Why A Forex Trading Loss Should Be A Good Friend

If the title of this article was "Why A Forex Trading Profit Is Your Best Friend" then you'd probably feel that this was a perfectly reasonable title, but how on earth can any Forex trader view the arrival of a trading loss in the same way that he would view the arrival of a good friend? Well, I'll let you into a secret - the most successful traders do just that.

Many years ago a good friend of mine started a new job as an insurance salesman and I don't think I'd ever seen anyone so fired up and ready to go. When I saw him a month or so later though he was completely dejected and had left his new job.

The problem he had encountered was a common problem in this and many other industries - that or rejection. In order to earn his commission he had to find potential customers and that meant getting on the telephone and cold calling people in the hope of being able to make an appointment with them to discuss their insurance needs. Now this was a simple enough process (the company even gave him telephone training and a script to follow) but nine times out of ten he would fail to make an appointment and he saw the rejection of his offer as a failure on his part. After a couple of weeks of facing failure day after day, he simply couldn't face picking up the telephone.

The truth of the matter was of course that he had not failed at all and that finding one person out of ten chosen at random who was prepared to talk to a complete stranger about their insurance needs was actually pretty good going. What he had experienced was nothing more than the way the insurance industry works and the problem didn't lie in the fact that his approaches were being rejected, but in the fact that he had interpreted this as being a failure on his part.

Now you're probably asking yourself at this point just what this story has to do with Forex trading and the answer is simple. Every day people lose heart and leave the Forex market because, after several failed trades, they see themselves as having failed and, just like my insurance salesman friend, they turn what is nothing more than a normal part of trading into a personal failure.

Losses are an inevitable part of the trading game and even the most successful traders have trades that lose them money every day. They succeed however because they accept losses as a part of normal trading and deal with their losses accordingly.

Successful insurance salesmen actually like being rejected nine times out of ten because, knowing that it is an inevitable part of the job, they choose to view each rejection as bringing them one step nearer to that call when they'll make an appointment. As they receive one rejection after the next their spirits actually rise because they know they're getting closer to that successful call.

In the world of Forex trading no matter how good you are at analyzing the market you're not going to get it right every time and some trades will go against you. But each losing trade not only provides you with a valuable learning experience but also brings you one step closer to your next profitable trade.

Accepting loses as a normal part of trading and part of the dynamics of the market, rather than viewing each loss as a personal failure, is just one of the many things that separate the successful traders from those that simply scrape by or decide that perhaps Forex trading is not for them.

LearningForexTradingOnline.com is the ideal place to currency trading and includes an online currency exchange calculator

Online Forex Trading Strategies
Forex trading strategies are the key to successful forex trading or online currency trading. A knowledge of these forex trading strategies can mean the difference between a profit and a loss and it is therefore imperative that you fully understand t...

The Benefits Of Using Online Forex Trading
In the past, forex trading was difficult for many individuals as the foreign exchange trading was only permitted for large financial institutions such as banks, big stock brokering companies and such. There was no place for the small investor.With th...

The Forex Assassin is Out
Who would ever thought that this kind of systems could become reality in such a short time span since many of us first realized the Forex market existed and then in our own way we started to learn the ups and downs of this trillion dollar market.Now ...

Mini Forex Trading Accounts - Perfect For The New Currency Trader
A mini Forex trading account is extremely helpful for a new trader who is more interested in developing a disciplined, rational trading strategy without focusing entirely on profits and losses.When you start Forex trading you can begin with a paper t...

Forex Online Platform Trading - The Two Keys to Success in Forex
Perhaps you are just starting out in Forex. Maybe currency trading is something you have been doing for a while. Unless you are a very rich person as a result of trading this article can be a great help to you, I am convinced of that. See, I started ...

Forex Trader Mind 2
Forex trading can be a highly lucrative career for anyone to pursue. With the right knowledge of how this market behaves and what the main characteristics of Forex are you can be a profitable trader and have an income source not many people has explo...

Online Forex Trading Strategies
Forex trading is one of the money-earning activities that anyone can get into. Many people, some not even full-time or heavily experienced brokers, have gained a lot of profit from trading foreign currencies. And with the intensive use of information...

Forex Trading Education - How To Trade The Trend
If you haven't heard of the phrase "the trend is your friend", you're either new to trading, or have been living under a rock. Trend trading is one of the most popular methodologies used by most people today.What Is Trend Trading?As the name suggests...

Forex Trading Hours
Foreign Exchange (FOREX) Trading is the buying and selling of international currencies. Because the trading parties can come from every corner of the globe, there are various time differences that need to be taken into consideration when you engage i...

FX Currency Trading
Foreign Exchange trading, frequently known as FOREX is the largest and the most fluent financial market in the world. FOREX is the trading of different currencies all around the globe.FOREX trading can prove to be extremely beneficial to a range of p...

This entry was posted on Wednesday, July 16th, 2008 at 1:56 am and is filed under Forex Trading . You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.