Do not just lose money on the live account – learn from your mistakes
Do you remember the situation when you were very confident in the trades you were opening and then eventually they were closed by stop loss? Then you analyzed those trades and couldn’t understand how could you make so horrible mistakes. And you know what was even more frustrating? It was definitely not the loss itself because it is OK to lose from time to time on Forex. The worst thing that happened was the following:
you did not stick to your trading rules. You knew exactly what to do; you analyzed the market beforehand and jotted down the plan, a good plan. When the moment has come, you threw that piece of paper into the trash and began to trade influenced with emotions, not the common sense.
How to stop acting like a gambler and to become a trader?
What if you could shoot the video of all your trading? Of course, you can make use of the camera or any program that captures the screen but this method is not that convenient. As an alternative, you can shoot the video in your MT4, then export it into Forex Tester and replay those trades. This approach has 2 tremendously important benefits:
There are tons of things that you can discover about yourself as a trader. And the Statement Processor is a wonderful tool that shows you the way to improve your style.
Becoming aware of your mistakes partially solves them. After replaying of the file within Forex Tester’s
Statement Processor, you can discover a lot of interesting things about your trading style.
- You might find out that you tend to increase the value of the stop loss every time the price moves against your position.
- You can discover that you move your trade to breakeven too early and that is why it is closed with stop loss and a zero profit (and then still goes to the direction that you forecasted).
- You might see that you always make your take profits’ values smaller while being in the profitable trade because you are afraid that the market will go backwards and destroy all of your profit.
- It may be just the other way round: you increase the take profit while holding the profitable position until the market finally changes direction and “eats” all of your pips.
- Now, when there are no emotions involved, you can delete the trades that were opened against your
trading system’s rules and make everything right.
Where to find this option in Forex Tester?
- Run your Forex Tester.
- Go to the “Tools → Strategies list”.
- Click on the “Statement Processor” checkbox.
- Double click on the “StatementProcessor” string.
- Click on the “Browse” button.
- Choose the MT4 file in .htm or .html format.