Funding trading has paved the way for many talented individuals to earn a profit and turn their passion into a profession. Sat, a former Wall Street trader, did just that with The Funded Trader (TFT), earning a record $203,061 payout.
Sat, who goes by her Discord nickname “SSfx,” recently chatted with TFT CEO Angelo Ciaramello about her journey and the strategies that helped her book massive profits. Here, she shares what she’s learned through her trading experience.
From Wall Street to Forex: SSfx’s Journey Through Trading
SSfx has been trading for the last five years and has had plenty of ups and downs. She first started by investing her money; however, she soon realized comes with difficulty and accountability. For instance, you might have the skills to trade but not the capital. Or, you might not have extra money to risk losing.
Everything changed when SSfx learned about prop firms that finance capable traders. During the COVID-19 lockdown, she decided to take a big leap in her trading career by joining The Funded Trader.
Why Did SSfx Choose a Prop Firm?
In the competitive trading world, it’s difficult to succeed on your own. A common problem most traders face is the lack of enough capital. But with a prop firm’s backing, you no longer need to worry about investing your own money.
All you need to do is clear the firm’s evaluation process. Then, you’ll be open to several new opportunities, including a 90% profit split and a $1.5 million account balance.
Seeing these benefits, SSfx transitioned from being a retail trader to a prop trader. The former Wall Street trader chose The Funded Trader because she found the foreign exchange (forex) currency spreads much better than at other firms.
The Importance of Psychology
To book a $200,000 profit, you need more than just a strategy—you must look at the tiny details of both your trading and personal lives. Here are three things SSfx suggests all traders do:
1. Minimize Distractions
Distractions are a significant factor in why people can’t succeed in trading. According to SSfx, you need to be “in the zone”—a mental state where you’re fully focused—to trade successfully.
2. Create a Trading Environment
A professional environment increases focus. Choose a quiet workplace—whether an office or home setup—and a stable computer that will allow you to trade quickly and efficiently.
3. Develop the Right Mindset
The right mindset can separate an average trader from a superior one. This is true for any profession. You may be willing to push forward in life, but without the right mindset, your strategy probably won’t work.
For SSfx, trading is 80% psychology. The right mindset is the key to becoming a superior trader.
How Is TFT Currently Helping SSfx as a Trader?
The Funded Trader has a much deeper market since it’s backed by one of the biggest MetaTrader 4 (MT4) and 5 (MT5) brokers, Eightcap. Traders can unlock up to $600,000 in their trading account and start earning profits in real time.
In addition, TFT has several useful tools and resources that helped SSfx generate her profit. For instance, traders get a visually strong dashboard and an engaging user experience that keeps them focused. They can also access a network of trading professionals who share tips and best practices.
Wall Street Trader’s Struggles and How She Overcame Them
Even a good trader has bad days, and SSfx is no exception. Her biggest loss occurred in the 2008 recession when she lost millions of dollars, real estate, and several assets. As a Wall Street retail trader, she was close to bankruptcy.
Back then, she invested her own money in the trade and had a different mindset about trading. By shifting her perspective, she propelled her trading career to new heights.
“I can only trade what the market is giving me, not what I want out of the market,” she said.
Simply put, avoid wishful thinking. Be realistic about the market, analyze your circumstances and risk appetite, then set clear goals and expectations.
SSfx’s Trading Strategies and Secrets to Success
A successful trader needs the right mindset, strategy, and routine. Here are some strategies that helped SSfx succeed:
SSfx wakes up every morning at 4:30 and analyzes the market for two hours. This is a great approach. Waking up early gives you a head start and time to analyze the market with a fresh mind and zero distractions.
Reading charts consistently will give you a good idea of trends. SSfx looks at two main elements: consolidation and breakout. She then writes down the trends and plans her trade accordingly. This is another good habit of a successful trader. Writing down and noting your plan and past trades will reveal valuable information about your trading habits and patterns. From there, you can identify the mistakes you make.
Meditation and regular breaks also help SSfx stay sharp. This keeps your mind fresh, lowers the chances of impulsive decisions, and helps you spot new trends you may have missed.
Follow the Trends
SSfx has a rule for success: always go with the daily trend, never against it. If you’re a long-term investor, then look for primary trends. Swing traders should capture secondary trends that last for days or weeks. Minor trends are useful for day traders and scalpers.
Whatever your approach, the key to success is how well you can time the trend. This requires experience and practice.
Remember, trading is both art and science. If you’re consistent and follow your strategy, you’ll soon see your profit margins grow. SSfx says 90% of the work is market analysis and data collection, and only 10% is execution. It’s all about the details.
A majority of SSfx’s success has come from trading crosses. This lets her analyze the strongest and weakest currencies. She prefers trading crosses over straight dollar pairs.
While most people avoid trading crosses, SSfx feels a dollar position is hard to hold since the dollar is news-driven. As a result, dollar trends can move up and down with many swings in between.
