Four Emotions That can Improve Your Trading Results

 This write up was inspired by one of  Late Jim Rohn's work. Titled "The four Emotions that can change your life". after watching the video, i decided to apply it to my trading . I used it to make some changes to my trading mindset that really impacted  trading results positively.
So today i'm sharing  those ideas with you hoping that it will help you improve on your trading as well. 

Disgust
 
1.    I am disgusted with having to work 9-5 every day 
       with no freedom to go where I want when I want
       with whoever I want.
 
2.    I am disgusted with my previous undisciplined 
       attempts to trading and want to move forward in 
       a more disciplined and business like manner.
 
3.    I am disgusted with being limited by the money 
       I can earn   at my current job.

Decision
 
1.    I have decided to do whatever it takes to become a 
       consistently profitable trader.
 
2.    I’m going to block out all distractions, read more
       trading related books,attend seminars, and connect 
       with people that could help me reach professional
       trading  status a lot faster.
 
3.    I will create a detailed business plan for my 
       Forex trading business.
 
4.    I’ll set goals for myself on how to consistently improve 
       on my trading skills.
 
5.    I’ll check and monitor my progress as I become better.

Desire

1.    I desire to become a consistently profitable trader.
 
2.    I want to prove to myself and others that it is possible 
       to place  trades without making a series of potential 
        execution errors.
3.    I desire to become the best currency trader in the world.
 
4.    I want to inspire others and teach them to become 
        profitable currency traders.
 
5.    I want to live a life where money becomes the least 
       of my worries

Resolve
 
1.    I will do whatever it takes to become consistently 
       profitable in my trading

2.    I will not quit no matter how hard it gets
 
3.    I will develop myself towards becoming better than
       i was the day before.
 
4.    I resolve to learn all that I can from those who
       have become successful in Forex trading
 
5.    I promise myself that I will never give up.

Monthly Pivot Levels For June 2016

Below are a list of monthly pivot levels i'll be watching for the month of JUNE as far as EURUSD and AUDUSD is concerned

EURUSD MONTHLY PIVOT LEVELS

R4=1.1555
R3=1.1451
R2=1.1328
R1=1.1252
M=1.1302
S1=1.1008
S2=1.0932
S3=1.0810
S4=1.0705


AUDUSD  MONTHLY PIVOT LEVELS

R4=0.7703
R3=0.7587
R2=0.74517
R1=0.7368
M=0.7232
S1=0.7097
S2=0.7013
S3=0.6878
S4=0.6762

5 Reasons why it Rocks to be a Forex Trader!

Trading is one of the coolest jobs in the world and permit me to say that I haven’t seen any other job out there that comes close  to trading.  I compiled a list of reasons I could think of as to why trading the market rocks.

1. Time and money freedom

Trading, if planned properly gives you time and money freedom which I think is so important that it cannot be over emphasized. You get to choose your work hours and go where ever you want whenever you want with whoever you want.

2 You are not tied to any physical location

 This is another reason I love trading so much.  You can trade from any part of the world as long as you have a computer and an internet connection…. How cool is that.

3. There is no physical product to sell

 Having no physical product to sell is yet another reason I love this business.  I’m a shy person and find it kinda  challenging doing door to door sales and all that so trading offered me and excellent escape route because you are not directly rendering any service hence there is no physical product to sell.

4. Very low startup capital

Forex trading is a business with one of the lowest startup capital you can think of .

Basically all you need is a laptop, charting package , and a viable internet connection. you can start trading with as little as $100 dollars.

5. The potential Reward is Unlimited

The forex industry has a daily turnover of over 5 trillion U.S dollars per day which offers us retail traders the opportunity to make as much money as we desire if and only if you know what you are doing.

How to improve Your Trading Result with 5 Simple Steps

 Going over my trading performance , i realized that there were a few things i needed to work to become better at my craft because as you know trading, just like any other business involves continuous learning. so i came up with a few points that have significantly improved my trading and will do the same for you too if you are willing to put in the work.

1.  Develop a Solid Trade Plan
To be successful in this business you need to develop  a trade plan and then Back-test  and forward-test that plan to develop confidence and gain some historical perspective.

This singular step cannot be over emphasized , you need a plan for whatever endeavor you want to get involved in be it Forex trading or whatever. The plan needs to be Testable, Verifiable and Repeatable. You ought to  have gained some historical perspective on the system and have a pretty good idea of how the system has performed in the past to give you an idea of its present and future profitability.
Please note that past performance is not indicative of future results, but we have no better measuring stick than  the past to suggest how the future will most likely perform.
From your back-testing/ forward-testing you are going to develop some key metrics for your trading system.

What is the maximum drawdown?
What is the average win in pips?
What is the average loss in pips?
What is the average reward in pips?
What is the average reward to risk?
What is the winning %?
What is the loosing %?

Determine the expectancy of your system

E=Expectancy= Average win x win% - Average Loss x Loss%

2. Plan your trade and trade your plan
It is not just enough to create a trade plan, having  the discipline to follow the plan you have created is also very crucial to your success as a trader. Like one of my mentors Akil stokes said “Trust your system, trust your rules, and if you follow your rules you will be successful.

3.Understand the language of the market. Learn how to read market structure
If you want your trading to improve, it would be wise to have expectations for price to follow and to achieve those expectations.

Expectations play out over 70% of the time (structure expectation)

NEW STRUCTURE HIGH (NSH) = HIGHER LOW (HL) = NEW STRUCTURE HIGH (NSH)

                                       BULLISH EXPECTATION/TREND CONTINUATION



 NEW STRUCTURE LOW (NSL) = LOWER HIGH (LH)=NEW STRUCTURE LOW (NSL)

                                           BEARISH EXPECTATION/TREND CONTINUATION

      Wait for the correction and then trade the expectation.

4. Place process over outcome. 
Many traders including myself came into trading expecting instant gratification based on all the B.S in the trading world. We want to make a zillion pips from trading without understanding that trading is a business .It's possible to have the talent for trading but guess what, that talent is going to fail you if you do not develop the right skills and mindset.
 Acquiring the mindset and skills to trade profitably takes time, dedication and commitment. It won’t happen overnight.
Success in trading as in any other business is a marathon and not a sprint if you focus on the process of trading (setting process goals to become better and better every day week, month) the money will naturally flow in.

5 Don’t get discouraged along the way
Like i said earlier, Trading takes a lot of work, dedication and time hence it is very easy to get discouraged if your results are not improving as fast as you hopped they would. Don’t get discouraged.
Set you mind and eyes on your destination. Remind yourself that you are a winner .Winners never quit and quitters never win.