All forex traders aspire for success in their performance and trades. But despite planning the perfect strategy, there is always the possibility of negative personal traits to develop. Oftentimes, the stress and anxiety from the volatile forex market can cause bad habits. In the long run, these negative personal traits can affect trading psychology and limit forex trade growth. To be successful in forex trading, learn to acquire positive habits and practice effective work ethics to drive a growth-oriented career.
The importance of growth and good habits in forex trading
Negative personal traits can influence the progress of a forex trading career. For successful results in forex trade, it is important to encourage optimization and get rid of bad habits that limit personal growth. Instead of having a negative outlook, create a more positive trading environment that will inspire winning habits. Here are the benefits of growth and good habits in forex trading:
- Encourages long-term success and profitable trades
- Strengthens current systems for better results
- Exploring growth allows you to see opportunities instead of misfortune
- Optimizes performance and skills in trading
- Builds better forex trading character especially during challenging trades
Success stories show that constant self-improvement can enhance trading character and optimize systems. To be able to become a better trader, it is crucial to get rid of negative personal traits that could hinder growth. While the effects of a single mistake can easily be corrected, repetition of any bad habit can eventually lead to greater anxiety and more challenging trades. If these negative personal traits continue, it could lead to trading losses and weak mental health. Because of this, it is important to know which negative traits to avoid.
Negative personal traits to avoid
Because of the monetary risks involved in forex trading, constant failure can sometimes lead into an unhealthy mindset. This way of thinking may eventually form into a negative personal trait that could affect forex trading. Negative personal traits ultimately limit career growth and personal development. For a profitable and enjoyable forex trading experience, here are top negative personal traits to watch out for:
Having a defeatist attitude
- Being too hard on yourself
- Constant negative self-talk
- Overwhelming fear of losses
Having a defeatist attitude is a negative personal trait that greatly limits growth. Though it is normal to be cautious, it is also damaging to ignore and avoid failure. Oftentimes, trading losses can often leave a more significant impact compared to gains. Because of this, most forex traders can feel so overwhelmed and fearful that it paralyzes trading activities. In the long run, having a defeatist attitude will hinder personal development and cause extreme anxiety.
Being too hard on yourself is a bad habit that all forex traders should learn how to overcome. Talent Develop shares that low self-concept and feelings of inferiority can be alleviated through proper self-evaluating. By taking an honest look at how you perceive yourself, you can start fresh. Instead of negative self-talk, become a better trader and learn The Logic Behind Reevaluating Trading Failure. Practicing a more positive way of thinking develops better character that will eventually turn into more profitable trades. Once mastered, overcoming a defeatist attitude will allow forex traders to better foresee losses and minimize risks.
Being too money-minded
- Impulse decision making
- Belief that success is entirely about profit
- Small gains become irrelevant
Earning from forex trade is a great source of inspiration for hard work and productivity. Especially in the beginning of a forex trading career, being profit-oriented is a good trait to drive better strategies and boost performance. It also gives a rewarding feeling of accomplishment. Though this is a great motivation tool to start with, any excessive desire for profit can overpower most traders to make irrational decisions.
Being too money-minded becomes a negative personal trait when it clouds judgement and decision making. Although it beneficial to have a strong mindset towards making money, it also brings traders close to that fine line between opportunity and impulse decision making. Because of this, it is crucial to practice discipline together with the drive for financial success.
Effects of being too money-minded:
- Disregard of initial calculated strategy
- Lack of discipline when looking at market conditions
- Loss of focus
- Increased chances of trading with emotions
- Not having control over actions during an execution
- Possibility of forming into greed
In a changeable forex market, traders may struggle in staying profitable. By focusing on optimization rather than the monetary rewards, you can plan a better strategy. You can make better decisions without letting the pressure of profit affect your way of thinking.
Setting unrealistic expectations
- Forex trading goals are not backed up with thorough research
- There is a strong need to control everything
- Perfection is always the goal
When you are at the beginning of your forex trading journey, setting high standards is a positive way to start. In fact, setting high expectations can promote better calculated strategies, diligence and mastering of skills. But like all endeavors, there has to be a realistic direction and system for success. With all the challenges and possible setbacks, all expectations should be supported by forex education and plenty of research.
