Every trader wants to take an easy step to successful trading. One of the keys is high motivation, the right mindset, learning, and practice. But what motivates us to trade? Of course, for most of us is money. But the true reason is not money itself, but what we can get with it.
These are different for everyone. Some traders find a new lifestyle with trading. Others want to spend more time with family. Yet others trade for charity and philanthropy motives. But it’s crucial to maintain trading motivation to continue your way.
To keep yourself motivated, follow the examples of successful traders.
Let’s remember Bill Lipschutz, who is a good example of strong motivation and its results. He invested $12000 in the stock market and multiplied it into $24000 in a few months. Then he lost all of it. But Bill didn’t give up and moved to Forex trading, where he raised over $300 million. It seems he had a weighty motivation.
If he lost the $24k, where did he get the money to start trading forex? Also you said he raised $300M, did he “raise” that or “make” it? Which one is it?
Yes, it is true if a trader wants to become a successful trader then he always needs to have a good motivation, dedication and also willing to do hard work. So always keep in mind that you can not be successful if you are lazy and not willing to learn.
A good question, and not limited to Forex trading. Though it helps to understand ones self to be comfortable trading Forex.
What motivates me in trading is “the art of the deal”. I think a very small deal I did last night is a typical example of what motivates me. I am currently “building a Chia farm” and although I need two to three months to fill up my current inventory of hard drives with Chia plots, I now know that if I pay retail price for hard disk capacity, my payback period at current prices of £20-£25 per terabyte of storage is in excess of 24 months. Considering all the risk factors, that is too long. So I set myself a target to acquire new storage space at £15 per terabyte or second hand storage cost at £8 per terabyte.
Whilst browsing I found an auction item with no bids and expiring in three minutes. So I put in a minimum bid and won the item at £5 per terabyte. Yes, it is only about 1% of my current inventory, but it all adds up.
That is my motivation for trading. To put a value on something for which I have a reasonable assurance of its utility value to me (not necessarily the value for anyone else) and to continuously seek a reward to risk ratio that is more than acceptable for my particular business case.
With Forex, I look for historical extremes (timescale dependent), then for confirmation of trend before entering. I use a wide stop loss, implying no need for extreme leverage. I currently rarely trade Forex, though I have been active this last year trading crypto currencies (BTC-ETH, BTC-XRP, BTC-other less favoured tokens). In my experience I have been able to set a specific entry point and exercise an exit point far more frequently than I have analysing Forex pairs, as I am sure it is similar to anyone who has included crypto currencies in their trading arsenal.
