The Adventurous Trader
This is a very interesting one because, as the name implies, the person with the “Adventurous Trader” personality type has a general tendency to be drawn toward adventures, and the same holds true when it comes to their trading as well.
Although excessive risk-taking is never good for trading, a certain amount of risk appetite does pay off in most situations.
This Adventurous Forex trader can, with a decent amount of development become someone that has the plasticity and elasticity that is necessary for trading the Forex market successfully.
The Adventurous Forex Trader is very flexible generally and when it comes to trading this is a great characteristic to have which comes naturally to them.
These types of Forex traders have no problem with being too attached to any particular trading method or idea and hence they can remain open-minded when they find themselves in any trading situation. This is a very important positive trait for long-term success because as we know the markets of today are always different in some way than the markets of yesterday. And, even more, there are times when usual historical market relationships completely break down leaving many traders puzzled.
It may sound somewhat surprising, but the Adventurous Trader typically will have the ability to look at and analyze large amounts of data. This allows them to determine what is important and what would work best for them in a particular trading situation.
Adventurous Forex Traders, however, are not generally easy-minded people and they will require facts and concrete substance in order to believe in something or deem it as true.
A lot of the traders of the “Adventurous” personality type, rather unsurprisingly, can be big risk takers as this is a form of adventure for them – something they are hooked on.
One of the most important advantages of the “Adventurous Trader” psychological profile is their ability to research large sets of data and accurately judge what would be the appropriate course of action based on their research.
And certainly, this is an important skill for any successful trader because the Forex market is moved by a huge amount of information every day that comes in all shapes and forms, from economic reports, media news stories, official policymakers‘ comments and geopolitical news.
As we discussed earlier, Adventurous Forex Traders have the advantage of not being too attached to one trading strategy or view of the market and hence they have the flexibility to reverse course and trade the market in the opposite direction if conditions have changed.
While jumping from one trading method to the next all the time is not the behavior of winners, there comes a point in time when the old trading method simply doesn’t work because times and market conditions have changed. Being too attached to what worked in the past can be a very expensive lesson when one sees his account balance sliding downhill.
It comes as no surprise then, that some of the main challenges for adventurous traders are overcoming the urges to take on too much risk.
Adventurous Forex Traders are generally prone to assuming greater risk than other personality types and that is a potential weakness that they need to work on.
In addition, they may also neglect the benefits of keeping a trading journal as a way to reflect on their mistakes and learn.
Staying on course with a trading plan or a trading system can be challenging to an Adventurous Trader as they are not people of routine.
They are usually prone to disorganization and may have problems with lack of discipline to execute the necessary steps in a trading plan. This is detrimental to success in Forex trading and will probably be a big roadblock for adventurous traders which they will ultimately need to overcome if they are determined to succeed.
Nevertheless, in the end, many successful Forex traders are avid risk seekers and fall into this trader personality type.