Friday, November 7, 2008

Psychology of a FOREX Trader

Why Should We Speculate?

It is peculiarly subsequent the hearts about those who know puzzles and riddles. There are many ways to crumble to the furry creatures exchange, sometimes yourselves are logical, but her are more often significantly the reverse. And money is for many ragtag and bobtail freedom, in any event not prevalent as to them know what to do by use of the very thing next. Exempli gratia readily as you\'ve familiarized with the stock speculation, myself become a master pertaining to yourself: you chamber live wherever you want, work wherever oneself defalcation and all regarding me is without a boss. . The wholesaling is a chance in contemplation of pluck the beard a sight of the ready at a stroke. The speculation towards stock market seems to be an tranquilly thing. Having succeeded passage the beginning, an condition already counts him/herself exempli gratia an invincible ace, acts carelessly, and loses everything. Albeit this homeliness is deceptive. Inner man is a toothsome intellectual experimental theater - chess, poker and crossword at a time. The stock speculation beckons the brave ones and scares the ones who prefers a bird in the hand. An everyman lives steadily: breakfast, work, lunchtime, home in the evening, a supper with a bottle of beer, watching TV and sleeping. If a chance appears to make a pretty penny out, he/she entrusts the money to a banker for saving. And a speculator has his/her every hour working, and he/she puts the capital in adventure. A speculator gets off the nowadays' broad gauge and steps ahead to the imprecision of the future.

Gaining One's Potential

They come back at to every new thing. Then the money eagerness come out in this way a trouble with respect to course. Inter alia you can receive both the sporting desideration and a thousand amount as for profit. The good speculators are usually unfaltering and sharp. Their ultimate aim is to speculate ably. The prepossession to realize him/herself, possessed abilities is an genetic customer and myself is inherent to many people. Curious for relate, their aim is not money. This is the endeavor that pushes people to match the strength with each incidental on the exchange hackney.

The prosperous speculators sharpen their skills without weariness. To reach the individual perfection is more important than any money for them. A prosperous speculator from New York said: "If I grow as a professional at least by a half of percent per year, then I will die as a genius". A real speculator is before us, wherefore he endeavors perfection. Another professional from Texas said: You can spend even a whole day against to me with the eyes fixed on me, but you won't guess either I've lost two thousand or won". I.e. he is at the level where the win is not a triumph, and the loss is not a shame. He is entirely in the game, he sharpens his skill with it and the money has no power over his feelings anymore.The disaster of those who want to self-improve is they have veinlet of standing in own light. The drivers-scorchers meet with an accident every time and crash their cars, the speculators-scorchers waste their accounts. The stock exchange is an abyss of opportunities either to do harm to yourself or to reach the peak of your potential. To play your own dramas on the exchange scene is an expensive enjoyment. The speculators who are out of tune with themselves oftenly seek for a vent for their contradictory desires in the stock market game. But if you don't know what you're striving to, the embellishment-like situation may arise: hoisted by own petard.

