Your Trading Edge

It means you have a Trading Edge! The biggest question is your trading edge profitable? But what is a profitable trading edge? Before we get into detail, developing your trading edge is utmost important. You develop the foundations of success in forex trading because it the cornerstone to all successful trading methods, but more importantly, all trading mindsets. So, what is a profitable trading edge?

A profitable trading edge is what successful and profitable traders use to their advantage, in the market, to make money. It comes from a series of rules and systems aka your trading strategy, that tells when and how to trade based on the scenario you as a trader sees in front of them. 

Your trading edge develops over time through many trades just not one or two or three trades. I like to use baseball as a reference. You take 1,000 at bats (1,000 trades) and you strike out 650 of those at bats (lose 650 trades), but the other 350 at bats you hit home runs (win 350 trades). This gives you a batting average of .350 and by baseball standards that is Hall of Famer stats. In Forex, you are winning slightly better than 1 out of every 3 trades. 

The point of that example is that YOU WILL HAVE LOSSES, but can still be a great trader in the forex market. Losses are part of the game and part of your trading edge. You know that you have an edge in the market and through taking enough trades, you will eventually make a profit. There is more involved with risk, stop-losses, take-profits, and lot sizes, but that will get covered in a later post. 

So, stop focusing on the present moment. Yes, it is important to focus on the trades you take and making sure that each trade meets your rules for taking the trade, but what I mean is that you need to change your mindset. It is important to realize that your edge is built over many trades just not a few because you don’t know if you have four losses coming up next or seven wins. All you know is that you have an EDGE over the market, and overtime, through enough trades, your account balance will profitably grow. 

You want to keep your mindset built on being a great trader with profitable trading edge. In order to accomplish this, you must understand that your trading edge works and through enough trades without breaking rules, you are able to produce a profit. So, when you lose three trades in a row, DON’T break your rules! Rely on your foundations, stick to the rules, and understand that your profitable trading edge is developed over many trades not just a few. And just like baseball players keep practicing and training to get better and increase their stats in a positive way; you as a trader must do the same with reviewing your trades to correct and improve your strategy over time to increase your winning percentage and account size! 

If you find yourself looking for a profitable trading edge, or just trying to figure out where to start, then come over to Prosperity Forex and let us guide you. Our strategy has an EDGE in the market and we are not perfect, but through enough trades, we have a produced solid gains and minimized our losses. There is no perfect time to join, but rather the perfect time is when YOU want to succeed so badly and see the results of your hard work tom to Fruition. PFX has a simple, easy, and profitable system to learn and implement. Click here if you are ready to level up in your trading and life!