People cannot trust the strategy and make a rush to make a decision. It seems the right decision at that time but does not provide the result. There is a vicious failure of the cycle that keeps the investors bind in losses. The concept is not understandable if we do not break into little parts. This article will explain the idea and a person can understand, they were in the wrong shoes all the time. It only takes will and determination to succeed, there is no need to follow a professional strategy or paid signal.

Lack of trust

The first part is the loss of confidence. The investors became disappointed by complex events. The pattern looks easy to remember but it never turned out the way expected. In most trades, the volatilities changed and the investment is lost. This started to happen frequently, the confidence gets swept away. When there is no belief in the plan, a trader is set to lose the money. Every journey starts with a small step.  A lack of trust indicates the cycle has started. It is only about time when the capital will be lost.

Early exits

The second part is closing before the trade reach the goal. We have found out many traders decided to close trades after loses. When the plan is not followed to the end, the result is unexpected. Even in favorable trends, missing confidence can convince to close the funds. These decisions impact the capital and on the performance. People do not realize the underlying reason that is not confident in the method and begins to doubt the performance. Small losses begin to make a big failure, turning this practice into a habit. It is possible to turn back after the first step of failure cycle but when the second stage is complete, consider the investors are gone for good.

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Losses keep happening and breakdown

When the failures are occurring continuously, many people have a breakdown and quit trading. This is the reason why people decide to quit the sector. The attractions that have lured into this profession loses its magic. The risks begin to overtake and losses keep coming. This strike makes them believe they are not good for trading and make emotional decisions. Though there is a focus on the mindset to achieve the goal, mental health is never a concern for the traders. Without keeping your spirits high, trading becomes a burden where every step increases the failures. The novice cannot accept this fate as there was no practice in demo account.

The cycle starts from step one, again

What do you expect after losing everything in Forex? Santa is not going to come and give gifts. After these devastating results, many people do not have the strength through the cycle again. It takes a few completion to lose the fund. If a person starts trading with a big amount of money, the losses will be big. The mindset can be changed from practicing to recovering the money quickly. He will first try to close the trade with a small profit but as the failure keeps happening, a breakdown occurs. This takes him all the way to stage one and the cycle is repeated once again. If we cannot come out from this cycle, our trade will always turn into failure.

Breaking this cycle

First, practice in the demo with the plan. Never lose the confidence, follow the plan to the end. Practice if the expected result is not achieved. Set the mindset to accept defeats. It is a common trend that traders will go through successes and failures. Take professional advice if needed.