The Authority’ on Price Action Trading. In 2016, Nial won the Million Dollar Trader Competition. The first step to getting started treating your Forex trading like a business is creating the optimal work environment. Yes, you can work from anywhere when trading, but this doesn’t mean you should trade from your lazy-boy chair while eating potato chips and watching forex spot market taxes calculator favorite TV show.
Just as with any other business, you need to separate your trading business from your personal life as much as possible. What do you need to get started? You can trade from only a laptop, but if you choose to do this I suggest getting a dedicated laptop that you use only for trading. Laptops are relatively cheap now and there’s no harm in investing in a good machine so that you can keep all your trading activities separate from your kids’ computer games or whatever else you have clogging up your computer now.
All you need is the free MT4 charting package provided by most reputable brokers and a good working computer. After you get your trading room all setup and sorted out, you need to figure out what strategy you are going use to trade the markets. You then need to learn everything about your chosen trading strategy so that you truly become a master of it. You should have no doubt what you are looking for every time you step into your trading room or open up your charting platform. After you master your trading strategy it’s time to develop your Forex trading business plan.
I am not going to go into too much more detail about this topic, but you can check out my article on forex trading plans for more. I really want to stress that it’s important to take time for market analysis and separate yourself from your life’s daily distractions. This might mean you have to lock yourself in your trading room with your favorite music on to mute whatever is going on around you. Now, AFTER your dedicated daily market analysis time, you can place your trades if there are any setups that meet the pre-defined conditions in your Forex business trading plan. Keep in mind, placing a trade is a BUSINESS transaction, not a random gamble at the casino. Just as you do not want to be emotional when participating in a business meeting or discussing a business deal, you do not want to be emotional when analyzing or trading the market. Essentially, emotion is the number 1 enemy of forex trading success, and the more impulsive and emotional you are the worse you are going to do in the markets.
Remember, you are running a trading business here, so you’ve taken risk to make a reward, just like any other business. There is no reason to mess around with your trades all day or over-analyze the market. BEFORE you risk your money, not WHILE your money is on the line. Of course, you can’t take any money out of your Forex trading business if you are not making any money. If you want to make money you will have to do everything we’ve already discussed in this article as well as practice effective forex money management on EVERY single trade you take. I have dedicated myself to ensuring that traders learn effective price action trading strategies and develop the proper mindset to have the best chance at surviving in the market and become successful.
My Forex trading community and trading course teach simple yet effective trading techniques for traders to build their trading plans around. Your lesson on being disciplined makes so much sense. Really good stuff and i am completely agree with you forex trading is a business not a game It involves many steps which have to consider before planning forex trading. As u said we have to separate business life from personal life. This is a main concept which mostly person not follow.
Thank you very much for another superb lesson. Hello Nial, thanks 4 ur article. I really enjoyed it as 1 of d most useful forex articles I have ever read. However, I want to know what A TRADING PLAN is. After building d strategy, how is d trading plan like, and how do we go about it?