professional trading strategy

The Forex Market Is Not A Double Headed Coin.

Rob Taylor
Teach Forex Trading

I have not updated the site in a while as I have been so busy with trading and teaching. I’m writing a quick article about the importance of understanding there are 2 sides to the market.

A lot of Forex traders are breaking even at best, very few traders are actually making money consistently in the markets. Why is this? Well, it’s basically a lack of understanding about what is going on in the markets.

We all know trading is not easy but having a sound understanding of what is going on will stand you in good stead going forward. So what do I mean by a sound understanding? Well, most traders do not actually know there are 2 sides to a coin and 2 sides to the market and to be consistently profitable you have to be trading on the professional side.

So what is the professional side? Most people think that by following the big banks you are trading the professional side of the market, but that’s not actually the case. The professional side of the market is understanding the activity of the participants in the market, and working out the highest probability outcome of this activity.

Knowing who is active in the market and when will enable you to trade the professional side of the market. All of my students are taught my strategies in a live market. Only there can I explain to you in real-time what is actually going on in the market and how to profit from that activity.

Many of my students are astounded by the way I predict the moves in the market in real-time with incredible accuracy. This is not just luck, it’s almost 20 years of hard work learning about the market and working out what is going to happen next with the highest probability. This is what you need to learn and this is what I teach you.

Ask yourself these questions.

  • How long do I want to be a struggling trader?
  • How long do I want to be losing money in the markets?
  • How long do I want to stare at the chart hoping that the move goes my way?
  • When will I be able to sleep easy in my bed knowing that I’m not about to blow another trading account?
  • Do I want to learn how to predict market moves with incredible accuracy?
  • Do I want to learn from a professional trader and mentor that has the skill experience and understanding to make my dream of becoming a full-time trader a reality?

If you can relate to any of the above then please contact me now for an informal chat about how I can help you become a successful trader.

Call UK 07939 42 7000 email rob@priceactionforextrading.co.uk Or Skype rob.taylor.trader

What Do You Need To Be A Successful Forex Trader?

Rob Taylor

What Do You Need To Be A Successful Forex Trader Successful Forex traders are a rare breed. Only 5% of retail traders actually make money in the markets consistently.

But consistent profitability is the goal that all retail traders aspire to.

So what do you really need to be a successful Forex trader? This is what i think you need.

1. A Professional Trading Strategy.

Without a professional trading strategy you will really struggle to be consistently profitable. There are many retail trader strategies available to you, but they are all constructed with beliefs about the markets that are incorrect.

The foundations of all good strategies have to be built with a sound understanding of how the markets work. If you have that understanding built into your strategy, then you will have a much greater chance of success. If you build something without a solid foundation it will fail.

2. A Trading Edge.

You will hear this a lot on retail trading websites. An edge is an advantage that traders look for to give them a head start on the competition. Many retail traders believe that they have found, or need to find, something in the market that no one else has previously found, and that will be their trading edge.

Let me just say this for the record. Stop wasting your time trying to find an edge. Your edge is knowing how professional traders trade the markets, and trading the way they trade. If you continue to trade like a retail trader, then you will never find the edge you are looking for, and you will continue to lose money. Knowing how to trade correctly, combined with a professional trading strategy, is the only edge you will ever need.

3. A Professional Approach.

So you know how to trade correctly, you have your professional trading strategy, so you have your trading edge. What you now need to tie it all together is a professional approach.

This can be a problem for some traders. Everyone wants to get into the markets, make their money and get out again. If you have the understanding of the markets needed to be successful, and you have a professional strategy, then its perfectly reasonable to expect to do this on every trade, but its not going to happen on every trade.

Sometimes you have to wait for the correct entry, or the correct exit. You cannot just jump in and out of the market and expect to make money. This is not how professionals trade. A professional trader will wait until the odds of success are firmly weighted in his or her favor, before entering the market. The chances of a successful trade are then much greater.

4. Professional Risk Management.

A professional approach requires you to manage risk. Every time you enter the market you are taking a risk. If that risk is adequately managed, then over time with a good strategy you will make money consistently. Jumping into the markets with 10 lots and no stop loss when you have 5k in your trading account, is not adequately managing risk.

Retail traders are fixated on how much they can make in the markets. Professional traders are fixated on how much they can lose in the markets. If you lose less, you make make more. Just knowing the correct place to put your stop loss will save you money. Whats the point in getting stopped out for 20 pips on every losing trade, when you can get stopped out for 12, or 16. Losing less will make you more.

5. Capital Preservation.

Capital preservation is a major part of risk management. If you have more capital, you can make more money with less risk, if you have less capital you make less money with more risk. So you need to manage risk effectively in order to increase you capital balance over time.

Is it better to make 10% per year on a billion dollar fund with a low risk approach, or better to make 100% per year on a 100k fund with a high risk approach? Its not rocket science is it? This is why the top hedge funds are never short of people willing to invest, because they know how to generate good returns by managing risk, and preserving capital.

I hope this article has given you some insight into how i like to approach the markets.

If you wish to learn how to trade Forex using professional trader strategies, please consider my Forex training and mentoring course.

If you enjoyed this article please feel free to like it or share it. Thanks for visiting my blog. Have a great day. 🙂