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Sunday 30 May 2010

FOREX?? Understanding the Trader’s Fear of Risk, Fear of Loss

Understanding the Trader’s Fear of Risk, Fear of Loss

Fear has the power to become your greatest trading liability if it is not understood. Most people are afraid of risk, not only because they are afraid of failure but more so because they are afraid of loss. Let’s look at what research tells us are the reasons that most traders fail. Successful traders agree that these are the things to justly be feared.
The high rate of failure for beginner forex traders (as well as all other securities, stocks etc.) has been found to be directly due to these six things, in order of significance:
Poor understanding and knowledge Undercapitalization Unrealistic expectations Lack of patience Lack of discipline High risk aversion
As we look over this list, it becomes apparent that fear of failure and loss is the by-product of trading without having in place a proper Forex Trading System – one that includes a high element of mind training and a high quality forex education. The last one on the list, high risk aversion, however, is not pointing not merely to a dysfunctional Trading System, it is talking about the need to understand risk in order to succeed...
Clearly if the fear of loss is coming up for you because you are trading money that you cannot afford to lose, this type of fear is a healthy and sane response. If this is the case then forex trading is not the place for you. The Forex Market is considered a High Risk market. Every responsible forex training and trading site makes that same high risk disclaimer in no uncertain terms. That is why stringent risk management should be factored in every single trade you ever enter. However, it has often been said by successful traders that the Forex Market is one of the risk-management safe trading markets for many reasons, which are covered in the beginning chapters on ‘The Advantages of the Forex Market’.

In referring back to ‘seeking what every successful trader has in common’, I am reminded of Charles Sanford, former Chairman of Bankers Trust, who gave the very insightful speech on how the successful view the fear of risk, excerpts of which I have loosely recalled here. I include this because it also serves as such a good example of ‘reframing’ a conditioned belief, and the benefits of proper mind training.

From an early age, we are all conditioned by our families, our schools, and virtually every other shaping force in our society to avoid risk.

My first observation is that successful people understand that risk, properly conceived, is often highly productive rather than something to avoid. They appreciate that risk is an advantage to be used rather than something to be avoided. Such people understand that taking calculated risks is quite different from being rash. The paradox is that playing it safe is dangerous. Far more often than you would realize, the real risk in life turns out to be the refusal to take a risk. In other words, the truly most threatening dangers usually arise when you shrink from confronting what only appear to be the most threatening dangers. What is widely regarded as playing it safe turns out not to be safe at all. As Heraclitus, the Greek Philosopher said, some 2,500 years ago: Nothing endures but change. Most of us have come to agree with this, but its consequences still deserve some reflection. Obviously, if change is the fundamental rule of life, then resistance is folly -- doomed to defeat.

In other words, in a world of constant change, a world where Heraclitus said you can never step into the same river twice, taking risks is accepting the flow of change and aligning ourselves with it. Remember the paradox: Risk only looks and feels like endangerment. For those who understand reality, risk is actually the safest way to cope.

To take a risk is indeed to step into circumstances you cannot absolutely control. There, again, is the paradox: In a world of constant change, risk is actually a form of safety, because it accepts that world for what it is. Conventional safety is where the danger really lies, because it denies and resists the world. I trust you understand that when I say risk is actually safety, I'm talking about a certain sort of risk. I'm not advising that you leap off tall buildings in the hope that the operation of constant change will reverse the law of gravity in mid-flight. I'm speaking rather of a sort of risk that actually aligns you with the direction of change and that the task then becomes learning how to take risks properly.
Reprints are Available Upon Request.

