I blieve this question can be broadened to trading in general not just forex.
I would say you need the adequate discipline, the correct psychology, a system that fits, the willingness to learn, and a capital you can lose. Let me elaborate each.
1. Adequate Discipline - I always start with this one. Trading involves discipline to follow a system may it be manual or automated. Yes, even automated systems need discipline. Running one still involves occassional intervention and monitoring and involves discipline. And you build discipline when you gain confidence in the system you use. You gain confidence if you've stuck long enough with your system and have profitted from it.
2. Strong Psychology - in a forex community I've been involved, this was one thing emphasized. From experience, anything that invovled money also involved emotions. And anything that involves managing our emotions require a strong psyche.
3. Fit System - this is something you've built or copied. There are a lot of factors to consider here: When will you be trading? How often will you trade? When will you exit to either take a profit or take a loss? Will you be trading fundamentally, technically, or both? I believe these are just some of the questions every successful trader should be able to answer.
4. Willingness to Learn - Education for short. Every trader started somewhere, and they started from not knowing. They then educated themselves to move themselves to knowing and then eventually to doing.
5. Capital You're Willing to Lose - I consider trading a business - it needs capital to start. Whether it be capital invested by others or money you invested yourself. If you're just starting, I suggest the latter - it somehow lessens the pressure to immediately profit from trading. Did I already mention that it should be capital you're willing to lose? Yes, I did. The repetition's intentional.
Succeeding in forex trading requires a lot of work. You need the right strategy and discipline. The right strategy will signal you when to enter the market and when to get out. The right strategy will also tell you when to allow your profit to run and when to take the little one that you've got. The right strategy will teach you how to use stop loss and take profit. The right strategy will be responsible for 50 percent of your success in the market while discipline is responsible for the remaining 50 percent.
Discipline in forex trading is all about how you stick to your strategy and handle winning and losing trade. Most people losr in forex trading not because their trading stratgies are wrong but because they lack the discipline to stick to their strategy and handle losses and winnings.
If you can master these two, you would succeed in forex trading
You cannot become a successful trader without proper money management. Regardless of what other traders tell you, always, always use a stop loss order. A stop loss order is essential for the trader’s psychological peace of mind. The stop loss is to be placed in a logical place, behind a prior swing high or swing low. This order is intended to cut the traders loss to a small loss and to prevent catastrophe. In an odd way, executing your method precisely also is a money management tool because by executing your method without hesitation will allow the smallest stop loss order.
Set stop-loas for each exchange. Something else, disappointment is relatively sure.
Build up an exchanging plan and dependably cling to it.
Try not to chance over 2% of your edge for each single exchange.
Keep your feelings separate from exchanging.
Never exchange to make up for your misfortunes.
Just exchange when you feel it's the correct minute.
Try not to fear misfortunes, each dealer has them.
Endeavor to accomplish more gainful exchanges, and have less unsuccessful exchanges