You Make All the Decisions
When you trade for yourself you become your own boss. No one can tell you which transaction to open, how much to risk, when to stop trading, etc. You can manage your time and decide when you can take a day off. The thing is that this is your own money and it is up to you how to manage it. So, if you are tired of depending on someone else’s decisions personal trading is the perfect solution.
You Don’t Have to Share Your Profits
Of course, when using the signals of other traders or using the services of a money manager you don’t need to spend time trading and even learning. However, part of your profit will go to third parties. Imagine that you pay a commission and a spread to a broker, then give part of the profit for the signals, and then the percentage goes to taxes. And what remains in the end?
Personal trading will not save you the need to pay various fees, but the rest of your profit will still be yours.
No Need to Report to Anyone
Imagine for a moment that you have achieved such success in trading that you decided to become a money manager and manage the accounts of other traders. It seems to you that this is a new step but in terms of the freedom you have stepped back. Now you have to report for each of your actions to the investors whose money you are managing.
Yes, managing large amounts and the percentage of profit is an additional income but in this case, you will again have the bosses that you wanted to get rid of so much. It is better to focus on profits in your personal account and gradually increase capital, getting more and more profit. In this case, you will only answer to yourself.
Losses Might Be Beneficial
Even professional traders still face losses. Success is determined by your overall performance. The main thing is that profits exceed losses. At the same time, often the number of losing transactions can still exceed profitable ones. It happens as with proper risk management the profit on each individual transaction is twice or three times the loss.
Now that it’s clear to you that losses are just part of the process, let's find out how to make use of them. It's all about learning from your own mistakes. If you keep a trading journal, you can analyze your transactions in order to improve your trading skills in the future and make useful changes to the trading plan. When someone else is trading for you, you don’t get the details for each position and you can’t perform such a useful analysis.
You Make All the Corrections
When someone else is trading for you or you are just following the signals, it is not you who decides which strategy to use. Even if you stumble upon the best trading system in the world, you cannot force your signal provider or money manager to use it. You can’t make any adjustments to it either when the strategy suddenly starts to malfunction.
When you trade on your personal account, you build your own trading plan:
- Choose a strategy
- Pick the best indicators
- Keep up to date with programs and systems
You Can Diversify
Among the main advantages of Forex are profit, self-employment, free schedule, and so on. At the same time, no one says that trading can significantly improve your life by influencing you personally:
- The development of self-discipline. As you learn to carefully follow a trading plan and keep a trading journal, you become a more disciplined and patient person as a whole.
- Making new good habits. Many traders get up earlier, begin to meditate and sleep more, as all this affects their trading. But it also benefits in real life.
- Learning to control your emotions. Negative feelings, such as greed and anger, are the sworn enemies of the trader. During the trading process, you will learn to control these emotions and that will help you in communicating with others.
- General development and improvement of memory. The brain is a muscle that needs to be constantly trained. During the start-up and further Forex studying, you will learn and remember a lot of new things. You will constantly expand your horizons and become a more erudite person as a whole.
- The Forex market is simply awesome. Few people think about how interesting it is to observe the development of the market, its reaction to various events. Only when trading on your personal account you will learn to understand and feel the market.
Each way to make money on Forex has its own advantages. If you are not ready to pay due attention to training and trading itself, then you should not try to earn money yourself and leave it to professionals. However, if you want to experience all the benefits from this article then open an account and enjoy it.