Forex Wahala

After many days of reading and researching Forex manual, i downloaded North Finance Trading platform on my Acer. After playing around with it, i felt i had the confidence to start trading. So i started a demotrading account with $3000. Since i am a fanatic of fundamental news( Am i the only one that hate technicals), i went to a nearby cybercafe to trade the 2.30am Australian Currency Retail sales News.

After having my dinner at a nearby restaurant, i logged on to the internet, and browsed until 2.25am. As i have practised entering and exiting a trade over and over again, i tried entering a long position by buying the EUR/AUD. At exactly, 2.30am, i noticed the market shut upwards, and it increased by 50 pips. Since that will be my second proper Fundamental analysis trading, i got a bit nervous.

At exactly 2.30, i lost my control, i tried entering position but my trading platform got wary. I guess there were loads of variations with the stop loss, take profit that the trading platform was just returning "Invalid parameter's set". After so much persistence and manipulating of the prices, i entered the market at the peak at exactly 2.32am. After another 30 seconds, i noticed the market was going back in a downtrend, and i was loosing terrifically.

To avoid further loss, i exit the trade. After considerable analysis, i concluded that there are quite many issues pertaining to it.

I summarised the lessons i learnt below:

1. Never allow your emotion rule your Strategy; If you allow it, as a new investor, you may lose your confidence, hence loosing more money.

2. Demotrade for at least 2 months: I'll say again, the reason most people lose money is because they want to start earning in a hurry

3. Make sure you perfect your strategy before trading with your money

4. Learn to use your trading platform properly; If you want to avoid getting burnt, you must..i repeat, you must be used to your trading software.

I'll say that i enjoy trading the news. Infact, i even go to the extent of using reuters.com to determine the type of news and also to listen what the news is all about. That makes the difference between a smart investor and a lazy one.

As for me, i have to go back to the drawing board, and perfect my trading strategies. I believe in persistency and i know it will help me reach my goal of being a successful trader quite quickly.