OANDA’S ELITE TRADERS’ NEW YEAR’S RESOLUTIONS – PART 3Being disciplined isn’t just about minimizing loss, it’s about sticking to your original trading plan – and the one you’re most confident with. That needs to include effective cash management, which means paying close attention to that piggy bank – as our ‘accountant’ trader here knows only too well.

We surveyed our elite traders and many said that they focus just as much on taking returns off the table as they do with risk. Having success over the long-term is less about knowing when to call the top of the market, and more about profit taking as planned out in the strategy. A succession of upsides can tempt traders to leave money on the table for longer than their strategy prescribes, which may expose them to sudden downsides.

Good cash management also extends to trade sizes, with many successful traders starting relatively small and increasing trade sizes only as they grow their earnings.

Watch this space for our traders’ views on becoming a keen markets investigator.

For more information, visit our website to download an e-book on effective risk management here.

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