common mistake we must avoid in fx trading

a trading plan should include weekly, monthly and quarterly pip targets, the maximum amount of capital a trader is willing to lose in a given week,....

........Trading plans don’t need to be overly complicated, but they do need to be created and followed......
.

A trader should know exactly what he or she is looking for, how much they are willing to risk, and how much they are looking to make.......

A trading plan is essential for trading success. Sticking to that trading plan is equally important..Sometimes sticking to a trading plan will mean passing on trades,...

Lots of new traders prefer smaller time frames, like the five minute and fifteen minute charts, because those time frames have more movement, more setups, and more trades than the slower, longer term charts....

Unfortunately for those new traders, those slower, longer term charts will nearly always trump the shorter timeframes.....

Often, traders will see a picture perfect setup on a 15m minute chart, only to have it suddenly go against them for no discernible reason, stopping them out in the process....

Many times, this reversal could have been easily anticipated by looking at the four hour or daily chart for a key moving average, Fibonacci level, trend line or horizontal support or resistance....

These higher time frames will nearly always trump their shorter counterparts, and traders should always be aware of larger time frames when placing a trade.....

Before taking a trade, look at the pair you’re trading in a number of different time frames to see what levels are important........

......A classic example of this classic mistake is currently ongoing, as the financial crisis in Europe drags on,............

Traders will often also claim that any strength in the S&P 500 doesn’t make any sense, or is “wrong” because the American economy is allegedly weak......

The market, however, is never right or wrong – it simply is. If a trader is losing money trading a particular currency or stock, then that trader is wrong, not the market.......

Traders must remember that the market will do what it is going to do, regardless of whether or not it makes “sense” to you as a trader......

Trade what the market is doing, not what you think the market should be doing. always work according to market.......