To be more specific, I believe firmly that the sort of risks that put one in a position to control one's lot in a world of incessant change are the risks that attempt to add something of value to that world. To create value, to focus one's efforts on increasing the fund of that which is worthwhile, involves risk. And yet, paradoxically, it provides you with the greatest control over a changing world and maximizes your chances to achieve a truly meaningful personal satisfaction.
This is a good opportunity to add a piece of ancient wisdom: Do not merely seek to follow in the footsteps of the successful. Seek what they sought.
The Characteristics of a Successful Trader
If we reframe the liabilities listed in trader failure list, we can clearly see that the Characteristics of a Successful Trader are:
• Excellent trading knowledge and understanding
• Adequate capitalization
• Realistic expectations
• Patience
• Discipline
• Understanding and Managing Risk

Six ways to develop your mental muscles

 YOU are the key to having everything you’ve ever dreamed. You have amazing talents and unique gifts to give to the world. No one else can make your special offer. These are the things you can do that no one else is capable of doing quite the way you can do them. We all have a purpose, a reason for living, breathing and existing. The most important thing we can do in life is to understand what that purpose is and how we can use it to benefit humanity. We owe it to the Universe, ourselves, our family, others, the future and your legacy. Become significant – think big and serve big.

Expand your mind a bout what’s possible Our minds determine our success or failure. Your mind is your ultimate strength and weakness. Everything begins and ends with your thinking.


YOU Should to do!!
1. Deciding what you whant to do!!
Deciding what you want to do with your life is relatively easy – keeping a positive mindset and staying
with the plan of action takes discipline.

Develop a mindset focused on abundance and possibility to guarantee prosperity. And create a balanced goal list that motivates you to take massive action to achieve your dreams. Deciding what you want to do
with your life is relatively easy – keeping a positive mindset and staying with the
plan of action takes discipline. Having a strong mind, a positive attitude and a list of
goals will enable you to embrace the power you hold over your own destiny.(Chose it right now..or be   lament)
2. Read, read, read an READ

Read something besides magazines and the daily newspaper. They’re mostly filled with negative images and information that creep into your brain mind continum and fester negatively. Read books that motivate and
inspire you. Do a search of motivational/inspirational authors on Amazon.com or in your local bookstore, or read the 100 recommended books listed on my website, and start

Just a few I’d recommend are:
Brian Tracy, Robert G. Allen,
Dr. Wayne Dyer, Jack
Canfiled and Og Mandino.

These are successful people (who were “mentees” under other amazing thinkers) who have taken all of the scientific and spiritual laws of the Universe and created philosophies and skills by which you can also become
phenomenally successful. (cek this out)

3. Be open to learning all you

can from those who have already done the work. They are here and their purpose in life is to help you discover what your purpose is. Don’t be embarrassed or allow your ego to take control of your
mind. We’re all here to learn. Seek out a mentor and submerge yourself in studying

4. Seek out A mentor
I recommend you get mentors in each area of your life for your entire life. Keep having your mentors
challenge you. Decide on a group of people you admire most, whether you know them personally or not?
From that list, figure out who you’d most like to emulate. Then study them. Research and buy any kind of
information you can find on them. If they offer seminars, attend them. If they’ve written books, read
them. If they’ve got tapes, listen to them. (Authors want me to help them with their books. I won’t until they digest my Mega Book tapes and absorb Chicken Soup for the Writer’s Soul.), The secret (R. Bryne)

list of mentors and seek out their websites. Find out their speaking schedule and attend whatever seminars are closest to where you live. Seeing these teachers face-to-face will help you stay focused on your goals and create a permanent positive mindset. My friend, Doug Wead, the world’s best storyteller says:
“Leaders are born at seminars

5. Attend seminars
To reinforce a positive way of life, sign up for and attend motivational seminars. There you will meet inspirational people (and possible mastermind members) and learn new ways of achieving your goals. You can search out seminars via the internet, newspapers , the Learning Annex, or local colleges and universities. Go back to your Think of unlimited prosperity
– the true reality – and you’ll experience unlimited prosperity – ultimately and inevitably, though not

A World of Job Opportunities

So what kind of work can you expect to be doing as a freelancer?
Well, the possibilities are endless. Traditionally, freelancers have worked in creative fields,
and you will still find many ways to make a great living as a freelance writer, journalist,
editor, designer, programmer or photographer.
But  that is just the tip of the iceberg. Nowadays, freelancers also undertake projects such
as:
• completing opinion surveys
• doing data entry
• helping with admin
• link building for web sites
• posting in forums or on Craig's List
• medical and legal transcription
• prooreading
• answering emails and correspondence
• helping with Internet marketing
...or any of a hundred other tasks.
There are so many things you can do - most of them fun, and all of them profitable.

