Avoiding Common Forex Mistakes

[Master-FX]

just recently I had a margin call, lost 60% of account value. My mistake was over leveraging an not hedging a loosing trade, hoping it will rebound ( I had a long position on EUR/CAD when price of oil was reaching the 20-year highs) I should have took the losses early in the trade.

[FXSeo]

dont fret it Master-FX ... just pick up the pieces and carry on where you left off. It's all part of your journey.

Cheers!

[Btrader]

Originally Posted by forex-101

A huge mistake is to marry your trades, get emotionally attached to them, so that every pip lost breaks your heart.

The problem is that we are all humans and it is very hard to get rid of emotions especially when you see your hard earned dollars go up in smoke.

The only therapy I could find is simple - stick to the rules of your strategy and stops and do not change them no matter what. If you still loose money for like 30 trades in a row switch to demo and only start live again when you have some success on demo account.

Hope this makes you a better trader,
Mike

I agree with you on that.. It's really difficult because we are just humans and we are inclined to emotions most especially with regards to our money.. so just like what you said, every pip lost could break a heart.. and that's hard to cope up.. So i think psychology, discipline and money management should be implemented.. And yeah, most important thing, stick to the rules of strategy..