Frustrated with Your FX Trade Results? Tradeplans are KEY!

 

Successful trading is NOT about being right.  It is NOT about trying to win every single trade.  In case anyone hasn’t told you yet, there isn’t a single living soul who can do it.  It just isn’t possible nor is it a pursuit worth putting your time and energy into.  In fact, those that do, typically are not trading for the right reasons.  They have this need to be right all the time or some other subconscious need to fill, and as a result, they get what they are asking for.  Losses!  Just look in the mirror and be honest with yourself.   That is always the first step.

Trading is NOT about being right.  It is about MAKING MONEY!  There is a big difference.  Think of the casino, as a metaphor.  They don’t need to be right all the time to make money.  The two do not correlate; being right and making money.  The casino merely puts the odds in its favor with every roll of the roulette wheel or every throw of the dice, and as a result, they end up PRINTING money.

Being adequately capitalized helps!  So many traders choose the wrong markets for themselves.  They might have a good tradeplan but they don’t have the capital to let the odds work for them.  That is what makes FOREX such an appealing instrument to trade.  The best brokers (you shouldn’t even be messing with the others) will allow you to customize your trade size, which is one of the most important TOOLS that you have.  They will let you put on 50 to 1 leverage, but don’t you dare do it!  That is NOT the way to make money as a trader.  You need to still be trading your plan when the odds swing back around to your favor.  That’s where the money is made!!!!  And if our reason to trade is to make money, then you’d serve yourself well to focus in on this.  What other meaningful reason to trade is there?  You have to make the conscious decision to trade for the right reason if you ever hope to achieve that objective.

Think about blackjack for example.  I’m not sure what the house odds are but they are slightly over 50%, right?  I guess it depends on the house rules but say for example, that the house has a 52% chance of winning.  That means they have a 2% edge.  They don’t care if they lose the next hand.  The next 20 in a row, or whatever..  If they do $100,000,000 in blackjack business in a year, they will have $102,000,000 in the bank by year’s end.  They achieve their objective with their blackjack business.  It isn’t to win.  It’s to MAKE MONEY!  Okay, I realize this is a crude example but I’m just trying to make a point.

The SST FX is giving us much larger odds than the casinos are getting.  The message to take away from this post is that if you employ a PLAN that puts the odds on your side, then you have accomplished everything that you can, in regards to selecting your trades.  Read that last line again a few times if you need to.  Trade selection is all about how those trades fit into a TRADEPLAN that has been ‘shown’ to put the odds in your favor on every trade and thus, give you an EDGE in the market over the other traders you are up against.  In essence, you put the ‘house odds’ — and then some — on your side.

No one EVER knows how a trade will end up.  You can however, put the odds on your side every time you take a trade.  You can also control your risk and NEVER, over leverage.  If your tradeplan wins over 50% of the time, then it is a matter of winning more when you win, than you lose on losing trades.  Wins and losses come at a random distribution so it is ESSENTIAL to only risk 2% or less of your available trade capital on any given trade.  That way, you can ride through some losses and then enjoy the winners when they come pouring in.  And if you have a good tradeplan with a real edge on your side, THEY WILL COME POURING IN!  And you will grow your account and join the exclusive club of winning traders.  Winning traders have figured this out.  Losing traders (the majority) have not!

Tradeplans are not the sexiest thing, I admit.  Most people’s eye’s glass over when I begin trying to explain what they are.  Winning 1000 pips in a month IS very sexy though, wouldn’t you agree?  We did just that, this past month with the EURUSD.  How do you think we did it?  Definitely NOT by randomly picking trades because it ‘felt good.’  We didn’t just get some psychic premonition.  We didn’t wait for Jupiter to trine in our House of Money!  We didn’t shy away from trades that ‘didn’t feel right,’ that’s for sure.  And we were not afraid of some losing trades nor did we give up on the tradeplan when we had a losing trade.  No!!  Our reason for trading is to make money and the only way we know how to do that is to trade our tradeplan, put on appropriate risk on each trade, and then allow for the odds to swing in our favor.  Cha ching a ling ding!!  I just gave you the Holy Grail to successful trading!

We followed our TRADEPLAN.  The Tradeplan guided our every decision.  Actually, tradeplans make trading very easy.  All you have to do is surrender and just ‘Lean on the Tradeplan.’  Lean on the system.  It is amazing how it takes the pressure OFF of you.  Wow!  Once you experience this, there’s just no going back to the old way.  You really should give yourself the biggest trader’s gift you can, and try it.  Heck!  You can do it in a sim account with ZERO RISK just to prove that what I say is true and once you see it for yourself, you will have made the biggest and most important step in turning your trading around, from frustration to success.

I have prepared a short video for you regarding the very same tradeplan that we use each and every day, as SST FX Traders.  I realize that your eyes may have glazed over too, at the very mention of the word ‘tradeplan.’  That’s cool.  I understand.  It’s NOT sexy.  Hopefully though, by watching it  this video, it will get you to retool the way you think about your trading and will encourage you to put serious thought into your own tradeplan.  Don’t forget, we’ve done a lot of the work already and you can always learn one of our many proven tradeplans as a starting point.  They continue to ring the cash register for us on a regular basis and definitely give us what we need, by putting the odds in our favor on every trade.  The rest is up to us to just lean on the tradeplan, and take the next trade with the appropriate amount of risk.  No more — no less!

Watch the video and when you’re done, make sure you sign up for Thursday’s webinar where we’re actually releasing the Seven Summits Trader Forex for the first time in MONTHS *and* answering the really tough questions, like, if you’re not making 1,000 pips a month – what are YOU doing wrong? Click here to attend one of our LIVE webinars (they’re FREE):

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