How to become a professional forex trader requires several components which are commonly called “3M” pillars of smart trading, namely:
- Trading Method or Strategy: 20%.
- Money Management: 40%.
- Mindset: 40%.
The percentage above only shows the proportion of importance of the three pillars. This is to explain that those who think that mastering only one pillar, for example ‘method/strategy’ will guarantee that traders will definitely profit.
Also read: What is Forex Money Management For Beginner Trader?
There will be a stark difference between a professional forex trader versus a novice trader. We assume that both traders use trading strategies and transactions in the same pair (currency), then one party will make a profit while the other party will lose.
Of course, you don’t need to conclude which party benefits from the two traders above.
So how does a professional trader do this? In my opinion, the answer lies in ‘Money Management‘ and Trading Psychology ‘trading psychology/Mindset’.
Because these two components play an important role, which is about 80% or more of the level of success or success of a professional forex trader.
Also read: 3 Forex Trading Mindsets That Influence To Be Successful Trader
Smart Ways to Become a Professional Forex Trader
Also read: Learn About How to Read Forex Chart Patterns for Beginners Traders
In the world of the forex trading business, it is clear that all these business people want to become professional forex traders and can always be successful in every trading activity.
There are so many traders who want to achieve big profits in the shortest time. However, sometimes the approach used to achieve this is not right.
If this is the case, of course, the trader prioritizes the emotional and feeling side rather than rationality, planning, and mature strategy.
Also read: Forex Price Movements: Pivot Points, Support and Resistance
Then again being able to achieve profit in a relatively short time is good, but the most important thing is consistency and continuity in obtaining profits.
There are several tips that you should pay attention to if you want to become a trader who can consistently generate profits over a long period of time. These tips include:
1. Realistic
You have to instill an understanding in your mind that profit will not be as easy and fast as we think and you have to accept that fact.
Most people who then decide to enter the world of trading want to be free from the daily work routine and want to be free from all kinds of financial problems.
It is not impossible to achieve, but you need to remember that in the world of trading you also need to do your trading regularly and consistently too.
You have to understand and accept the fact that the world of trading is not a solution to get rich quickly, the more we understand this fact the more we can execute our trading approach correctly.
2. Patient
This is the weakness of traders who want to quickly make big profits, namely the lack of patience.
Traders who want to get abundant profits in a short time tend to overtrade and in a hurry dare to take big risks. In the long term, this habit can cause loss.
Then what are the right and fast ways in this trading world? Namely by prioritizing rationality, being strategic, being objective, and most importantly having a sense of patience.
With patience, we can plan strategies carefully and with patience, we can be rational and objective. If that can be done, in the long term we will generate large and consistent profits.
3. Plan Your Trade Carefully
On trading sites, we will find a lot of trading plans. Unfortunately, there is no correct and detailed explanation of the benefits of the trading plan.
Our trading plan or trading plan is very useful because we can draw up a trading approach carefully and logically and calmly. The most important part of the Trading plan is that we do not enter the market.
Making a trading plan is very important especially when making us in a calm and objective condition where later your trading plan will lead you to success in the trading world.
Also read: What is Forex Trendline Analysis
4. Execute a Trading Plan Consistently
After making a solid trading plan, now is the time for you to carry out what you have planned.
Maybe when you start running, closing profit positions when the target has not been reached will be very tempting but it will interfere with your trading plans in the long term.
After you determine your profit target and stop-loss, let it be according to your plan to remain consistent and let the price touch the one level you have set.
5. Stay Away From Internal Factors Namely Emotional
Sometimes the biggest enemy of achieving success is our own doing, in this case, the emotional factor.
Likewise in the world of trading. What are the emotional factors that interfere with our goals in achieving success in the trading world? Emotional things such as fear, revenge, and greed.
If we can put aside the emotional factor and prioritize logic in trading, we will easily achieve success.
Those are some tips that you can do if you want to become a successful trader by generating lots of profit consistently and for a long time.
In fact, nothing is impossible, especially in the world of forex trading where there are many examples of successful figures in the world of trading and gaining real financial freedom. Hopefully, this article is useful for you.
