Podcast:

What Prevents Traders From Being Successful?

In this weekly video:

00:27 – 4 Live Webinars helping traders

01:12 - The Top 3 problems that traders have - #1 No Strategy

01:51 – How to create a strategy that works for you

02:37 – #2 Not understanding Money Management

03:37 – #3 Lack of time to trade

04:26 – Look at the close of a candle

05:00 – Trading D1 and W1 charts when I travel

05:25 – 1 Day Cyber Monday Sale on Monday 27th November – Register using the link below

I'm going to explain the top three problems that are preventing Forex traders from being profitable. Let's get into it right now.

Hi traders, Andrew Mitchem here, the Forex Trading Coach. Video, and podcast number 251. I thought it's such a beautiful day here, I would come outside and make a video.

4 Live Webinars helping traders

What I wanted to talk about today was the feedback that I received from a survey that I sent out recently to 35,000 Forex traders all around the world. Had a lot of replies back, and as a result of that, I've put together over the last two weeks, four live webinars. They're about one hour. Well, last night's one was about one and a half hours, because we had so much information to cover. I'll put a link to that last video below this video and podcast also, so you can go and watch that.

Also, on that webinar, I explained how I'd made a 3% gain, or just over a 3% gain in the last week on live account. I shared with the people on that webinar, some of the trades that I'd taken.

The Top 3 problems that traders have - #1 No Strategy

The important thing that I want to cover now, is to explain the top three problems that the people telling me that are preventing them being profitable.

Number one, was people do not have a strategy. As I said on the webinar, that's really concerning. There's all these thousands and thousands, hundreds of thousands of traders out there, small retail traders, putting hard earned cash into their Forex account, and most of you don't have a strategy that is proven that all of you even believe in yourself. That's really not good when you think about it.

How to create a strategy that works for you

I was explaining information about how to create a strategy that works for you, about how when I started trading, it took me four years of going around in circles before I really got somewhere. I stripped everything off my charts, I started with understanding candlesticks, and candle patterns. I mentioned that I just use five candle patterns right now in my trading today.

My trading style's not changed in the last 10 years, because it's profitable, and it works in all market conditions, or currency pairs, or time frames. It's really important that you have something like that as well, something that you know will work through all conditions. Very, very important. It's all well and good having something that works in trending markets, or range-bound markets, but you don't know when the market's going to do that. Understanding a strategy that works for you, is a vitally, vitally important.

#2 Not understanding Money Management

The second point that we talked about was the lack of understanding of money management position sizing. It's crucial, because you can have, as I explained in the webinar, a 90% winning system. A 90% win rate. I said to people, "Look, if you come to me with a 90% win rate, would you say you had a good system?" Most people were saying, "Yeah, of course. 90% is fantastic." Winning nine trades out of 10.

The problem is a 90% win rate doesn't actually mean that much if you do not understand money management correctly, because the problem that a lot of people have is that one trade that loses every so often, will wipe out all the gains they've just made, plus more. Understanding money management for getting pips, understanding small risk per trade, and high reward to risk was really important, so we'd covered that as well.