Decision Making Life Skills I Gained From Forex Trading
Forex trading and generally the process of learning, practicing and working to achieve success in trading can be very time and energy consuming.
But luckily, many of the skills that we need to be profitable in trading the markets can be easily modified, adapted and applied to real life situations which can benefit us in a huge way.
In fact, many of the crucial skills for success in investing or Forex trading are skills that successful people in general possess which help them to get ahead in all areas of their lives.
A fact of life - we make decisions every day. Some are just easy - small decisions that we really don’t care about but some of them are big decisions that cause consequences that can affect us for years. A wrong decision today can have huge negative ramifications tomorrow – that’s what trading, but also life teaches us.
Before I started trading I used to make decisions regardless of how much information I had about the issue at hand. Usually, I would go with how I felt, or by what the people around me were saying regardless whether it was a small or big decision.
But of course, I didn’t know any better.
Now it looks like I’ve been making decisions blind just for the sake of choosing something. In fact, most people aren’t even aware that they are making all kinds of decisions every day - it just seems normal to go with the flow.
To give you a more concrete example, I used to make purchasing decisions mostly on emotions - based on how I felt at the moment. As a result, I was easily persuaded by sales agents to buy things I didn’t really need or to buy rather expensive things that were actually of very low quality.
For example, I wouldn’t really double-check the facts the salesman told me, which as we all now can often be misleading. In trading, one of the first things we learn is to keep our emotions out of the decision-making process and to always analyze the hard facts and to base the decision entirely on that analysis rather than on our feelings or anything else.
Well, I started applying that to real-life purchasing decisions.
Now, it’s a completely different story.
Whenever I make important purchasing decisions I take the time to gather as much information as possible and I take the time to evaluate every little parameter and characteristic of the product or service before I make the decision. If a sales agent is pushing me to buy something, I just say, thank you, I’d like to take my time to think about this before deciding what I am going to do.
This life skill that literally trading made me learn has saved me thousands of dollars already. But, it’s not really about money or purchasing decisions only. We make many different choices in life, like our circle of friends, education, food, how we spend our time etc., all of which have little or nothing to do with money, but much with our happiness and well-being.
No one teaches decision-making in school which is a shame because it’s so important and so many people keep making the wrong decisions in all areas of their lives - keeping them unhappy and stuck. In essence, everything in life is a choice and it’s made up of many decisions throughout the years.
Good decisions help us to be happier in life, but bad decisions most often cause us to feel miserable.