The Process of development in currency trading.

The process of development in currency trading can be described in three stages. 1)SKILL. A trading skill or pattern to trade currency is taught to the currency trader or identified by the currency trader as having profit potential.This corresponds to observe phase in Boyd's OODA loop.2)DRILL.The trading skill or pattern is rehearsed first via walk through' s (Simulated trades on historical data ) and then paper trading live market.The currency trader learns to recognize opportunities to utilize the skills and patterns as trading conditions unfold and formulate trading plans based upon the incoming data.This corresponds to the orient and decide phases of Boyds loop. 3) FULFILL .The traders development culminates in the fulfilment of actual trades in real time utilizing the entry, exit and money management skills that have been rehearsed.This provides practice in 'pulling the trigger' on ones decisions the act phase of Boyds loop.Successful trading is the result of learning process.The weeks of consistent ,hands on, real time rehearsal are more valuable than months or years of leisurely activity.The steepness of the currency traders learning curve is a function of several factors including the breaking down of skills into bite sized components, the relentless rehearsal of those skills in realistic conditions and the practice of skills in the face of extreme environmental ,emotinal and physical challenges.For example we may have traders rehearse their skills under conditions of high fatigue,distraction or time pressure as ways of simulating decision making under pressure.This really would train traders in a realistic way.Good trading for my readers.Muraleedharan http://forexcentral.googlepages.com