Nick Goold
What motivated you to become a forex trading coach, and how did your journey in the forex market begin?
I entered a trading competition back in 2005 and ended up winning it as I had the most profitable trading system. As a result of that publicity, a number of people who were following those trading signals from the competition approached me and asked me to teach them how I traded – and the rest is history.
I got into FX trading as a result of going through a divorce. I had previously been a dairy farm owner and was looking after my 3 year old child. I needed to find a source of income that allowed me to be at home to look after my son.
Can you briefly describe your trading philosophy and approach, which you impart to your students?
My strategy is largely price action based, because this approach will work in all market conditions. We look for a suitable trade upon the completion of a candle. My strategy is the same regardless of the time frame chart or the market traded. We encourage low and equal risk per trade and the way we trade ensures that our trades have a high reward:risk.
What are the most common challenges or misconceptions that retail traders face when starting their forex trading journey?
Many start because they are desperate to make money and they don’t want to put in the time and effort up front to ensure they have a fully trustworthy trading strategy which works. How much money you personally have or don’t have right now is irrelevant. Knowing how to trade is the most important thing. Get that right and the money will follow. Many traders also incorrectly focus on the shorter time frame charts (1 hour and lower) and they spend far too much time watching charts.
In your opinion, what role does psychology play in a trader's success, and how do you address psychological challenges in your coaching?
It plays a big part because if you don’t have confidence in yourself or your trading strategy, you will give up and/or fail. We always suggest a very low risk per trade approach. All of our trades have equal risk regardless of the trade or the size of the stop loss. We also post specific trades every day (have done so since 2010) for our traders to follow. We also post trades on our forum site and take trades on live weekly webinars. I’ve been using the same strategy since 2006 and it’s continued to work, so we all have full confidence in it.
In your experience, what are the key differences between day trading and swing trading in the forex market, and how do traders choose the right approach for them?
You must choose what works best for you. Because we only look for a new trade on the close of a candle, you can both swing trade and/or day trade with my strategy equally as well. I’d rather look at how long a trade remains open by the number of candles, not by time. As an example, if I’m trading on the H1 chart, I accept the trade might have to remain open for 1-5 candles depending on the trade and how quickly the market moves. The same for longer time frame charts, if trading on the W1 charts, a trade might have to stay open for 1-5 weeks (or candles). It’s all relative.
Could you elaborate on the importance of journaling and record-keeping for traders and how you incorporate this practice into your coaching?
I use software that automatically takes a screenshot of the chart traded at the time you place the trade. This allows us to review trades much easier. Myself and many clients also post our trades once taken on our forum site so we can go back and review the trade setup at the time we took the trade.
Are there any specific money management strategies or techniques that you recommend to traders for preserving capital and maximizing profits?
Yes keeping risk low and equal on every trade. Don’t look at your success in terms of pips made/lost as this is irrelevant. Instead adjust your lot size according to the size of the stop loss, the pair traded and your account size. We have a calculator for this and a script that calculates this automatically when we place the trade. This means that a daily chart trade and a 1 hour chart trade will have equal risk placed on them, regardless of the difference in the size of the stop losses on these trades. I personally risk no more than 0.5% of my account per trade.
Finally, what would be your top advice or words of wisdom for aspiring traders who aim to build a successful career in forex trading?
Seek advice and support from someone who is proven. Join a community so you have support from people who are all trading the exact same strategy. This gives lots of pairs of eyes, all looking at trading the same way. It means you have a place to ask questions and this will speed up your learning curve. Be realistic, take your time and be prepared to put in some effort up front which will then allow you to enjoy the benefits that successful trading allows in the long run.
Many thanks to Andrew for sharing his insights. You can explore more about him on his website.
(Please note: This is not an endorsement of Andrew's services).
