Forex trading carries a very high risk of which can make one to be in the trade for years and just a mistake will cause him dearly. Last year December I used some trade strategies to raise $120 to $412 by January this year from which I withdrew $300 and started with the balance but unfortunately I was just over confident and was thinking that by my strategies and some coincidences will make it to happen as before but sadly enough I closed my trade in that account at balance of $15 loosing $97.
I want to advise every one of us to not to trade with over confidence but to trade wisely and make use of our knowledge, wisdom, stop loss and take profit order and a good money management so as to make profit in this trade and retain it and continue to remain in this system. What are your opinion everyone?
I think the key is really risk management. As long as you keep risking the same amount on each trade, you should be able to stay alive a really long time.
Yes, I believe overconfidence can pose a threat to one’s trading. It can lead to overtrading and impulsive decision making. Luckily, there are ways for you to avoid the dangers of overconfidence, as explained by Dr. Pipslow in his article Build On Your Wins, Don’t Lose Them!
Actually what also happens to me is that sometimes, if I win a couple of trades, I get confident and end up overtrading. I still risk th same on each trade, but I effectively take more risk since I’m taking so many trades.
I think it is true over confidence trader loss in forex market.so we are need proper learn then we are very easy tread in forex market.But every proper learner trader huge earn in forex market.so we are need very carefully trade in forex market.