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  1. #1
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    Decision making skills for trader

    I’ve decided to make article using ideas from my last webinar «Decision making skills for trader». If traders ask what to develop in their trading, I would answer – develop your decision making skills, skills to perceive and process information e.t.c
    We forget that trading is an art, not a science, and like any art, it should be mastered. And too often we forget that trader first and foremost is a decision maker.

    What process of generating effective decision consists of?

    1. Collecting information

    Most of the time we don’t see the market, we see our projections, in other words – we don’t see things (market) as they are, we see things as we are. First, of all, we tend to be very filtering – pieces of information that don’t suit our beliefs and core convictions, are simply undervalued (if not rejected at all). Second, we tend to be superficial in our observations. Ability to observe is what we really lack.

    What is the cure? How can we be less filtering?

    We should train ourselves to think «outside the box» - to generate creative ideas instead of simply repeating old «mantras». You may oppose me saying that «there’s not too much space for creativity in trading». Yes, most of the time trading is about acting upon your plan and it can be boring enough. We should be rigid with our risk management. But in a process of trade selection, in a process of generating trading hypothesis, we can be flexible, we observe, we perceive and we generate idea… well, trading idea, of course.


    2. Recognizing patterns

    That’s really what most traders fail to do. I mean what I’m saying – it’s not difficult to draw a trend line, to spot a triangle or double top/bottom, but what is really difficult is to put everything in a context and understand – what is really going on. And it’s not actually about understanding – it’s about seeing. Some traders see good patterns, some don’t. Why?

    Most traders try to recognize patterns doing analytical work – they divide complex picture (chart) on several small parts (candlesticks) and apply formal logic trying to capture relationships between those parts. How do you think – why candlestick analysis has become so popular? Because it suits tendency of human mind to divide and split information, when we see something complex, we tend to immediately split it into pieces and try to figure out – how do those pieces relate to each other? Maybe, it’s a 1.618 principle? Or maybe we can connect dots with lines? Or, maybe, we can build fancy figures with those dots?

    Remember the impressionism art. Nothing was really visible until viewer has made several steps away. Hidden picture now was visible. The same is in pattern recognition – wherever you try to find it – it trading, in deciphering anything or solving a task. Until you are ready to change your view, to concentrate on big picture rather than on nuances, you will not be able to really see a good pattern.

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  2. #11
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    every time you execute your trade you have to be very specific while taking the decision.You need to very smart and use all your knowledge while taking further steps.Use of good analysis to predict the trend is very much important to make you the successful trader.

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  3. #12
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    decision making is a very important and one of the major fact of trading.you will see that the market is moving very fast.that time is very risky and profitable also if you can get those pips.but you have the ability to take very fast decision.every single second will affect your trade this time.

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  4. #13
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    Before we know how to make our position we have to make analyzing on our chart with just collect all information that we needed then we have to recognize some candle stick pattern or level of price that happened on chart, after all we can make decision to buy order or sell order.

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  5. #14
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    Above all in the forex trading business, i must admits that this is most challenging thing for the traders, if you have gotten it wrong, then it is wrong really, except that the money management that you do could help you to save some mess-up on this, it is very challenging and it s better that you are careful when learning for trading systems.

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  6. #15
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    a new trader can improve his trading skills from his experience of real trading. He will understand if there are change required in his trading style or trading pattern. New trader should learn from every single trade they made. Because there are lot of things to learn from every trade.

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  7. #16
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    collecting information with the works by the manage with the analytics and evaluation of the market pforile. that is to enter with the better of prepardness to appeals with the good approach. and to moves higher with the different option of conclusion to enter the best with the submission of the preferred options by the trading order.

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  8. #17
    Trader lawners1791's Avatar
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    with the use of the different mode of compliance to calls of the request with the collecting of the resources to shifts further with the customs with the manage with the analytics and the evaluation for the running trend to bet of the submission with the proper of the risks with the aim of completing target with the terms.

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  9. #18
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    [lang=ar]Risk I find it hard to be working on risk management easily but needs to be well-educated and strong management in order to be a good risk management because the risks in Forex make existing business of the toughest and most dangerous but but needs to experience[/lang]

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  10. #19
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    skill is the main for the all trader and by the skill they will be control there trade and this the main for the all trader and now most of the people want to make good by the forex trade and this is the best one for make good so you can do and make money by the short time

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  11. #20
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    Risks many forex market and I see that in order to work on risk management need to be strong management and rolling does not enter all its capital for trading him and that determines the portion of the capital for trading the forex market because of volatile markets

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