The Forex market is a Signal Steps symmetrical one. What I mean is for every advantage Forex offers, the very same aspect can become a trader's worst enemy. Take Forex volatility for example.
Due to Forex volatility, the opportunity for profits in the Forex market is unprecedented. On the flip side, that same volatility can lead to devastating losses almost instantaneously.
The big question is how does a trader capitalize on that Forex volatility to his or her benefit and not let it become the cause of his or her failure in the Forex market.
The answer, while it might include many different aspects, is actually one; trade responsibly. It all starts with discipline. If you trade Forex with discipline, act based on what your strategy tells you and not what your heart or pocket tells you, then nine out of ten times, the volatility will work in your favor.
So how do you trade responsibly? Well for starters, don't be greedy. Set tight stop losses when there is high Forex volatility so that if and when the market goes on a nosedive, your position will trigger the stop loss and you will walk away with minimal damage.
On the other hand, use take profits religiously.