Trading Forex means learning to take a loss

Friday I had a huge loss. It was quite disappointing especially after making a few good profits. This is part of the process and the faster you learn to accept that certain losses will be part of your forex trading career, the better.

How I ended up with my own mechanical system

Those who have read my posts so far will know that I am telling about my journey in mastering the art of trading the forex market. I believe that I still have a long way to go, but I hope that anybody who reads my posts, and who are also interested in trading the forex market, will find some use in my ramblings.

Trading is quite emotional, making money is an extremely elating experience, but man, losing money is one of the most depressing experiences. Especially when you see all your recent profits (or worse all your money) slowly going down the drain with each losing trade. For this reason I have found that discretionary trading systems do not work for me. Maybe I am too emotional to be effective in trading discretionary systems.

The one system that helped me out of the rut of losing was the course of Avi Frister.The Forex Trading Maching (Price Driven Forex Trading . It is quite an interesting mechanical system for trading the Forex Market. I traded this system for some time, and then I start seeing some potential of developing my own system out of this. It took a great deal of trial and error, but I do feel that I have developed my own robust system for trading.

I think that one of the most important lessons I learned was that there is no holy grail for trading. Every trader has his or her own personal preferences, risk profile and equity. A system like the Cash cow from the The Forex Trading Maching (Price Driven Forex Trading , are very effective ways of developing your own mechanical system.

But what is a mechanical system? It is a system that determine when, where and how to enter and exit the market. In my own personal profile it works much better for me than a discretionary system. Maybe it will work for you too. Each person is different and it can be very rewarding to determine which you are. Until next time.