In my opinion, a retail trader experience different kind of fear while trading forex. So it is important for a trader to identify what actually he/she is afraid of:
1) Are u afraid of losing money
2) Are u afraid of losing because it will hurt your ego
3) Are u afraid because you are not confident about your strategy
4) Any other reasons beside above
The answer to 1 & 2 is, as a trader you have to accept that losses would occur and even the best of traders lose and it's a probabilities game and the outcome of a single trade doesn't matter in the long run. Once you understand this the next losing trade would be much easier to take.
For example if you are risking 1% of your capital and you are disciplined enough to not widen your stop loss once a trade is triggered just to avoid a loss, you know that maximum you can lose on a single trade is 1% of your capital and it will take 100 consecutive losing trade to wipe out your capital, which is a very unlikely scenario and unless you are a complete crap trader trading with no edge or tested strategy.
The answer to # 3 is try to understand the methodology of your strategy, do back testing & forward testing, save hundreds of charts examples, looked at them again and again trying to solve those puzzles, one by one and making small improvements every day.
1) Are u afraid of losing money
2) Are u afraid of losing because it will hurt your ego
3) Are u afraid because you are not confident about your strategy
4) Any other reasons beside above
The answer to 1 & 2 is, as a trader you have to accept that losses would occur and even the best of traders lose and it's a probabilities game and the outcome of a single trade doesn't matter in the long run. Once you understand this the next losing trade would be much easier to take.
For example if you are risking 1% of your capital and you are disciplined enough to not widen your stop loss once a trade is triggered just to avoid a loss, you know that maximum you can lose on a single trade is 1% of your capital and it will take 100 consecutive losing trade to wipe out your capital, which is a very unlikely scenario and unless you are a complete crap trader trading with no edge or tested strategy.
The answer to # 3 is try to understand the methodology of your strategy, do back testing & forward testing, save hundreds of charts examples, looked at them again and again trying to solve those puzzles, one by one and making small improvements every day.