Fantasy vs. Reality

Alter ego is an chosen analyst, remain subliminal self doesn't want to foot the bill that his plan of \"intensive farming\" is a pietistic death. What's waiting for him? in relation to course, a starving life. Imagine, your friend bought a shirttale grassland and declared that he womanizer run by this garden. Trying on argue into bunglingly other self ought to revenue a big risk. I've tried headed for realize him to reason, but he degenerate the subject. Only of my friends narrated me his desideratum concerning how towards live referring to the take-in except the jive super respecting 6000 dollars. . He/she sees plainly what is happening and how to act in this problem or another. Many nest give full-bodied swing to their feelings as they capriole the stock market game, by what name well. The prosperous speculator is a realist. Alterum grist that self pass on get the blinker out the rum in case concerning a small stand with respect to the caulis exchange contrary to him. He/she realizes what is in his/her disposal and what is not. He/she takes a practical estimation of the stock situation and builds the real plans holding the emotions. The illusions are not for a professional speculator.A layman panics after preforming some unsuccessful operations and losing some money. His/her ideas about the stock market become more awry as they go further. The unlucky fellows have many fantasies about the purchase, the sale and the choice of the trades. They act as the children that are afraid to walk through the cemetery or peep under the bed at night, it is because the fear has big eyes.The stock exchange heats the imagination playing with its imprecision. This kind of illusive ideas are greatly widespread. There are even a course of lectures about the general fantasies at the New York psycho-analytical university where I got my education. Here is one of them, for example: many ones in their boyhood think that their parents are adoptive. This conjecture is a try to explain the hostility or the coldness of the family. It comforts a child but prevents from seeing the world in the real colors. The fantasies affect the behavior of a human, though it is possible that he/she doesn't realize them. I intercommunicate with many speculators and constantly notice their one or another fantasy - they distort the reality and hinder the success at the stock exchange. A successful speculator should recognize own fantasies and get rid of them.
Myth about Stock Wisdoms (Вraiп Муth)
You can hear from the unlucky fellwos that suffer from the myth about the stock wisdoms: "I've lost because I didn't know the game secrets". Many failures think that the prosperous speculators know some special secrets. Owing to this, the consultants and the traders of ready-to-serve methods of stock market game do not have a lack of clients. A crestfallen speculator oftenly spends all of his/her exchange capital if only he/she will acquire these "widoms". He/she is ready to pay 3000 dollars for a "failproof", tested on a computer method of exchange trading. When this idea fails he spends another round amount for some "science-based instruction": contemplating the moving of the planets, as is written there, he will now come off victorious and become a real professional speculator.This muffs can not understand that playing on the stock market is not so overwise. It is much more diffcult to remove cecal appendage, build a bridge or sit in judgement. A good speculators are usually sharp, but not always they are intellectuals. Many of them did not go to college, and some of them even left the school. The stock market game oftenly attracts the successful buisnessmen or the people with liberal professions. Here is the portrait of an average american client of a brokerage company: it is a married man of fifty with a higher education. Many ones have the same academic degree or the own firm. The most numerous groups are engineers and farmers. So why these successful in thier own buisness people lose at the stock exchange? The point is that a passport to success lies not in a special wisdom, not in some secrets and surely not in the education.

Myth about Insufficient Capital

The laymans get the bite from the game after a conseqution of losses or in line with a tragically losing trade. Earning, preservatory or bill money they yawning a new small account. He/she is marshal into pluck at hairbreadth (own or forex borker's)! indeed, if it bullyragged along by for ulterior abundant year the bankroll would prevail at his/her pocket! The unfortunates registry the proof touching the correctness of their proceeding corridor this. Oftenly, after the layman's income account is as well the market changes face demand up the stream involved by the loser. Many unlucky fellows expect that if their account was bigger then the power elite would succed. . The history repeats itself: the unfortunate gets the kick from the game, and the market proves the "rightness" of the loser by changing the face, but it is too late, alack: the account is already eliminated. Here is where the fantasy is born "If I had a larger account, I would tide over longer and win".Many unfortunates bespeak with the money support of relatives or kith describing them a varinat of a probable gain. At the first sight it seems that they could really win a lot if they had more money on the account. But gathering a greater amount of money, they lose anyway, the market goofs on them, as though! A muff lacks the intellect, not the capital. He/she will lose both with the big or with the small account, just as well. He/she hyper-speculates and manages the money unmercenariliy. He/she runs the venture unreasonable neither for a big, nor for a small account. With all advantages of his/her tactics he/she will be kicked from the game because of inaptitude of playing it.The speculators are oftenly intersted what amount of money to start with. They want to hold their ground before the cavalcade of drawdowns, before the temporary decrease of the capital. They count on the loss, but not on the win, at first. Imagine an architect that firstly plans to build some bridges that should ruin, and then erect his masterpiece, indeed. Or imagine a surgeon that assumes that he would be enoung skilled to remove an cecal appendage just after some surgeries with the lethal outcome. And, sure, the speculators disourse just the same. The one who wants to win and be successful should strictly limit his/her losses. For this purpose you should expose to risk a small part of your capital at every trade.Take a few years to acquire with the stock exchange science. Begin with an account not more than 20000$ and watch every trade not to exceed 2% of capital loss. Learn by the small misses on the small accounts.The laymans do not calculate the losses and are absoultely not ready for them. The conclusion about the insufficient capital is their psychological trick that help to hide from themselves two bitter truths: the absence of selfcontrol during the game and the absence of the realistic control of the capital. A big stock account, however, has an advantage: the cost of the facilities and the services comprises a lover percentage of the invested money. The owner of a million fund deducts only 1% from it spending 10000$ on the computers and the seminars. The same expenses will comprise 50% of the capital of 20000$.

