Millionaire Tradersbecome consistent and focus on the pips because I could obviously
increase my lot size and make the dollar amount something I would
be satisfied with. Now believe it or not, it’s been three and half years
since I started trading and my pip target is still the same.
Q: So you aim to make 10 pips a day, but what you would do if
you had a losing trade? Would you try to make 20 pips over that
10 or stick to the 10-per-day goal.
A: No, I would still just go with my 10. The aim is that your total
number of wins exceeds the occasional loss. I would always have a
fixed stop-loss. I used to trade with a stop-loss of 20 pips. If I lost
that 20, then I would stop trading, wait for the next day, and would
follow exactly the same plan that I had before, which is to only go
for 10 pips a day. I wouldn’t try to trade two or three or four times
a day just to make up that money. What I realized nowadays is that
the anger seems to drive you to trade again. You become so angry
with yourself about losing the 20 that all you want to do is get it all
back and you think that you’re going to teach the market a lesson
and unfortunately it doesn’t work out that way. It’s more likely that
the market is going to give you a beating instead [laughter].
Q: Do you like to focus on one currency pair at a time or will
you trade multiple currency pairs?
A: No. Only one.
Q: So then what are your favorite currency pairs to trade?
A: Euro/U.S. dollar and British pound/U.S. dollar.
Q: Which ones would you avoid?
A: Probably U.S. dollar/Japanese yen.