A blazing start in online forex trading often leads to over trading even without the knowledge of the online Forex trader. An early profit prompts the online Forex trader to invest even more funds for higher profit. He often decides to invest all his profits immediately and the apparently secured Forex platform becomes his default choice because of his plethora of success in earlier trading assignments.

Once trading comes up with an unfavorable outfit then it increases online Forex trader’s cup of woes. The struggle for existence forces him to look back at reality forgetting the rosy picture of his misleading mind. An online Forex trader should never be carried away with the spectacular results; rather he should focus on building a solid foundation for long-term benefits.
The primary concern is that a strategic plan should be broken down into weekly plans.

Whenever you plan scientifically and set your priorities on long term goals, the hopping tendency for attempting every trade will automatically come down. If the online Forex trader sets his weekly goal to 75 points, he is forced to restrain himself within 15 points on an average per day. The chance of over trading becomes minimal irrespective of ups and downs of the trading market. The first job in any online Forex trading platform is to reduce the number of trades per day. One has to consider the charts, resistance levels and MACD indicators before online Forex trading. When the investment amount becomes higher, the psychological factor forces him to consider all such factors before clicking the Go button. The lesser the number of trades, the lesser number one has to exert for the rigmarole of such vast calculations.

It is often found that an online Forex trader fails to show his resilience against the lucrative figure of a particular trade. Never forget that the online Forex trading platform is the battlefield where you need to fight mostly with yourself. Perhaps the self-evaluating question to be raised is whether that trade is required or not. A proper strategic planning can lead to a more accurate answer, whereby he might take a decision to wait further. It’s never advisable that you start trading only at the end of the day, but the wait and watch policy before giving it a full throttle may steer you surely to success.

An online Forex trader is always prompted by certain emotional parameters and over trading blends with his normal trading even without his consciousness. This is also true that over trading is not always harmful. Experts have found glittering results in some cases of over trading. The caution is primarily for the struggler in online Forex trading, for whom success has been eluded for long.

Reffer : etoronews.com