For example, if the Sterling-Aussie and Euro-Aussie pairs both look like they’re trending up, SSfx will look at the best option and buy that one. So, if the Euro-Sterling is going down, she will buy Sterling-Aussie. This keeps things risk-free and enables her to trade the best cross-pairs.
Currencies like the Euro and the Australian Dollar have also become much stronger. She personally finds pairs like Euro-Sterling, Aussie-Yen, New Zealand Dollar-Yen, and Canadian Dollar-Yen quite profitable.
To sum up, do your research to find out which currencies are the strongest and weakest. Then, buy the strongest currency and sell the weakest one.
The Importance of Focus
In trading, getting in the zone is vital because it involves keen observation, gathering information, and making smart decisions. It’s hard to trade under pressure or in a noisy environment—and even harder to be successful.
SSfx purposely puts herself in isolation. She doesn’t look at social media when she’s trading to avoid information overload.
Nearly all her trades come from technical analysis, as SSfx previously worked as a technical analyst for a large hedge fund company in her time as a Wall Street trader. For this, she must pay full attention to spot trends. Isolation and focus help her concentrate.
Avoid Trading Euphoria
The greatest advice she shares is to avoid trading euphoria. Trading right after you secure a large profit can be detrimental. You’ll go into your next trade with a false sense of confidence and may act recklessly.
SSfx’s Advice to Future Traders
Clearly, the former Wall Street trader is no one-hit-wonder. SSfx was consciously focused on her goals and had a slew of rules in place to help her trade with clarity. She offers this advice to future traders:
Write Down Your Goals and Purpose
The most important part of trading is knowing where you want to be, so start by identifying your purpose. Without purpose and an attainable goal, you cannot be a successful trader.
To uncover your purpose, ask yourself specific questions, such as:
- Am I doing this for my children?
- Am I doing this to buy a house?
Once you have your commitment and purpose, you can go to the next level.
Maintain Focus and Balance
We live in an attention economy. There are numerous apps that can distract traders and make them lose focus. It’s also easy to let your emotions take over when trading, whether you take a profit or a loss. The euphoria or anxiety makes you emotional, which leads to reckless trading.
It’s not easy to keep emotions under control all the time. When you struggle, go back to your goals and purpose. For SSfx, her focus is on her children, which keeps her grounded and in a balanced state of mind.
Meditation enables you to stay focused for long stretches of time. Always meditate before you start your work. If you’re coming back after a break, pause, take a few deep breaths, and remember your goal and strategy. This will bring back that razor-sharp focus.
Know When to Stop, Walk Away, and Come Back
Trading comes with many back-and-forths. You must learn when to stop, walk away, and come back. Losing focus can affect every aspect of your trade. When you become distracted, it’s a sign you should step away; otherwise, your trading can be counterproductive.
Don’t Trade to Pay the Bills
Never trade to pay the bills or solve financial issues. Trading is risky. Whether you trade with your own capital or a prop firm’s, you’re taking on a big responsibility. So, it’s important to treat trading as a side hustle, at least in the beginning, and not as something to pay the bills, pay someone back, or pay your loans.
Start Off Small
To be a smart trader, concentrate on small victories so small losses don’t hurt. This also ensures you avoid big failures. What’s more, don’t rush and trade under the gun, since it can increase the chance of a loss.
Develop an abundance mindset—believe there are enough profits for everyone and be grateful for even the smallest victories. If you trade from a scarcity mindset, you’ll only see limited profits, which can increase your stress.
This is true for almost any area of life, not just trading. A person who stays positive in the face of bad outcomes and is neutral about wins has the potential to achieve the biggest results.
Find a Reputable Prop Firm
Lower your risk by trading with a quality prop firm instead of your own capital. This proved to be a game-changer for SSfx. If you’re just getting started with a firm like The Funded Trader, the former Wall Street trader shares these pointers:
- If you’re trying to pass the challenges, be patient. Success in trading comes from experience and time. Take your time and be patient with the results.
- Keep looking at the charts, stay focused, identify your indicators, and wait for the right opportunity to come.
- Take the time to clear your mind and confidently act when the time comes. Trade from a place of confidence, not fear.
From a Wall Street Trader to Beginners: Anyone Can Succeed At Trading
SSfx was a Wall Street trader who transitioned from retail trading to funded trading. Her prop firm of choice was The Funded Trader because of its huge market and exposure. SSfx leveraged her personal knowledge and The Funded Trader tools to earn a record $203,061 profit.
She’s not alone. Hundreds of traders have earned funded accounts and are successful traders. Not all of them are Wall Street traders—many are students, stay-at-home parents, and young professionals. But they do have a few things in common: dedication and a belief in their strategies.
The Funded Trader provides resources, tools, and support to help you on your trading journey. With our backing, you too can become a successful forex or cryptocurrency trader. Learn more and get started today.