The idea behind swing trading is pretty clear. First of all, you need to judge for yourself about whether your mindset is built for swing trading. Trading is as much about yourself as it is about trading as such. You need to find out a way of trading, a strategy that works for your personality.
It took me several years to understand this. I had a take a hard look about myself, who i was, what my mindset was, what kind of a person i am etc. and then had to slowly come up with a plan that worked for me. The first few years of my trading was spent coming up with a great plan but my personality did not suit it and so it went bust. Then i came up with a plan which suited my personality but the plan was bad and it went bust again. So, the key is find a good plan to suit your personality or come up with a good plan and then adjust your personality according to it. These are 2 totally different things.
Lets face it. Most of us start forex trading because we want more money....We want money and enjoy the good life. I started out the same way too. Most of the people who start this way are very impatient. They dont have a plan and they basically trade whatever they want to. And they are impatient. They quickly open and close trades so that they can make money or lose money quickly. They need instant results. But you seldom get good trading strategies in 1M or 15M timeframes. Of course, there would be a few but they are too few compared to thousands of failed strategies. So, to suit the mindset, they try to come up with strategies on 1M or 15M which invariably fail. So, here in this case, they did come up with a strategy to suit their mindset but the strategy was bad and bound to fail. This failure was due to 2 reasons. First, there simply arent enough good strategies on 1M and 15M timeframes and it takes a lot of effort and time to come up with a good one in those timeframes. Second, as a newbie, traders simply dont have the patience to follow the good ones that come by....(contd. in next post)
It took me several years to understand this. I had a take a hard look about myself, who i was, what my mindset was, what kind of a person i am etc. and then had to slowly come up with a plan that worked for me. The first few years of my trading was spent coming up with a great plan but my personality did not suit it and so it went bust. Then i came up with a plan which suited my personality but the plan was bad and it went bust again. So, the key is find a good plan to suit your personality or come up with a good plan and then adjust your personality according to it. These are 2 totally different things.
Lets face it. Most of us start forex trading because we want more money....We want money and enjoy the good life. I started out the same way too. Most of the people who start this way are very impatient. They dont have a plan and they basically trade whatever they want to. And they are impatient. They quickly open and close trades so that they can make money or lose money quickly. They need instant results. But you seldom get good trading strategies in 1M or 15M timeframes. Of course, there would be a few but they are too few compared to thousands of failed strategies. So, to suit the mindset, they try to come up with strategies on 1M or 15M which invariably fail. So, here in this case, they did come up with a strategy to suit their mindset but the strategy was bad and bound to fail. This failure was due to 2 reasons. First, there simply arent enough good strategies on 1M and 15M timeframes and it takes a lot of effort and time to come up with a good one in those timeframes. Second, as a newbie, traders simply dont have the patience to follow the good ones that come by....(contd. in next post)
