I suppose I’ll be the one the cut to the point then, perhaps?
If you’re scared of losing money then this is a bad career choice, there are far more stable careers out there where you can prosper with the addition of financial security which is far greater than that of speculating. Sure, no ‘job’ comes with guaranteed income and security, but speculating brings with it the lowest probability of security - a risk we all have to price into this game.
You’re only as good as your account balance.
A successful trader/speculator, as already mentioned, is not scared of losing money because they fully appreciate that this is a game of probabilities with the long term goal in mind?
Afterall what is the fear on forex based on? On the risk of losing money? That’s right. That means you shouldn’t deposit so much money that you’re afraid to lose. The sums should be such that they aren’t too expensive in the case of losses.
You are right, but I also would add that it’s based on the fear of the unknown. “Will I lose money? Is my analysis good enough? What if I made a mistake? How can I correct it? Should I close my position or keep it open?” and so on and so forth - these doubts plague both newbie and experienced traders and exacerbate their fears.
Be highly confident in your strategy after practicing it for a long amount of time. Have you heard of a renowned quote from Bruce Lee?
Bruce Lee: I fear not the man who has practiced 10,000 kicks once, but I fear the man who has practiced one kick 10,000 times.
The only thing that matters nowadays in most of the new traders is being Indiscipline and Not Patience enough to wait for the right opportunities to place a trade. Therefore, please train yourself to practice the strategy that you are using to the point that you got bored of it. Once you are done practicing, you’ll understand how to fully utilize the strategy in a consistent manner, which in fact, helps you to understand the strength and weaknesses of this particular strategy. Besides, once you developed a stringent approach towards the strategy that you are using, would you be having fear even though the trades went negatives? In terms of the sentences above, what I meant was, if you know the market is reversing and that your trades will be in negative for a good amount of period, will you closed it? Unless you are risking too much per equity which caused you to panicked.
If you are day-trading, you will have to develop a good mentality towards trading the market. Day-Trading is the hardest type of trading among the rest because you’ll have to pay full concentration onto the current situation in the market which in return had an adverse effect towards your energy level. When a traders energy level went down, they’ll experienced an emotional side effect whereby any losses made during the day, would make them to “Revenge Trade” because they are no longer trading sensibly. Heed my points above and reconsider your trading approach/style/methodology/mentality. Ever know why 95% of the trader failed? This is why they failed.