will go into a range. This is a direct representation of everyone thinking; “I’m not trading until this news is out of the way”. Another example is why pivots work. Everyone who is in a trade is looking to get out, and many are looking to get in at the same point. So the market reflects this by either bouncing or pushing through.

“Never forget that it’s the sum total of the actions of all the traders in the market that drives its movements.”

Most people search for the “system” first and then try to trade it without understanding why and how it works. This is very difficult to do, as you will not have confidence in it. It is better to find a system that makes sense to you, and is closely related to price action.

It is very important to look at the market overall. You should be aware of upcoming news and recently released news. You should be aware of key levels of support, and resistance. You should also take account of different timeframes, and support levels on those too. When you learn Forex trading, you need to learn how to read the whole picture.

It is very easy to miss something really obvious when you are too close to the market and not standing back, observing everything.

“Learn how to take a holistic view of the Forex market, and keep track of the bigger picture”

Conclusion: If you feel like I have not told you anything new and are still wondering where the holy grail secret is, I suggest that you trade very small until what I have written fully make sense to you. I have told you the secret of successful trading. It’s not exciting but when you master it, it can make you a lot of money.

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