Key Performance Indicators (KPI) are must have statistics you need to get a true view into your business's profitability. You can run a seemingly successful business, produce lots of sales, always have line ups at your till, and sell out BUT if you're not profitable then what is it all good for?
Same goes for Forex. You need to do an inventory of your weekly, monthly, quarterly, and yearly profits, number of positive trades, negative trades, consecutive wins/losses, average drawdown, and put your trading performance in the hot seat. You can make all the great trades you want if just one or two trades wipe out your account.
It's about PIPs and KPIs, not dollars!
Don't get stuck on the almighty dollar. That's just a newbie mistake. Everyone's chasing the holy grail and making x amount of dollars every month and they forget about what matters. Pips. If you aren't making pips consistently then you won't be profitable in the long run. Sure, it's not exciting to trade with 0.01 or even 0.1 lots but that's not the point. If you're not making profits at 0.01 lots then you aren't making profits with 1.0 and you just saved yourself a bundle.
When you are consistently making pips, then only then can you scale your lots. Slowly increase your lot size, week after week. And when you are hitting a losing streak, you go back to a small lot size and figure out your mistake or what changes you need in your strategy.
It takes discipline. Otherwise you're just gambling and beginner's luck always runs out.