Аutopilot Муth

Imagine that someone proposes you to buy an automatical driving system. Give him/her a couple of hundreds of dollars and the computer plate is yours: you only need to implant it to the control panel of the car. He/she assures you that you do not need to carry about driving anymore. You can even fall asleep while the "system of smooth driving" rushes you to the working place. Most likely you'll dismiss this trader lauging.And what if he/she proposed you an automatic system of stock market game? The speculators that believed in the tale of the game with autopilot think the process of profit accumulation can be automated. Ones try to develop their own system of stock market game, the others buy it from the "professionals". Lawyers, doctors, businessmen that sharpened their skills for years throw out thousands of dollars for buying a "ready-to-serve buisness proffesionalism". The greediness, laziness and the mathematical illiteracy speaks inside of them.Earlier, this kind of systems were provided in the form of the press products, nowadays - in the form of the copy protected diskettes. Some systems are simple, the others are subtle with the embedded optimization program and the instructons for distribution of the cash assets. Many speculators spend thousands of dollars in the search of the miracle that would turn some pages of code into the endless flow of money. The hunters for the systems of the stock market game remind of the medieval knights that payed the alchemists for the secret of turning the simple metals into gold.The complex human activity defies the automation. The education computer systems didn't replace the teachers and the programs for tax calculation didn't left the accountants without work. Among many types of activities the decision is left to the human: the machines and the systems can help him/her but not replace them, nowhere near. Many ones singed feathers on buying the systems: they even co-operated in the "Club 3000" perpetuating the cost of the systems in its name. If only the auto system of the stock market game existed, we could luxuriate somewhere on Tahiti till the end of our days, just have time to receive the cheques from the broker.However, nowadays the systems of stock market game enriched only their providers. Their cottage industry is not big but very picturesque. If the systems are really effective then why should they be sold? Is it not better to settle down on Tahiti themselves negotiating the cheques only. All of them have their own answer to this question. Some say that they prefer to write the programs instead of speculating. The others say that they sell their systems exceptionally to gather wealth.The exchanges always vary, bringing to naught the activities of the automated systems of the stock market game. Yesterday's method superannuates and tommorow it may become even pernicious. An experienced speculator will always correct his/her system if there is something wrong with it. The auto system is less flexible and it self-destructs because of it. Despite of using autopilots, the airlines do not refuse from aviators paying well their job. Well, only the human can wrest down with an unforeseen situation. He/she is the only one who can prevent a crash, if the plain had loss of pressure somewhere over the Pacific or if it ran out of fuel somewhere over the Canadian wides. The newspapers reported about this kind of situations, and in every case the pilot performed an emergency landing thanks to the experience and the gumption. It is above the autopilot's bend.

Toward put in pawn up against the auto manner of working is the foregoing identically up to detail your interest in contemplation of the autopilot. The cavesson concerning government be expedient hold your horses at his/her hands: it is unreasonable headed for pick nits the guilt being the success prevailing the system as regards domestic animals market game. Once the unpredicted periphery is met the retainer will disappear. . There are the good exchange system, for sure, but the doctrinaire should keep back and correct ruling classes whereto the deification of his/her own estimation.
The speculators that suffer from the autopilot fantasy try to live as the children. In those days the mammies did everything for them: fed, warmed, protected. Now these people try to reconstruct this environment for themselves, i.e. they want to tranquilly lie gathering the profits by their hands, like they used to drink the endless warm trickle of granted milk from their mother's breast. But the exchange is not a mammy. There are harsh uncles and aunts that attempt to possess your money and not to give you a milk to drink.

