Forex - Forex Trading - Currency Trading
  • Forex Brokers
    • Compare Forex Brokers
    • ECN/STP Forex Brokers
    • STP Forex Brokers
    • DMA/STP Forex Brokers
    • PAMM Forex Brokers
    • Metatrader 4 Forex Brokers
    • Metatrader 4 ECN Forex Brokers
    • Metatrader 5 Forex Brokers
    • Brokers With Free Forex Signals
    • Social Trading Forex Brokers
    • Bitcoin Brokers
    • Binary Options Brokers
    • NFA / CFTC US Forex Brokers
    • FSA UK Forex Brokers
    • Micro & Mini Forex Brokers
    • Forex Brokers For Scalping
    • Forex Brokers For Hedging
    • High Leverage Forex Brokers
    • Brokers With FX Managed Accounts
    • Forex Brokers With Free VPS
    • Gold,Silver & Oil Forex Brokers
    • Forex Brokers With Segregated Accounts
    • Brokers With Forex Demo Accounts
    • Best Forex Broker Bonuses
    • Forex Broker News
  •  
  • University
    • Online Forex Trading Course
    • Complete Forex Video Course
    • Forex Trading Tutorials
    • Learn How To Trade Currency Pairs
    • Candlestick Video Course
    • Forex Technical Indicators
    • Forex Chart Patterns
    • Forex Trading Tips
    • Metatrader 4 Tutorials
    • Metatrader 5 Tutorials
    • Free Trading Courses
    • Forex eBooks Collection
    • Forex Freebies
    • Forex Dictionary 
    • Forex Downloads
  •  
  • Trading Strategies & Systems
    • Simple Trading Strategies
    • Forex Breakout Trading Strategies
    • Price Action Forex Strategies
    • Elliott Wave Forex Strategies
    • Fibonacci Strategies
    • Fundamental Strategies
    • Trend Following Metatrader 4 Systems
    • Forex Scalping Metatrader 4 Systems
  •  
  • Articles
    • Technical Analysis
    • Forex Systems & Strategies
    • General Forex Knowledge
    • Forex Money Management
    • Trading Psychology
    • General Trading
    • Forex Trader Interviews
  • Tutorials
    • Trading Tutorials
    • Metatrader 4 Tutorials
  •  
  • MT4/5 Downloads
    • Metatrader 4 Indicators
    • Metatrader 5 Indicators
    • Metatrader 4 Expert Advisors
    • Metatrader 4 Systems
  •  
  • Products
    • FREE Forex Analyzer PRO
    • eToro Social Trading
    • Automated Forex Trading (ZuluTrade)
  •  
  • Charts
    • Real-Time Forex Charts
    • Real-Time Forex Rates
    • EUR/USD Forex Charts
    • GBP/USD Forex Charts
    • USD/CHF Forex Charts
    • USD/JPY Forex Charts
    • USD/CAD Forex Charts
    • AUD/USD Forex Charts
    • NZD/USD Forex Charts
    • EUR/JPY Forex Charts
    • GBP/JPY Forex Charts
    • EUR/GBP Forex Charts
    • EUR/AUD Forex Charts
    • EUR/CAD Forex Charts
    • AUD/JPY Forex Charts
    • CHF/JPY Forex Charts
    • EUR/CHF Forex Charts
    • GBP/CHF Forex Charts
    • USD/SEK Forex Charts
    • Gold (XAU/USD) Charts
    • WTI Crude Oil Charts
    • Silver (XAG/USD) Charts
  •  
  • Tools
    • Correlation Charts
    • Relative Strength Index
    • FX Performance Charts
    • Economic Calendar
    • Pivot Point Calculator
    • Forex Historical Data
    • Currency Converter
    • PIP Income Calculator
    • PIP Value Calculator
    • Risk Calculator
    • Fibonacci Calculator
    • Forex Income Calculator
    • Forex Risk Calculator
    • Banks Interest Rates
    • Movers and Shakers
    • Find A Forex Job
    • Forex Daily High/Low
    • World Clocks
  •  
  • $30 FREE
  •  
Bookmark and Share Print This Page   | Home > General Trading Knowledge Articles

Three Ways to Develop Your Trading

Written by Brett N. Steenbarger

A brokerage firm exec recently talked with me about the educational needs of new traders. What do new traders need to succeed? How can we improve upon the ratio of traders who succeed to those who blow out of their accounts within months?

