While profitable investment in the forex market is reliant on commitment to the market, to trade successfully, your forex strategies will require continuous refinement through awareness of the wider contextual factors. This 24/5 working life of a forex trader can mean an exciting and potentially profitable lifestyle with the right know-how.
Today, the trading experts over at Learn to Trade are discussing what it takes to succeed in this competitive and challenging industry by taking a look at a typical day in the life of a forex trader. So, let us introduce you to Freddie the forex trader, who will inspire you to learn to trade forex the right way.
A bright and early start
Freddie begins his day at 6.30 AM (GMT) with a nutritious breakfast – after all, a healthy body and mind is imperative to his success in forex investing. Freddie is aware that he needs to have a sharp focus, fast mathematical skills and logical reactions, so starts his day by giving himself the best start possible.
Freddie avoids checking the forex trading signals first thing in the morning, as he understands it’s important to take time away from the 24/5 market throughout the week. However, he catches up with the latest in current affairs by reading the paper over breakfast, particularly taking note of any geopolitical issues which may affect currency values and, consequently, his trades. This way, Freddie is prepared for the day ahead.
The working day
Freddie has investments in a few of the major pairings, with the pound being his most common base currency. So, he knows that his primary trading hours are during the British working day, and plans his own day accordingly.
Freddie turns his attention to the market for the first time, checking any open trades from the previous day and adjusting his trading strategies to reflect the previous day’s results. Using a trading journal, Freddie keeps a record of all relevant information and statistics.
The English pound begins to see an increase in trades as the clocks strike 9AM across the UK, so Freddie gets down to business, knowing the market is most volatile at this time. He checks the latest forex trading signals looking for his edge in the market, while analysing risk-reward parameters. Finally, it’s time for Freddie to begin setting up trades he believes to be profitable through his experience, knowledge and forex trading strategies.
The night
Freddie removes himself from the market once a trade closes. He knows that, regardless of whether his trade made a profit or a loss, a successive trade would be influenced by emotion. So, his clarity of judgement and the logistical process would be altered, which could impact the profitability of his investments.
Instead, he spends time with his family, checking the forex trading signals once more before bed to ensure there have been no drastic changes to the market. Each weekend, Freddie takes some time to go through his notes from the previous week and notes where he could improve. During non-trading hours, Freddie takes his time to practise these specific problems in a demo account to advance his skill set. After all, when it comes to trading, the more experience Freddie has, the better his reactions will be and the more likely his actions are to pay off during trading times. Using this disciplined timetable, he still has lots of time to focus on other interests, meaning he can maintain a great work-life balance.
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The life of a day trader is exciting – a life lived on the edge as unexpected events or trading results can occur on any given day. Whether forex trading is completely new to you or you have experience but are interested in progressing to become a day trader, we hope Freddie has inspired you to take the necessary leap to make forex your primary means of business.
Author bio:
John James is a content writer for Learn To Trade, the foreign exchange education and learning specialists – offering a range of training courses to help people understand the currency trading market, as well as its opportunities and risks.