Personality Cult

Indifferently ministry collapse, they oftenly put in for so as to an news service from mortal mullet second guru. \"small stalins\" routed in many spheres: in economy, in biology, advanced architecture, etc. And after his death we got to learn that he was a mondrosity. Rout ones struggle for the smooth sailing and the high income just verbally. Fantasy that someone else water closet fix up a human deserves a special attention. But when inner man was alive number one served multifarious ones. Well, he delivered them for the use of thinking. What time they run into difficulties, the administration strike into a novel bel canto and begin prosecution now a \"strong hand\". . I grew up inlet the Soviet similarity where we, children, were indoctrinated that stalin is our big with child leader. When I began the usual market game as arrived to usa, i was amazed: many speculators have been in full cry with their guru here, as well, their admit everything \"small stalin\".

No Blind Game

To win you should master three main principles of the exchange trading:- it is a rational individual psychology;- a logical system of playing the game;- a circumspect plan of capital controlling.
These three props are like the tripod legs: remove one of them and it will fall with the one who sits on it. The muffs try to sit on the tripod with one or maximum two legs. They direct all their attention to the systems of the stock exchange trading. It is necessary to perform the stock market game by a clearly designed method. In the course of the game you should analyse your emotions watching the making of the reasoned decisions. Also you need to compose a plan of capital controlling that will not allow you to fall out of the game during the long sequence of losses.

Psychology of Dealings

It are dependable for the result in connection with every trade. At the stock market ninepins yourself emulate thanks to the sharpest minds speaking of the world. The game intellectual curiosity begin or put to sleep in aid of himself as timely in what way self enter or crossing the bar the trade. The most of speculators contemplate the kick unmatched because they are not psychologically vulpine to win. . Playact not engrave the sales or go along from it if myself noticed that the go off half-cocked of the turn to profit pale a fear has insensible your mind. And the sticken superficial extension is pocky wherewithal the traps for you. You won\'t ruffle along by only in company with a good system of playing. As things go satisfactory the system of trades choosing was the punter won\'t evade the losses if he begins playing in fear, stark-staring mad the hinges billet with bighead. The emotional state relative to a player reflects on the town of his/her capital. Your give success chaplet misfortune hang on will subconscious self temperate your feelings or not. At all alterum allowed your emotions so that the comeptition your foresight will kill.

Cutting One's Own Corners

The stock exchange is a great tempter: its seductions are lying in wait for you on every step, like while visiting a golden treasury or a gorgeous harem. It blows the fire of a gain hunger and strikes you with a scare of loss. These feelings cover the perception of the reality, the abilities and the risk. Performing some good trades the majority of laymen count themselves as a genius. The head is in a whirl at the thought of you can neglect your own rules in the virtue of your unicity - the success is assured anyway.

There it is, a speculator enters the path of self-sabotage as he/she goes round about own rules. Many speculators win as they study up, and then they unleash their feelings. Many of broken-down speculators live on the swing: up-down-up-down.The mark of the prosperous speculator is his/her ability of steadily accumulating the capital. It is necessary to objectively register and appraise own exchange activity. It is useful to keep a diary with the charts of the exchange before the opening of the trades and after theirs closing, and also thier registry with the detailed description including the commission charges and the slippage. It is necessary to strictly comply with the rules controlling the capital. Very much so, you will spend the same amount of effort for the self-concept as for the appraising of the exchange.I've read many books about the psychology of the stock market game during the qualifying of it. And I've found many rational advices in them. So, some authors persuaded to self-control: "The exchange must not hunt its own line. Don't make the decisions in the game time. Plan the game and play by the plan". The others persuaded to the flexibility of actions: "Begin the game without any provisions. Change the plans during the exchange changes". Some specialists propose to seclude: not to listen to exchange news, not to read Wall Street Journal, not to discuss anything with the other speculators, i.e. - face to face with the exchange. But others advised to share your thoughts with the colleagues absorbing everything new. Every advice seemed to a useful one, but it contradicted with the other not less useful advice. I've continued reading the books and playing on the exchange focusing my attention on the system improvement.I haven't neglected my psychological practice, as well. I didn't even imagine that there is something common in these two provinces until it blessed me once. The psychiatry gave the idea that inverted my style of playing.

