Each successful trader has their own unique set of traits. However, there are some common characteristics or habits that you will find in nearly all professional Australian forex traders. By adopting some of these traits, you too can be a successful Australian forex trader.
Here are the top seven traits that you will find in most successful Australian forex traders:
A Professional Mindset
Professional traders regularly read trading related information and keep themselves updated on the latest news and macroeconomic data relevant to their trading. So just by reading this article, you are already ahead of some (but not all) professional traders. Successful traders also work hard to improve their technical and fundamental analysis skills and learn about the different types of market sentiment, such as fear and greed. None of these tasks are quick or easy, but they must be done if you want to be a long term successful trader.
Money Management Skills
Money management is vital if you want to be a successful Australian forex trader. Professionals know that they must not risk more than 2% of their account on any one trade, and they practise this rule rigorously with every trade they make. They also keep close track of how much money is in their trading accounts at all times (so they do not fall into the common mistake of overtrading). If you are predisposed to put in the work now by learning solid money management skills, then you will reap the rewards later when you have mastered the art of trading.
Discipline
Successful traders treat each trade as a business transaction and never deviate from their trading plan, regardless of how tempting it may be. They know that their trading plan is designed to give them the best chance of success in any market conditions, and they stick to it religiously. This requires a high level of self-discipline but is well worth the effort in the long run.
Patience
Professional traders are very patient and only enter a trade if all the conditions are right for that particular trade setup. They know that price action can often take weeks or even months to play out, so they are prepared to wait for the right opportunity rather than forcing a trade just to “get in on the action”. This patience often pays off in profitable trades taken at more favourable prices.
Focus
The successful Australian forex trader is focused on what they are doing at all times. This often means taking breaks when necessary, but it does not mean constantly switching windows in the background to chat with other traders or unrelated surf websites. A successful trader works intensely for around 2 hours at a time before they take a break to eat, relax and recharge their batteries before coming back focused and ready to trade again.
Education
Professional traders continually educate themselves about the markets to grow their knowledge base and stay ahead of the curve when trading different currency pairs. They do this through reading books, magazines, using the right tools and attending seminars/conferences where they learn from many of the world’s top traders. By doing the same, you can gain an edge on the competition and improve your chances of becoming a successful Australian forex trader. You can find this information here.
Risk Aversion
One of the main reasons professional traders are successful is that they are risk-averse. This means that they only take risks when it is indispensable, and they always have a plan B in place if their original trade plan does not work out. This allows them to stay in the market for extended periods and improves their overall trading performance.
So there you have it, the seven traits you will find in most successful Australian forex traders. If you can adopt some or all of these traits into your own trading, then you too can be a successful trader.