How to become a successful forex trader

How to become a successful trader

To become a successful trader you must have sufficient risk capital, the loss from which (or parts of it) will not completely destroy your morale - you must be able to deal with this ordeal calmly and this should not achieve your lifestyle anyway. Your mind should be in the market, not on your revenue. You should focus on the exchange task and stay calm, to make the right trading decisions. The remnants of your recent revenues should never be used for trading - liability and pressure will be very large, and your mind will get lost to your gains, not towards market positioning, so the probability of mistakes will be great.

Trade defensively.

In football classes, the most important rule for playing defense is not attack. Think about what you could lose as opposed to what you could gain. Expect the assumptions and plan ahead, rather than receiving the order. Suppose to trade defensively, the market will break you. Calculate the maximum reduction possible . Adjust your breakpoints, if necessary, to where you are comfortable. Develop a plan to evade the market. Then if the market moves against you, you are ready. Protect what you have.

Develop and associate a trading plan.

Every trader should develop his method of trading. Methodology, or the trading model, may be based on material factors, technical indicators, or both. Before you take a position in the market, make sure your trading approach is correct and profitable. It is important in your trading plan to determine how much you lose to the position. If you reach that limit. Get out . Stick to your plan and avoid the desire trade.

If you don't follow a plan, don't you have any. You need a valid trading plan that you can arm with the confidence you will need so much as you face trafficking under pressure. By following the specific directions, you will reduce reckless business meetings. Don't follow a trading plan blindly, however. If you do not understand the market mechanism or if your emotional balance is severely disturbed, close all your positions. And always pushed in your strategy not to invest based on rumors, this money is the money that we put at risk. Study before entering the market.

Control your emotions.

Always remember that all currency traders suffer from a high degree of pressure and sometimes suffer heavy losses. They live in anxiety, frustration, depression and sometimes despair. To become an ideal trader, you must learn to control these emotions. Don't let these emotions govern your business. Highly focused and confident, focused on what you do. Trade must be based on informed logical decisions, not emotions and deceit. You must learn to take an occasional day off in the week, which will help to reduce tension and maintain a positive trend. If you work well, this is a good reward. If your job is not good, taking a vacation will help avoid shocks and may help you to see the market from a different perspective.

If you are skeptical, get out of the market.

Uncertainty may sometimes show that something is wrong with your accounts or your exit plan is the only way to do this, especially if:

1. You don't know what to do

You can't sleep at night.

know yourself .

You need an objective nature and an ability to control your emotions, to hold a center and not to lose your desire to sleep. Although discipline in trade can develop a successful trader and make it seem passive with market positions. Instruments There are many exciting things happening in the daily market, so the trader may take a firm view of a focused direction and the ability to stand above short term conditions, or you will change your mind and position every few minutes.

Do not commit follies.

One important rule of thumb is to keep you in your account balance at least twice as much money as a margin account for a particular position. Reduce the number of positions, if necessary, and adhere to that rule. It can help you avoid trading decisions based on the amount of money in your margin account.

Isolate your daily trade from your desirable gains.

Do not hope for a big move in favor of your position in the market Vtjtk that being based on hope. Although hope is a great virtue in life, it can be a major obstacle for the trader. When he hopes that the market will enter their positions, senior observers and investors often violate the basic trading rules.

Do not create new opinions during business hours.

You must decide on a basic action plan. Decisions made during the day are set on the basis of price action or the emergence of news that is often devastating. Formulate a basic trading plan before the market starts or before opening any position, then look for an appropriate time to implement the decision that has been made

Take a break between every trade.

Successful trader commented. When I reach 90% of the mental activity, I have begun to achieve a neutral calculation. Anything below that would have started to lose. Taking a break from one trade to another would help establish an objective view of the markets, and tend to give a fresh look to yourself and confirm the way you want to trade for several weeks to come.

Don't follow others.

When everyone starts buying, they will inevitably take on the sale later and quickly when most advisory services nominate the purchase, for example, a successful trader prepares to move to a parallel business or take a position.

do not listen to others' opinions .

Don't let what others say affect your business. Otherwise, you will change your mind at every moment, sometimes it may affect you one of the views and make you regret not to keep your old center which is now reaping the fruits

Don't trade in many currencies at that one

If you try to get information and access to several markets, you will have a lot of trouble. Learn to know your limit, and trade through these limits

Please take care of those advances ..

Good luck