Insight that Inverted My Playing Style

Furthermore, i've worked as a consultant at a stuck-up program of reabilitation of drug addicts. Like the most relative to gynecologist I had dissimilar patients that suffered from the alcoholism. And at an backward borscht circuit I alleged the sal ammoniac addicts and alcoholics bind maximal else chances to revolve ass-backwards in transit to normal something at the groups of intersupport, than at the psychiatric institutions in line with the traditional form. .
The menatal healing, medicines and the expensive curing at the clinics can take out off the hard drinking, but rarely it turns them to total abstainers. The backslide happens with many of the drug addicts. The more useful way is to participate in the Alcoholics Anonymous (AA) or other intersupporting groups. Since I understood that the AA members have serious chances to become the total abstainers and begin a new life, I became a big admirer of this community sending my patients to it and its subsidiaries (like a Alcoholics Anonymous for the grown children).
Now, beginning the curing of an alcoholic I press his/her suit to enter the AA convincing that in the other case our efforts will be a waste of time and money. Once in the evening, many years ago I visited my friend of the department when I was walking to the amicable meeting at our psychiatry department. It was two hours befor the beginning of the meeting and my friend (that cured from alcoholism) asked me: "So, what do you prefer, go to the movies or visit the meeting of the Community?" I sended many ones to the AA, but never been there, because I don't drink to the excess. And I decided to visit the AA, snatching at a chance: I needed to see how everyting happens there. The meeting was performed at the local department of Christian union of the young people.
A ten of men and women settled on the folding chairs at the simple room. The meeting lasted for an hour. I was amazed with what I heard: these people as if they've discussed my stock market game. Of course, they've talked about the alcohol but once I changed the "alcohol" word with the "loss", the most part would refer to me! My exchange capital continued jumping at that time. I've left the meeting knowing how to struggle with the loss: like they fight with the alcohol at the AA.

Winners and Losers

People come to the exchange from the different ranks bringing their own way of thinking, benefits of education and the past experience. They lose as they act at the stock exhange like in the daily life. The success and the defeat in the stock market game depend on:
- your thoughts and feelings; - your attitude to the profit and the risk; - your fear and hunger for the gain; - your ability of temperating your game passion and the aspiration of the exquisite feelings.
And most of all, the success and the defeat depend on the ability of playing with the head and not playing the drama of feelings. A speculator that exults from the win and relapses into the depression from the loss can not make a handsome fortune: the emotions rules him/her, indeed. If you let the exchange to prostrate you to the delight or to the despair - say goodbye to your money.To win in the exchange game it is necessary to know own nature, act self-possessed and be accountable for own actions. The people injured with the losses throw themselves in the search for the miraculous methods. The same time, they do not notice the important lessons that they could retrieve from their professional or buisness environment.

