HOWTO TRADE FOREX SUCCESSFULLY-GOOD LOSS BAD LOSS

Introduction

Nobody likes to lose, especially when there's money on the line, but like it or not, losses are part and parcel of trading. Despite what the Forex "gurus" would have you believe, not all Forex trading losses are bad. So how do you differentiate between good losses and bad losses? By the end of this article, you'll know how to trade Forex successfully by taking the right losses.

Not All Forex Trading Losses Are Bad

Contrary to what most Forex traders think, not all Forex trading losses are bad, and there's no way that you can ever avoid taking losses. There are good losses and bad losses, and if you can eliminate the bad losses from your trading, then you'll be well on your way to consistent Forex trading profits. So what is the difference between good losses and bad losses?

Well, bad losses are losses that you incur by deviating from your system, taking rogue trades, not following your mental stops, taking too large positions, etc. They're losses that could have been avoided if you followed your Forex trading system. Good losses on the other hand are good setups that just didn't turn out the way that you expected them, but that will make you a positive expected return in the long run.

How To Trade Forex Successfully

Here's how to trade Forex successfully: only trade with a profitable Forex trading system, and apply good money management for every position that you take. It's easy to think that you're smarter than your system and override it at a whim, but in the long run you're opening yourself up to a lot of bad losses.

Bad losses happen when you're not willing to take good losses. You try to trade your way out of a losing trade when you should have gotten out of it ages ago, or try to double or triple your next trade to compensate for an earlier losing trade. All these Forex trading mistakes are symptomatic of not wanting to take a good loss, only to end up with a bad loss in the end.

So, if you want to be profitable with Forex trading in the long run, then be disciplined in following your profitable Forex trading system, and don't get greedy and try to earn more than your expected profits. Practice strict money management, and compound your profits over time. Remember, slow and steady wins the race!

I've been a full time Professional Forex Systems Developer since 2007. Forex is my passion, which is why I really love helping anyone to overcome their challenges and become profitable in their own trading. If you're just getting started in trading Forex, or if you'd like to take your trading to the next level, I'd love to help!

If you're new to Forex and frustrated because what you're doing right now isn't working, I can show you how you can make a Forex Passive Income in just 30 minutes! Everything you need to know is in my free report: Winning With Forex Trading Systems.

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