The major hindrance on the path of becoming a successful currency trader is the mentality of a trader. You may be a highly trained currency trader and are able to make most profitable methods and strategies. But you cannot attain the expected result if you do not have the right mentality. You may be highly talented and educated. However, if you want to become a successful trader, you must have a proper mental attitude.

Why you fail in Currency Trading?

Nature structured human brain in a completely different way. Only a few elite professional traders can make investment decisions on the basis of their education, experience and research. All the others are guided by basic human emotions, such as greed, fear, and hope. If you want to become a successful trader, you must reprogram yourself and should make your brain capable to cope with all emotional hurdles. This is indispensable for becoming a profitable trader or investor. If you are able to defeat these biggest enemies, you can attain long-term success in currency trading market.

'Why Most People can Never be a Currency Trader' may be your biggest question, when you are planning to enter in financial market. If the mind of a trader is a go-down of lots of lethal or dangerous sins, he/she will be a failure in this market. Some of such dangerous sins, which are rooted from the mentality of a trader, are discussed below.

Fear

Fear is one of the strongest emotions of human and it prevents a person from thinking clearly. A person under fear takes only panic-driven action. If you are facing a dangerous situation, fear and the other such emotions are highly helpful for running away from dangers and protecting your loved ones. People also do impossible things under such circumstances. However, trading situations are highly different and complicated. Panic and fear will be the worst advisors in investment and trading. Here, your thinking must be clear and you should make calculated moves on the basis of your professional education, years of training and experience. There are lots of faces for fear, fear of missing the next great move in bull market, fear of loss, etc. Fear will never be a good advisor in trading. Even highly educated and very smart people can make bad investment decisions under the influence of fear.

Greed

Everybody wants to make more money and the financial market is constructed on the basis of this foundation. With an objective to make profit in future, you are making investment in present time. You can find lots of extremely safe investment vehicles. However, return from them will be very minimal. Returns from currency trading are extremely high, but they are very risky. When you are motivated by greed, you just think about returns and neglect the risks. As a result, this emotion create biggest roadblock on your path of success. Greed instigates you to buy at the top because you will not be satisfied with the profit you have already made. People who are guided by greed will not wait for the next possible opportunity. Even if the market is on the brink of breaking down, they invest more money for making higher profits. Lots of people lose their fortunes in such a way.

Hope

Hope is the other strong human emotion and it is the panacea for facing difficult situations in your life. The mankind could traverse even the darkest days in their life because of the hope for a better future. Thomas Edison could invent the prototype of light bulb just because of hope. If he didn't have hope, he wouldn't have conducted experiment for ten thousand times to invent his great finding. However, hope is a worst advisor in the field of investment and trading. Millions of investors around the world keep worthless papers with the hope that they can gain huge money someday in future. However, this will never happen in most cases. Definitely there are expectations. If the investors act wisely when the price start to decline, they can keep unhurt in the financial market.

Ignoring Attitude

Currency trading is a very serious profession and business. However, there is a tendency for beginners to ignore this fact. Most beginners are reluctant to invest time, effort, and money to learn this profession. They are also not ready to make reasonable effort to learn about the market. So, they will be unaware about the things, which are waiting for them. This ignoring attitude lands them in great troubles.

Impatience

People who enter in currency trading expect huge profit from the beginning itself. But it may take several months or years to become a master in currency trading. You can become a successful currency trader if you acquire lots of knowledge and practical experience.

Need of Safety

Constant alert for potential dangers is highly stressful and it may lead you in physical and mental illness. In order to lead a healthy and balanced life, you must have a feel of safety. However, feeling of safety is not good in trading and investment. This feeling may inspire you to take bad investment decisions.

If you are lucky, you can make huge money through currency trading. However, you must be disciplined to make money consistently for long period. Do not fear even if you fail in the beginning. Today's most successful currency traders started their trading career by losing their entire money. However, they were aware about the ways to come back from a failure. A majority of people, who lose money in currency trading, become discouraged, depressed and they give up trading immediately. In the beginning, you will lose your money. But you should learn from your failures. You should also try to find out the root cause of your failure.

You should change your way of thinking and should respect the basic rules of currency trading. Forex trading is highly lucrative and it is the great way of earning recognition and becoming a professional money manager. In order to achieve all your objectives, you should read and understand all these pitfalls and rules carefully and should apply them in your forex trading career. Your greatest enemy is your emotions, so just follow the rules and control your emotions, you can become a successful forex trader and can make consistent profit.