A blueprint for freelance success

you want to be a millionaire, huh? you could be already making money...and this time tomorrow you could have cold, hard cash in your bank account Quite simply, there’s never been a better time to launch a freelance career.


The great thing about freelancing is that you can enjoy so much freedom. You can work
out of a spare bedroom, or anywhere where you have some free space at home. Better still,
you get to enjoy:
• throwing away your alarm clock and choosing your own schedule
• choosing which projects you want to work on, and which you don't
• setting your own rates, to determine how much you earn
• knocking off work - or taking a day off - whenever you feel like it
• taking time out to pick up the kids, do the laundry...or play a round of golf
• freedom and convenience that office-workers can only envy


How you can make a 5 figure income??

Let's get one thing straight before you start. This is not a get rich quick scheme promises of land and does nothing.It takes effort, dedication and determination to overcome setbacks. And it will not a Night.
There is no magic in this article, but there is a logical and easy to follow the plan. In fact it is a project that an independent company to operate effectively and profitably. All you need do is follow the plan and put your independent career into overdrive.


Ok..first time you should:

1. Take control of your life? What it mean?
Freelancing can be a frustrating experience at times, but the benefits are immense. You get to be your own boss, and choose when and where you want to work. You can replace the morning trudge through commuter traffic with a leisurely stroll into your home office. And if you want to work all day in your pajamas, who’s going to object? Freelancers are truly privileged in being able to combine their home and professional
lives in a very positive way. You can take time out to pick up the kids from school, be around to collect deliveries, or just finish early on Fridays for a friendly round of golf. You might choose to work extra hours Monday to Thursday, and earn yourself a long weekend.

The world is changing, and changing fast. Nowadays, the Internet has become the hub of the global economy. And if you are not taking advantage of the opportunities, you are really missing out. Thanks to the Internet and now communications systems, you (and me) may have a very greater choice of location, too. more work with clients in four different continents, against which they have never met in person. Communicate by telephone, email and fax -which means that I can live anywhere they choose. So if you've always wanted to go to the country, or living closer to its members his family, now is your chance. You could sell the apartment in the city high and buy your dream home in an area where the air is cleaner and property prices are lower. Whatever you do, it's up to you. As a freelancer, you're really in control of your life.(sound good to be true?)hehehe but it's true..



2. Build a rewarding career

Your working hours, too, can be very rewarding. Having a wide range of clients means you don’t get stuck in a rut, and you always have the challenge of a new project to look forward to. You can make a real contribution to a worthwhile project, without getting caught up in office politics. And you can build working friendships that may last for years.  Freedom, independence, creative challenges – and a fantastic income in a fast-growing market. It’s no wonder most freelancers say they would never go back to a full-time job.
With the help of Freelancing for Dollars, you can reap all the rewards that a freelance career can offer. But now it’s time to stop planning and start working. STOP DREAMING START ACTION!!

3. best opportunity ever!
How to create wealth in a changing world

Quite simply, there has never been a better time to launch a freelance career. Rapid changes in the way people to do business, the way we use technology, and the way we run our lives have created an unprecedented opportunity for success. Today, you have the chance to enjoy a stimulating career, earn high rewards and enjoy real freedom and quality of life. Of course, the attractions of a freelance career are many. But there are serious issues to consider, too. Where will you find the projects you need to earn a good living? Are your skills really in demand? Is there enough business available to sustain a long-term career? Valid questions, but very easy to answer. Because whatever your skills and experience, you can be sure that demand in the market will outstrip supply. So by following the principles in this book, you will place yourself in pole position to take advantage of the world’s fastest-growing business sector.