When I wrote my recent book on trader performance, I researched various performance fields - including athletics, performing arts, and games of skill - to see how expert performers developed their skills. Based upon that research, here are three core activities that I believe should be part of every new trader's education:

  1. Simulation - A large body of research suggests that people learn complex patterns through intensive, repetitive exposure to those patterns. By watching markets in simulation mode - something available in such trading platforms as NeoTicker and Ninja Trader - traders can experience far more patterns than if they simply watch live action. The ability to replay live markets again and again accelerates the learning curve by enabling traders to internalize variations on patterns and common expectations following these.
  2. Metrics - Intensive practice and rapid, accurate feedback about the strengths and weaknesses of each practice activity seems to lie at the root of most skill development. By collecting data on our trading - metrics such as how much we make/lose, how much we draw down, how long we hold onto winning and losing trades, etc. - we obtain the feedback that enables us to learn from success and failure. Those metrics also provide goals for future practice and development. The above platforms provide basic metrics; more detailed reports are available through the Trader DNA software.
  3. Journaling - If simulation and metrics provide the raw data for our learning markets, journaling provides the overall learning plan. By keeping a regular trading journal, we can track our progress, set continuous goals, and build on our strengths. The journal pulls together the information from simulated trading and performance stats to create a learning plan. Note that online journals are becoming increasingly popular; a nice offering comes from Stock Tickr, which allows traders to selectively share journals with other traders for mutual mentoring.

What kind of patterns in the market should traders be looking for and learning? I recently have been conducting free sessions on my blog in which I track the market in real time for traders, highlighting important patterns that reflect supply and demand in the stock indices. My next session is scheduled for Tuesday AM, October 31st. There is no charge or registration and you can rest assured that I won't try to sell you any products or services, because I'm not in that business. The goal is simply to enable traders to read volume flows in the markets, understand *who* is dominating market action, and develop trade ideas based upon how the largest market participants are behaving.

Trading, ultimately, is a performance sport. My hope is that a structured program of practice, feedback, and reflection can help you become as good a performer as your talents and skills will permit. The blog sessions might be a way to get started by focusing on specific patterns you can track in your practice sessions.

Disclaimer: I am not commercially affiliated with any of the products or services mentioned in my articles; nor have firms solicited the mentioning of these products and services or compensated me for such mention.

Brett N. Steenbarger, Ph.D.

www.brettsteenbarger.com

INTERESTING FOREX SITES  
Free Forex Strategies & Systems
A collection of forex systems, indicators and strategies. 100% Free Download.
Download Free Forex Strategies and Top Rated Metatrader 4/5 Indicators
Download top rated forex strategies and best MT4/MT5 forex indicators.
Get Forex Analyzer PRO Forex System
Start trading with one of the best fx systems for profitable forex trading!

Back to general trading knowledge articles

Find Us On Facebook

Best Forex Trading Software

Pips Scalper PRO Trading System

Forex ANDREA Trend Reversal System

Profit Insider PRO Trading System


Home | Forex Newsletter | Site Map | Resourses | Forex Advertising | Forex Brokers | Forex Solo Ads | Contact Us
Any articles, systems, strategies, reviews, ratings, news, research, analyses, prices or other information contained on this website, by Aboutcurrency.com, its partners or contributors, is provided as general market commentary and does not constitute investment advice. Aboutcurrency.com will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.



Copyright © 2018 Aboutcurrency.com. All rights reserved.
By using this site, you agree to the Terms of Use and Privacy Policy .
Risk Disclosure: Trading forex on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.