Currency Trading is a Specialised Knowledge.

Knowledge will not attract money, unless it is organized and intelligently directed through practical plans of actions, to the definite end of accumulation of money. Knowledge is only potential power.It becomes power only when, and if, it is organized into definite plans of action and directed to a definite end.The meaning of the word 'education' is to 'develop within'.An educated man is one who has developed the faculties of his mind, that he may acquire anything he wants, or its equivalent, without violating the rights of others. Knowledge has no value except that which can be gained from its application towards some worthy end.Successful men in all domains never stop acquiring specialized knowledge related to their major purpose, business or profession.The order of the day is specialization. Hence in order to succeed in currency trading you should acquire and practice the knowledge and skills required for currency trading.How long one has to practice? The answer is ' till you succeed' using P3R principle which is discussed elsewhere in this blog series.Do you have the resources to pass through the learning curve which leads you to build expertise in currency trading? The answer is 'You have to decide whether you have it or not'.This is the hard truth of the reality.But once you pass through the learning artist's phase and build your expertise, you can enjoy the wonderful results too like the legend of value trading' Warren Buffet'.You should get specialized in currency trading and get specialized in a single currency pair of your choice so that you can become an expert in that one pair which is enough to give you financial freedom. Muraleedharan http://stockscentral.blogspot.com

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