Money can be made in FX but to become successful you have to master money management and expectation much more that of when to pull the trigger on a trade.

In the beginning, I didn't really place much emphasis on the importance of money management as I thought mastering the prediction of price movement was the first challenge. I took it for granted that the application of money management would be a fore gone conclusion as I have a degree in maths.

My 'light bulb' moment came for me when I realised that you cannot predict price movement. All you can do is to have faith and believe that when your criteria has been met for entry into a trade. The chances are that if you where to make the same trade 100 times expect 50 of them will fail. But understand that with the correct money management you can make money from this scenario.

I also started making money when I stopped being influenced by the opinions of others of when and when not to trade along with what and what not to trade. As a famous trader once said "A man must believe in himself and his judgement if he expects to make a living at this game."

It's well documented that you shouldn't trade news or trade on a Friday or a Monday or scaling in/scaling out. Why? Again, many will talk about closing positions because of whipsaws and lack of volatility but some of my most successful days in a week have been a Friday or a Monday and some of my bigger trade successes have been on a news event. To find your own edge you need to free your mind of others opinions.

There are so many threads on here on trading systems that chase pips. I NEVER chase pips. I couldn't even tell you how many pips I make in a week because it is completely irrelevant. Why? you may ask.
It's very, very simple. I chase a percentage of my main account. I enter a trade and whether the SL be 10 pips or 70 pips, it makes no difference because it will still be the same %age of my account. I never trade more that 1% and this leads onto the next important thing. R:R (Risk Reward) is more important to me than the success of a trade. I never take a trade less than 1:1.

The last and most important aspect to become successful is to manage expectation. I am happy if I hit 10% return on my account at the end of a month. Or lets break it down. 2.5% a week !!! Doing the maths on this means that I only need 3 good trades a week at 1% of your main account and at an R:R of 1:1 to be making a healthy profit.

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