Setting unrealistic expectations can eventually strain a forex trading career. Over time, this negative trait that can do more harm. Affecting both physical and mental wellbeing, setting unrealistic expectations can shape the way you react to the different challenges of the business. It can determine your reality and outlook for every trading activity. Because of this, it is important to be careful of your trading expectations. Here are the best ways to set realistic forex trading goals:
- Do your research through online forums, websites or mentors.
- Note everything down in an organized list.
- Set both short term and long term goals
- Create a realistic timeline.
- Track progress and practice measuring successful activity
Becoming too anxious and fearful
- Unwilling to apply new strategies despite positive calculations
- Uncontrollable expectation to fail in every activity
- High anxiety under pressure
Being too anxious and fearful is a common struggle in forex trading. In most forums and discussions, there are plenty of traders experiencing high anxiety. You will also find that many have overcome this negative personal trait. If untreated, being too anxious can be a self-disrupting habit that could put mental health at risk.
Everybody deals with stress and anxiety through different methods and at their own pace. For busy traders, one of the best ways to lessen anxiety is to take control of your mindset. Author and keynote speaker, Charlie Hoehn talks about how self-criticism and overworking controlled his way of life. Once he was able to change his point of view about work and personal time, his anxiety levels slowly began to decrease.
“I was so critical of how I was living my life that I couldn’t be in the moment. Getting out of that mentality saved me.” Charlie Hoehn
In every forex trading activity, being too anxious and fearful is a negative personal trait that can control your thought process. To lower anxiety and stress, you must practice trading without emotion and rely on the efficiency of your calculated strategy. After comprehensive planning and practice, you must believe that you are going to succeed.
- No desire to improve or optimize
- Too apprehensive about trying new strategies
- No interest in further forex education
Being too complacent is a negative personal trait that limits forex trading growth. Feeling too comfortable in your current systems can often lead to becoming complacent in your forex trading performance. With the fast-paced market, this is a negative personal trait that can be detrimental to any career. To avoid accepting complacency, keep an eye on your performance and motivate yourself to achieve more out of forex trading.
Dangers of complacency:
- You limit enhancing your forex trading skills
- There is a possibility of becoming less adaptable
- You hinder yourself from refining methods for improvement
- Without the desire to improve, you will not be up to date in the forex industry
- The opportunities and advantages of new technologies will be lost
For long-term success in forex trade, it is important to optimize and avoid complacency. To start, study your current strategy and see where you would need to optimize. After research and tests, make sure to track any progress from recent changes.
Unwilling to do the work
- Lack of motivation to do extra work
- Busy but never really productive
- Never overcoming roadblocks towards a task
“Genius is 1% talent and 99% hard work.” – Albert Einstein
Lack of hard work and productivity can directly affect the results of trading performance. A forex trader who does not go the extra mile to learn or optimize is in danger of having a short career in forex trading. Whether during research or forex education, the success of a trading session is determined by the amount of work behind every move. Dan Waldschmidt shares that success is a way of life and a mindset. To become successful, Dan points out that there is no shortcut or easy route when reaching any goal in life. If you find yourself suddenly unwilling to do the work, take time to find the cause and get back into a productive trading mindset.
Do you feel overworked lately? Are you experiencing mental or physical fatigue? Are you allowing any negativity to predetermine your state of mind?
There will always be trading losses and challenges in forex trade. In a demanding environment like forex trade, the key to ensure hard work is to take care of physical and mental health. When you take care of your body and well being, you can find more motivation and energy to move forward.
Trading psychology and negative personal traits
Negative personal traits in forex trading is cultivated from trading psychology. A trader’s unhealthy mindset towards the daily activities of the job can lead to careless choices and negative personal traits. At the end of the day, most of these traits come from the need to cope and overcome trading scenarios. Because of this, it is vital to address your current trading psychology and avoid negative personal traits to optimize your performance.
To keep a healthy trading psychology, forex traders should think more logically. When making decisions or facing challenges, the key to minimizing negative personal traits is to rely on your strategy and take the more logical approach. Instead of thinking with emotions, take advantage of market mechanisms and forex knowledge.
Turn negative personal traits into positive habits!
To attain an efficient trading mindset, it is crucial to keep an eye on disruptive personal traits. With the performance-driven nature of forex trading, do not wait for negative personal traits to affect growth. If you find yourself experiencing one of these negative personal traits, be proactive and create a plan to overcome them. By focusing on self-awareness and self-improvement, you can turn negative personal traits into valuable habits.