Why do you trade?

Forex Goals

I was about to call it a week… but something came to my mind.

Sometimes putting things into perspective can help you see them from another angle. So I thought about an important question than can help you get better results…

Why do you trade?

Don’t answer because you want to make more money, because that’s not the correct answer.

Actually, you want to make more money because __________________

You need to fill in the line…

The reasons are different from trader to trader, some of them might be:

  • Because I want to spend more quality time with my family
  • Because I want to support other causes
  • Because I want to give my family and myself a better lifestyle
  • Because I want to trade and travel around the world

You name it.

Now, here is the trick…

Let’s do a little exercise, I want you to think in terms of your real goal alright.

Lets say you want to spend more quality time with your family…

Here is another question:

If you really want to spend quality time with your family (your main goal goes here), then:

Why do you rely on magical formulas that tell you when to trade the market?

If you really want to spend quality time with your family, then you need to use something objective, something you can rely on, a system that makes sense.

Why do you rely on other traders opinions?

You are not going to have other traders opinions forever, but you want to spend quality time with your family for ever right? So you need to learn to come up with your own trading ideas, study.

Why are you trading a system that you dont feel comfortable with?

If you really want to reach your main goals, you need to trade with a system you feel comfortable with, otherwise it will be impossible to trade with discipline, and if you dont trade with discipline, you will not get consistent results.

Why are you still trading the news announcements?

It made sense a few years back, but not any more. The market doesnt react the way it use to to important announcements, just develop a reliable system.

Why you never analyze the long term charts do determine which ones to trade?

If you analyze the long term charts, and trade only in that direction you will have higher chances of success on each trade. So you know what you need to know.

Why you never adapt to the market conditions?

The market is always different, it might look the same, but it isnt. Therefore you need to be able to adapt to the market conditions and trade accordingly. You cant trade in the same way every single day, ADAPT.

Why you dont care about your exits?

Exits are more important than your entries, at the end they will determine how well or bad you did with your trade. So give some thought about them.

Why you never manage your trades?

Every single trade is an opportunity to either: win more if the market moves on your favor.

There are other questions that you need to ask yourself.

But the main goal of this exercise is to put your real goals as a perspective, think about them. And if you really want to achieve them, you know exactly what you need to do.

Your Turn

What are your real goals? Have you put them into perspective yet?

Its finally Friday, how did you do this week?

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Raul Lopez

I've been trading the markets for more than 15 years. I believe the best way to trade is by adapting to the market conditions. You can learn it too, join our community .

  • Chad Hogan

    I trade primarily because Im forced to work away from home as there isnt much employment where I live. I also trade because I find it personally challenging on a lot of levels. My plan is to trade full time so I dont have to answer to employers and I can pursue the things in life that are really important, instead of my current work consumed life. I took two losses this week due to impatience.I believe the losses I take reflect my emotional state when trading. I also think the key to trading is discipline, discipline and discipline!! Thanks for the thought invigorating questions Raul.

    • Raul Lopez

      You are right… trading is very challenging, but against what most traders think, its not a challenge against the market, but against ourselves: patience, discipline, emotions, etc.

      I wish you good luck with your main goal… now you have to think in terms of your goals and ask yourself the questions above :)

      Thanks for your comments!

      • Chad Hogan

        I think I understand your questions now more clearly. The decisions I make when trading must be made with the conviction that I am trying my best to make my dreams a reality.Thanks Raul, I now take my trading more seriously..

        • Raul Lopez

          good luck Chad!

  • Azlan Abdullah

    The reason is… all the above.. lol… yes Raul.. you’re 110% right.. I’ve been reading and following your articles.. honestly, your email is what i always been waiting for.. Your articles are always well said and interpreted.. really loves reading your articles.. why i do not have such point of view like yours??.. everytime you post an article like trading opportunities, you plot support and resistance, i said to myself why i didn’t see that??.. since i subscribe to your article.. im trying to analyse market like you do.. everything seems simple.. but still unable to do it like yours… and will keep learning.. anyway, thank you for your articles and free ebook.. and really appreciate what you have done…

    Ps:sorry for my poor english…:)

    • Raul Lopez

      Thank you for your comments Azlan, and I’m glad you liked this one :)

      Let me know if you have any question!

  • Ramzan Ali

    Sir 100% right its my story you wrote :) i realy like your trading style :) i want to course but sir your course is so expensive for me :) at this time .. i lost thousand of $$$ . sir can you guide me away to learn just like you trade the market .. i realy thanks for that

    • Raul Lopez

      Sure Ramzan… keep reading my blog and let me know if you have any question…

      Cheers,

  • Dhiraj Gogoi

    Right.Simple Living High Thinking…

    • Raul Lopez

      Cheers Dhiraj,