You must have heard of training for Forex trading as that gives you all the requisite technical knowledge for successful Forex Trading. However, not many of us are aware of the training our minds before getting into Forex Trading. Yes, it’s true! Just like psychological training before a baseball match or soccer tournament, you need to train your mind before getting into Forex trading.
There are several electronic trading platforms that give you the opportunity to trade in Forex from the comforts of your couch but still you always feel that you’re just a few clicks away from profits. What’s keeping you away from making profits? Is it your fears or emotions, unconscious habits and thoughts that are impacting the trading? Well, our mind is seldom calm as thoughts keep coming in and out of our brains and our actions are guided by thoughts, past actions, unconscious habits, emotions, fears etc.
Our trading mindset is driven by:
1) Neuro-physiological wiring
2) Psychological conditioning
It’s your trading mindset that makes all the difference between success and failure. In this article, we will look at the how our brain is actually wired or neuro-psychological wiring. We shall also look at some of the ways to train your brain to get into the trading mindset.
Your brain has to change to help you decide on the best stocks to buy now. You have to bring about changes in your brain to trigger a change in your mindset. Simple and unrelated thoughts will definitely have a greater impact on the trading mindset. You need to understand that your brain does not have a special section that controls your Forex trading; instead, it is a mix of thoughts, past experiences, emotions that trigger your trading actions. However, the good news is that you can actually re-wire your brain to develop the right trading mindset.
You have to change the three fundamental functions of your brain, which includes regulation, learning and selection. Here’s what you need to do:
Regulation – You will need to train your brain to relax and breathe slowly to avoid panicking or getting stressed or emotional. This will help you to concentrate on the details and make rational decisions. Breathing techniques, yoga and exercise can help to you to regulate your brain’s activities quickly.
Learning – You need to get a trading mentor, study and practice the rule based systems and find markets to train that also has a feedback system. All this will enhance and accelerate your learning.
Selection – You will have to work on the feedbacks to identify the strategies that work and the ones that fail. In future you can avoid committing the mistakes and maximizing your profits.