by When I started my Forex journey, I had big dreams and financial goals, and to be honest, only a basic understanding of how Forex worked. Like most new traders, I thought I would be an overnight success. But I had one piece of advice that saved me from endless losses and solidified my mindset around trading forever:
“Trade only what you understand — not what you’ve just heard.”
This simple sentence shifted my thought process and created a basic structure for how I traded, and do today.
- My First Fault: Listening to Signals and Online Influence
Initially, I let people I had never met on social media and forums tell me what to trade with their signals. I was taking tips, rumors, and “secret strategies” from people I didn’t know.
Then I realised:
Anyone can give you a signal — that doesn’t make it good.
You have to see Forex as a rapidly changing, constantly `moving` market. You need analysis, discipline, and accountability – not noise.
- Teaching Before You Diving in: This is No Shortcut
After going through a bit of painful losses, I began to take a pause from live trading and committed to a month of learning:
- I studied technical analysis charts; trendlines; support and resistance.
- I studied risk management: risking no more than 1-2% of your capital per trade.
- I studied emotional discipline: trading on plan, not fear or greed.
This led to an additional powerful truth:
“Once you learn to lose carefully, you’ll start to win consistently“.
- Invest Wisely: Preserve Before You Prosper
Forex is not a place to gamble your hard-earned savings. It is a place to build a skill and grow gradually:
I started initially with a demo account to practice strategies.
Then I moved to a micro account, and a small amount of real money, to feel real pressure.
And above all: “Every trade is a lesson”. No matter what happens, win or lose, there is always something to learn.
- My Approach to Trading Today
Today, instead of looking at a chart and thinking “How much can I make??” I am asking myself:
- Which way is this market most likely to move?
- What caused it to move?
- When do I enter, and when do I exit?
This is the mindset of a good trader; calm, educated, and focused on the process, rather than focusing on the profit.
- Final Thoughts: That piece of advice set me on a new path
If you’re new to Forex or are experiencing a cycle of losses, take this advice on board:
“Smart Trading does not begin with charts. Smart Trading begins with understanding.”
Don’t chase profit! Study your mistakes; study yourself; trade with intention and not impulse; and for crying out loud, do not mess with what you do not understand!
Today, if I’m winning, it is not because I know everything, it is because I know what I don’t know, and I keep my distance from it until I had done the inner work.