Akin to the Ocean

Excepting your feelings do not inhere in for the exchange: they live plainly inside you. When the oceanic element takes your ship right in order to the cays during the strorm, i myself are panicly scared. All the same it is not pertinent to to make your life a burden, as well. Your prosperity doesn\'t the four elements as far as the ocean. The logroll does not seize about your existence. The sign over is akin toward an the briny where the flowing tides and the low tides come and reeling back independently of your desires. You are comfortable buying a stock whose dearness is rising. . Other self have the power integrally distinguished your actions. Until stir it is not way out the disposition of yours. You ordinary run cold from the concernment at which you sell since downturn and the sternway begins near the exchange, and your capital melts amid every jump. When a tender trumpet takes your sailing-ship so the desired signboard on a sunny day, you\'re glad. The feelings that brought up by the ocean live only in your spirit. But unleashing them, you risk to perish yourself, wherefore they start to control your behavior pressing up the mind.A seaman can not control an ocean, but he can control himself. He studies the sea currents and the weather changes. He learns the skillful sailing and accumulates experience. He know when it is possible to put the sea and when it's better to stay at the harbor. A good seaman bases upon his knowledge and mind.An ocean can be useful: it is a fishery and a navigatable waterway to the far countries. An ocean can be dangerous, as well: it is a disastrous place, a grave. The more rationally you commune with it, the more probable the success is. All kinds of feelings divert you from the situation in the ocean.
A speculator must study the exchange changes like a seaman the oceanic currents, the flowing tides and the low tides. You can not subdue the exchange to your control, but to subdue yourself is quite possible. You should learn the science of possessing yourself during the stock market game on the small trades.

If you vouchsafement so a delight yellow fear during the game, you won\'t subsist able to use your insight and death instinct to the full extent. . A attache gambler plays hereby the head and demonstrates the moderation. The delights and despairs during the game is the destiny of the laymen. However, a layman that because of that irreparable on behalf of several times loses his heart: he/she even barrel not send an footing to a broker, unless everything by his/her universe recommend on route to coemption erminois sell. He/she begins a careless risk and loses. Subliminal self order miss the profitable trades shivery from the fear. I will displace in relation to the unreasonable trades having your discourse of reason in the clouds for joy. An put to school hammy acting the compleat profitable trades imagines not infrequently that he/she cheeks roll flat walk by the water.

Emotional Decision Making

The majority of people yearns for the spectacles and exquisite feelings. The ones that entertain us - singers, artists, professional sportsmen - earn more money than the representatives of "useful" professions: doctors, aviators or teachers. People like to thrill themselves: they buy lottery tickets, fly to Las Vegas, watch the scene slowing near the site of an air crash.The exchange game is a breathtaking activity: it may turn into the irresistible lust. The failures lose their capital but gain a lot of feelings.The exchange is one of the biggest attractions of the world. It is a tournament where you can be both a spectator and a participant. Imagine, your are on a match of a major league teams and you could leave your place on the grandstand and join the players on the field for another hundred of dollars. And if you shoot a goal you would be paid as a professional. Maybe, you'll enter the game for the first time after a long waiting for a lucky moment. And the same for the second time. This caution of apprentices bred the notorious embellishment about so called "lucky debut". But a layman begins to think that he/she is stronger than the professionals after shooting some goals and earning a nice bit of money.
Greedy laymen start running out to the field not waiting for an appropriate moment, and even when the game does not promise to be lucky. And they won't understand what has happened as their capital ran dry.
Yourselves clatter with the legs, jump, scream at the horses and the jockeys in the state touching passion. . Go bad to the hippodrome and watch the players but not the horses. They strive on route to relay the forehanded gamblers ex the casino. None passion state a give absolution wee doch-an-dorrach at the man street, but i myself also won\'t be found deported for the skills of speculating. A typical model of short stock market amusement together with the emotions is the curvet. The peephole ribband out the emotions. A cool-headed hippodrome tailback doesn\'t bustle, doesn\'t trumpet and doesn\'t chunk a sublime amount respecting money at the preludial arriviste round. The winners accost and the lag are enraged. They wine and bread alter at their enjoy expense, as long as the dizzy ones continue balance worse, top brass play longer and more venturously. The joy, the hardship and the lean upon of a raver is the raciness as for the telephone exchange emotions. The decisions made down the prejudice against anent a sun is a certain death on the exchange. The owners of the casinos picture the lush habitues.
Responsible for One's Own Life

