How do seasoned traders distinguish themselves from the rest?

The Forex trading scene in Indonesia is among one of the most vibrant in South East Asia. With several online brokers offering competitive spreads for Forex and low-cost trading accounts, the number of traders in investing in Indonesia stock market and Forex is scaling new heights. Backed by access to free Forex demo accounts, a new armada of part-time investors is entering the scene. In such a competitive scenario, it is imperative for Forex traders to establish their identity and scale new heights without being lost in the clutter.

So, how do novice investors master their Forex trading strategies?

Well, the shortest answer to this question would involve two words- Discipline and Discipline. 

The most seasoned of Forex traders attain their status by adhering to a few foundational rules that need to be practiced for one to able to survive in the long run. Following these rules can award traders with a consistent performance.

The 10 Foundational rules:

1. Trade only when the timing is right. Look for the perfect trade setup and lay in wait for the market to go in your direction.

2. Develop a system that is practical, strong on fundamentals, and backed with plans for contingencies.

3. Do not lose confidence over a losing position. Believe in your calculations and wait for the market to turn around

4. Do not express overconfidence after tasting a string of successes. Such an attitude may make you overlook market indicators and cost dearly.

5. Never trade on instincts and likely epiphanies. Always open positions based on signals that you see on the charts. Analyze them thoroughly before investing.

6. Set a Stop-Loss as you open the position. Do not delay it when it is about to be triggered as this might affect your trading pattern.

7. Stick with a trading system and think twice before abandoning it for a newer one. Scouting incessantly for newer systems on the market do not assure better results.

8. Do not risk more than what you can handle. Set a risk limit and do not exceed it.

9. Avoid greed to maximize profits. Learn to get out of a trade that is still going strong.

10. Do not take a position just because everyone else is taking the same. Do your research before opening a position even if the market is in favor of the position.

Adhering to such rules with discipline is what distinguishes a seasoned trader from a novice. Discipline in trading refers not to the seriousness that one brings to the process but the sincerity with which he sticks to the rules. To master these rules and develop a disciplined approach to trading may not be easier for beginners as the lure for money distract them from their final goal. Partnering with reputed online brokers in Indonesia like WesternFX can help traders stay focused and prevent them from going astray.