I love to study profit strategies.
Everything is a strategy!
We, as Forex traders, strategize from entries to exits and everything in between. We strategize what day of the week and what time of the day is best for trading. We might implement one strategy for long-time-frame charts, and a different one for the fast moving, short-time-frame charts. Sometimes we do both in the same week!
We can incorporate news events and daily commentary, indicators, proprietary tools, and host of other things. If there is rhyme or reason, we will incorporate it into our logic for trading. Some people have even been successful with moon phase indicators and trader’s horoscopes. I’m sure I have barely scratched the surface here.
We are Forex traders.
The name of the game is making a profit.
There are all sorts of ways to do it, which at first, is great news! Have a trade-in trouble? No problem. You can hedge with a correlated symbol, change to a different time-frame chart, change up your strategy, find a new profit target that “warrants” a bigger stop-loss, buy yourself some more time, etc etc etc.
No matter who you are or what you trade, we have one thing in common. We trade to make a profit. There may be 1,000 different strategies for trading, but there is only one way to make a profit. Here it is.
When your trade is in profit,
close your trade.
It’s not difficult to open a trade and see it move into a position of profit. For every strategy out there, there is a reason to be patient with an open trade. Sometimes that pays off, but sometimes a good trade turns to bad and the opportunity to take profit is lost.
I challenge you to be impatient – take profit earlier than usual this month.
Keep track of what happens. Sometimes closing early means you take a smaller amount, but sometimes it means you avoid a loss. How does it add up in a month?
You might be surprised to find that your patience in trading is not such a virtue after all.
“Take profit.” “Take profit.” “Take profit.” … Say that ten times before you close this blog post, and get a strong mindset for trading this month!