There are many reasons why freelancing is such a strong proposition today:
• A booming freelance economy
• The impact of technology
• A huge breadth of skills requirements
• Superb career opportunities.

The booming freelance economy There’s no doubt about it, these are boom times for independent consultants. Highly-skilled professionals who could climb to the top of the corporate ladder are choosing instead to carve out a freelance career. And when you consider how the job market has changed, it’s easy to see why not so many years ago, the concept of a ‘job for life’ was the foundation of the labor market. Companies were expected to offer a long-term career path, in return for a lifetime commitment from their employees.

Guys how things have changed.?

As the pace of business has grown faster, with rapid mergers and continual shifts in direction, the idea of a ‘job for life’ has become a historical oddity. Nowadays, corporate employees are hired and fired with casual abandon – company assets which can be liquidated at any time. In response to this, those seeking a corporate career have learned that job-hopping holds the key to success. Each new position is simply a stepping stone to the next one, a résumé paragraph that propels the employee towards the dizzy heights of another
company’s boardroom. In this environment, the idea of outsourcing work is becoming increasingly attractive
to companies of every size. A freelance professional can bring very specific skills to a
project when they are needed, without the expectation of a long-term commitment. Yet at the same time, a freelance can offer the likelihood of an ongoing relationship

4. How can you get the world 
Many factors have changed the world of freelancing in the last few years, but none so Deep, positively and permanently, and in March of the art. During my career as a writer, the technology has changed - and improved - my work Life beyond recognition. When I started as a journalist hope, I wrote an itemIllegible handwritten corrections at the edges, and then tried to enterAll this is a temperamental machine. I think I was personally responsible for maintaining the value of the shares of companies throughout correction fluidThe early 80s. If someone showed me a word processing program, it was a revelation. Suddenly I couldWords, delete, move text to insert, and products. I was in a green screen sky. I thoughtWhich was as good as it could be - until I saw the first Macintosh (Mac). Well, of course, create or process, we think digital quality for granted. Words, pictures, photos, and more can be produced all or in digitalFormat. But for self-employed and freelancers, which means free from geographical breakLimits.

Until fairly recently, finding work outside your local area was always something of a challenge. Clients would often choose a freelancer not on the basis of skills or experience, but simply on the practical issue of distance.
They needed to be sure you were close enough to send a courier for urgent packages, or for you to drop by and deliver a disk or a document. In a few short years, email has changed all that. Documents, presentations, artwork and all kinds of work can now be zapped around the globe in moments. Courier firms
may be crying in their coffee, but for free agents it means – quite literally – a world of
opportunity. For the first time in history, your location has become virtually irrelevant. You can now
swap files, send voice messages, share documents online and hold video conferences.
Thanks to the Internet and all the technologies associated with it, you can now freelance
not just nationally, but internationally, too.

5. A huge breadth of skills requirements
As companies become more accustomed to the idea of outsourcing, the range of
services they source externally is expanding rapidly. Not so long ago, consultancy work
was mainly confined to a small number of skills, such as IT and advertising. Today,
however, the situation is very different.
Whatever your professional skill may be, you can be sure that there is a ready market for
your expertise. Companies are beginning to understand that using freelancers is actually
a very cost-effective option. While the hourly rates may initially seem high, this is more
than offset by other savings. Because they don’t have to pay employer taxes, office
overheads, pension contributions, medical premiums and other expenses, they can
control costs much more effectively.
So many jobs which were traditionally handled ‘in house’ are now undertaken
successfully by external consultants.
With many more niches needing to be filled, you should have no difficulty in finding a
real market opportunity.
Here are just a few of the areas where freelance skills are now in demand:
• Writing and editing
• Graphic design and art direction
• Web design development
• Software programming
• Marketing and advertising