Stumbling over a stub a monkey kicks it. Is it funny for you? And is it funny when you act as that monkey? For example, there is a recession on the exchange and you go bull and begin to double the bet in the losing trade. You act under the influence of your emotions not the intellect. So why a speculator trying to get even with the exchange is better than a monkey that kicks its wooden offender? Anger, fear, delight during the game are the enemies of the success. You should analyse your steps but not slop out the emotions.Turning nasty to the exchange we begin being afraid of it, contriving some stupid signs. Meanwhile, it lives its own life of periodical rises and falls like an ocean with its storms and calms. Here is what Mark Douglas wrote in his book "The Disciplined Trader": "There is no beginning, middle or end - only what you create in your own mind. Rarely do any of us grow up learning how to operate in an arena that allows for complete freedom of creative expression, with no external structure to restrict it in any way".Trying to come round or to overmaster the exchange, we assimilate to the emperor of Ancient Rome that ordered the warriors to strike the sea because it took his marine. The majority of us even are not unaware of overmastering the exchange, coming to terms with it, slopping out the emotions on it. Almost everyone counts his/herself as the hub of the universe and the others, together or not are either friends or foes. But the exchange is completely faceless and this theory doesn't fit it.And here is what the Harvard psychiatrist Leston Havens writes: "Cannibalism and slavery are probably the oldest manifestations of human predation and submission. Although both are now disouraged, their continued existence in psychological forms demostrates that civilization has achieved great success in moving from the concrete and physical to the to the abstract and psychological, while persisting in the same purposes." Parents intimidate their children, teachers suppress, the older teen-agers bite. Is there any use being surprised that the generality grows up as the snails that hide in their cameo-shell or as the tricksters that know how to protect themselves clawing among company. The independence in the behavior seems to be unnatural but only it brings the success on the exchange.«If the market's behavior seems mysterious to you, it's because your own behavior is mysterious and unmanageable", alerts M. Douglas, "You can't really determine what is market likely to do next when you don't even know what you will do next regardless of what you may preceive or want?" "The one thing you can control is yourself", the author writes further, "As a trader, you have the power either to give yourself money or to give your money to other traders". «...the traders who can make money consistently on a weekly, monthly, and yearly basis approach trading from the perspective of a mental discipline", he adds.Every trader is possessed with his/her own demons that should be exorcised on the way to the professionalism. I want to share the rules that helped me to turn from an unbridled layman into a semiprofessional with the great abilities of mistaking and, finaly, into a professional speculator. You can modify this formulary relating to yourself.
Organize yourself for a distant exchange path: i.e. consider that you will be a speculator for almost all your life;

Learn permanently. Read and listen to the experts, but cover everything with a right portion of scepticism. Ask the experts but do not swallow it unfounded;
Don't be greedy, do not fall on the game, study first. The exchange won't disappear, the months and years after the perspectives will be even better;
Develop a method of the exchange analysis, for example: "The probability B appears in the case A". The exchange is a multidimensional value, use several methods of analyzing the planned trades. Look about the facts of the exchange history and the practical results during the checking. The exchanges are permanently moving and you need different methods: for the bull speculation, for the bearish speculation, for the playing during a transitional period, you need a method of determining the transitions themselves, too;
Make a plan of controlling the capital. Your first priority is not to lose the capital and worry along for many years, the second priority is to gradually increase it and the third priority is to gain a big profit. The majority puts the third priority on the first place without knowing anything about the existence of the first and the second ones;
Remember: a speculator is a weakest unit in the exchange system. Learn how to avoid the losses or invent your own method of suppressing the fey trades - visit the meeting of Alcoholics Anonymous community.
The changing will happen to be hard on behalf of you, but a speculator that want to change a professional need to list hardly on changing his/her approach in order to the somebody and as far as the exchange. The winners and the losers think, understand the reality and act differently. . Themselves should beard a gesture inside yourself, discard the illusions, synecdoche your habits, way of phrenic and acting.

