I am a firm believer in the saying, “No trader is an island.”
In forex trading and in almost any endeavor, it is often good to know that you are not alone.
For this, and other reasons, I’ve been advocating the existence of a trade group.
Trading with a group
Having other people around allows you to view trading situations from many different perspectives.
For example, a setup might look incredibly bearish to you, so you’re risking more than your usual position on that trade.
But your trading buddy could offer an opposing view, which might make you think twice and cut your risk to a level you feel comfortable with.
Trading decks also allow you to find motivation during those really tough periods.
In times when you are experiencing a major downturn, others can give you the support you need to move forward and continue trading.
However, not all traders are built the same way.
Some people do not work well in groups and do better by trading alone. Everyone is unique and trading in a crowd environment may not be as productive for some as it is for others.
trade alone
One of the main advantages of trading on your own is that you are free to experiment.
The thing is, in groups, people tend to think alike. This means that when you want to break away from the norm and think outside the box, there tends to be a lot of criticism and resistance.
For example, you might think that an interest rate hike is already set, so you tell your friends that you’re going to fap the move.
Or maybe you want to try out an outrageous trading system that no one has tried before. If they don’t agree with you, you may experience some rejection for thinking differently which can stifle your personal growth.
Another benefit of trading alone is that you don’t have to deal with the emotional and psychological dynamics of a trading group.
Human beings are self-conscious beings and, at times, will do and say things simply because it is what they think others expect of them, or it is more socially acceptable. The same goes for trading.
Take listening to other people’s business ideas for example. You may think the setup is illogical, but you still take it anyway because the majority of the group thinks it’s a good idea.
When trading forex on your own, you are solely responsible and accountable for your success. You cannot simply shift the blame onto someone else.
Some traders may find this concept very intimidating, but for others, it is very powerful. They know that only they are responsible for their own destiny.