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How To Have A Growth Mindset For Forex Trading

Winning Traders Are Constantly Learning And Improving Their Trading Skills Losing traders often go no further than learning the basics of trading Forex and then learning a strategy or two for trading.

The GOAT (Greatest Of All Time)

Michael Jordan is the greatest player in the game of basketball. (His statue, “Best there ever was, best there ever will be,” is inscribed outside the United Center in Chicago.) But he continued to work on improving and expanding his skills even after being recognized as the greatest player in the game.

They Find Mentors

Winning traders are self-confident, but typically not guilty of the original “pride” sin. They freely admit that they don’t know everything about trading that they need to know. And they look eagerly for other traders to learn. In fact, virtually every “market wizard” attributes to trading mentors who taught them priceless lessons along the way to becoming a winning trader a part of their success.

They Practice Good Risk Management

When it comes to managing their risk and managing their trading capital, winning traders are very disciplined and this is critical to their success.

Discipline – More specifically, self-discipline and focus are two significant characteristics that are deeply entrenched in winning traders’ habits.

Do the things necessary to be a winning trader, such as constantly learning more about trading, keeping a trading journal, and practicing solid risk management, the things that distinguish them from losing traders.

Do you want to know the secret to becoming a professional trader and a winner? Just begin to act like one.

The Key to Trading Success: A Growth Mindset

Trading can be challenging, no doubt. Every day and generally speaking, every trade is challenging.

No matter what you do, you will always make mistakes.

Most of the time, you enter a trade and it goes against you, so you are wrong. Half the time, you enter a trade and it goes your way, so you exit at a profit – only to watch price continue upwards. Again, you were wrong.

When you know you will always be wrong, how do you get up in the morning?

Mindset is the key.

It is interesting to note that all mindsets are not created equal. According to research, there are two main types of thinking.

People who have a fixed mindset are different from those who have a growth mindset. This difference will determine your success or failure in trading.

This is the first question you need to ask yourself. Do you have a fixed IQ or can you improve it?

Many people believe that whatever you are born with is all you will ever be capable of. These are people who have a predetermined point of view. They are motivated by the desire to be correct and demonstrate their intelligence.

Then there’s the other group: those with a growth mindset. They believe that you can always improve your intelligence and learn new things. Your IQ is just a number at the moment, and it can change with practice and effort. They are unconcerned about test results because they are just a starting point from which they can build.

Can you see any parallels in trading?

If you judge your own intelligence or success in life based on your trading results on any given day, you will struggle as a trader. If you believe you can’t improve, when you hit a major roadblock or a rough patch, those with a fixed mindset are more likely to give up because they believe they can’t do it. Or else they aren’t ‘naturals.’

To be successful in trading, you must strive to improve every day. Not by much, but it must be a continuous process.

You must also believe that you can improve, which is what a growth mindset entails.

All great traders, risk takers, and analysts were not born great traders, risk takers, or analysts. They honed these skills over time by putting in consistent practice and effort. They all have a growth mindset, which means they are willing to learn from their mistakes and use them to improve.

The good news is that if you come from a place where you believe your mindset is set, changing your outlook may be the most important thing you can do.

First and important, believe that you can improve every day in effort and hard work, and you will be well on your way to success.