What has Forex trading got to do with gut feelings?
Sometimes ago I was reading a book by a Forex trader and after explaining her strategy she will finish with follow your gut feelings. She said you could not be wrong with that. I read another one that said you should not follow that at all. He said is a way of bringing disaster to your trading. Which one are we going to believe? I started researching and I found out one of them was wrong. What is gut feelings? It is that intuitive messenger in you that warn you of things to come. It is the inward knowing that something will happen. Some people call it intuition. Intuition accordion to Webster online dictionary means
1. Quick and ready insight
2. Immediate apprehension or cognition
3. Knowledge or conviction gained by intuition
4. The power or faculty of attaining to direct knowledge or cognition without evident rational thought and inference.
You just know it inwardly that is what I am saying. Some people call it urge. Some call it inward witness. Whatever you call it. It will help you in your trade. Let me make it clear to you. Have you ever been thinking of someone and a few minutes later he calls you on phone or he knocks on you door. This is what I am talking about. This is the gut feelings. It may happen to you when you are about to trade and you had the feelings that you should stay out of the market.
Or you had seen by your indicators that the market is going bullish and your intuition says it will be bearish. You go long and later it turns against you. Then you are saying but I have strong feelings that it will go down. It happened to me many times and I will not listen to my gut feelings and I will come out battered. When I began to understand this then I began to follow my intuition and I started making money.
I am a Forex trader who specializes in News Trading., I had a urge that the NFP of March will whipsaw on the currency I trade most GPD/USD. I then decrease my lot and at the same time trade EURO/USD. I lost 40 pips on GPD/USD while I made 20 pips on EURO/USD. I lost 20 pips on that day. If not for intuition I would have lost 40pips with high lot. In dollars translation I would have lost $1200 instead of $200. My intuition saved me $1000. Let us forget about myself let talk about known traders that rely on their gut feelings to trade.
Warren Buffet said that he always made sure his traders prayed whenever they were having meetings. He said they pray not because of anything, but that they should be able to have clear mind to trade. To me clear mind means they would be able to know inwardly what to do at any point in time.
Gorge Soros said he would never trade when his feelings is telling him otherwise. You should know he is one of the best traders in the world.
Felix Homogratus the owner of www.secretforexsociety.com wrote the member of his society to close their carry on trade they were doing on GPD/JPY. He said he saw in a dream a Japanese man waving some papers like yen to him. He interpreted it to mean the yen is gaining strength again. So majority that yielded to his instruction made money while the others lost. This is intuition through dreams. I don’t know how you sharpen you own intuitions I did my own through prayer. Let me end this article with this story.
I heard a story of how the gods were trying to hide the greatest secret of success from human beings. It is the gods’ believe that if it is given freely to humans they will not value it, so they called for suggestions. One of the gods said they should hide it in the deepest sea. This was rejected by the head saying he knows human, they would one day dig down and find it. Another suggested that they should hide it on the highest mountain and it was rejected because they believed humans will eventually climb the mountain and find it. A third suggested they hide it inside them.
This was received with applause. No human being will ever believe that all he needed to succeed is in life is within.
The moral of the story is this, what you need to succeed in Forex trading is right inside of you.
By : Yinka Taiwo - http://www.fxwinningteam.com/
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