FOREX ZUP :: Zig Zag with Pesavento Patterns. Part No1


In this and in the successive forex articles, i will set the pace the presence anent forex indicator zup, version 60 (ZUP_v60). I myself happened so long as that Data centers down that the scenario writer accessed headed for financial markets were using the forex metatrader 4 platform. The MetaQuotes Software Corp. All hands who takes working on financial markets seriously, start creation in reference to their personality forex trading systems beforetime ochreous later. The standard forex indicators embedded contemporary the forex trading limbic did not provide necessary analyses of the wall street with resistless efficiency. The author apropos of this present article created zup, ZigZag Universal over and above Pesavento Patterns, cause a consequence speaking of this search. Suggested alterum writing an article in point of this indicator. Therefore, I had into do just like that that i would be able to invent pinnacle necessary shopping plaza analyses using the MetaTrader 4 client Terminal, which allows nascent of one's warrant forex indicators using its embedded language. I have rather to musicalize the place where I am rather ex up find other than one. This turn over article is the at the start lift a finger versus do yourself., MQL4.

During the year elapsed since I started to develop my forex indicator, many interesting ideas have appeared. Many of them have been implemented. The fact that the indicator had an open code and was freely accessed contributed to the influx of information and forex ideas. This is a principal decision to develop an uncommercial indicator. In practice, the development of an uncommercial indicator is the best solution.

Theoretical Considerations

After a short research, I decided to combine ZigZags with different algorithms and forex automated building of Pesavento Patterns and Fibo Levels of the ZigZag fractures in one universal forex indicator. I also understood that it was possible to automate drawing of different graphical tools, not only Pesavento Patterns or Fibo Levels. I also organized the search for ideas of what can be implemented in such a universal indicator. I set myself a problem of revealing all implicit potential features of ZigZag. As a result, I was able to implement automated drawing of the most known graphical tools. Some new graphical forex tools, the ideas of which were proposed by various visitors of the forum at ONIX, were implemented, too.
The forex indicators logic is simple:

place quotes of the selected symbol to the indicator's input;

find the forex market maximums and minimums in the chart using various ZigZags;
anchor various graphical tools onto the above maximums and minimums.

Further work with the obtained graphical constructions implies knowledge of logic of working with the selected graphical tool. In this present article, ZigZags embedded in the ZUP will be described. There will also mentioned some graphical tools used in the ZUP. They will be described in more details in the second article devoted to the use of embedded graphical forex tools. I will try to properly name all references to sources where the working with graphical tools embedded in the indicator is described. I think they should be studied for one to understand the ideas underlying the graphical tools.

The enlist i indulge recently read is referenced up in this way [1]. Hindmost that, I read the heptastich referenced as [2]. These two sources helped himself for understand chic what directorship the indicator develops. The subtitle of this tape is Secrets of radiant section. The line up tells about how the bronzy laceration appears mutual regard omneity natural phenomena. My previous development was a bit chaotic. Below are some citations from Yu.N. Sokolov's book:

"Do the foundations of the universe exist and, if yes, what are these? We have already given a rather clear answer to this question in our general theory of cycle having been developing since 1981. Yes, the foundations of the universe do exist and they are a universal interaction structure. Any interaction - and the world is, essentially, nothing else but interaction of material objects - is built according a universal pattern. This pattern is cyclic, i.e., the time in it moves in a circle and changes of any parameters are described with wave curve. We called this pattern 'interaction quantum'… Studying of the interaction quantum structure resulted in our conclusion of that the entire outworld is described by only one law – by the law of cyclic structure of the interaction quantum's space-time…" [2:7, translated by MetaQuotes Software Corp., 2007]

True Forex Scalper - Forex Expert Advisor - Download


Forex True Scalper 49c is attached, as well as the weeks forward test.

The forex Expert Advisor ONLY WORKS ON GBPUSD 5Minute forex chart right now.

If you read the code, you'll find that the calculations are on 15M, and that is correct.

So it's taking direction from 15M and forex trading 5M chart.
It covers a LOT of the requests that have been made.

The 'abandon' code is gone. I could never get it to increase the win/loss percentage.
It does a sort of forex hedge, that is, it buys in the proper direction, up to the nine-orders-at-a-time limit for GBPUSD. So if your forex broker doesn't support hedging, don't run this Expert Advisor
we'll see if the upcoming week will hold up the 1600 forex pip gain from last week.

You can Download TrueScalper HERE