Are full of enthusiasm and anticipates huge profits. Some minds are rationalism and think about the question "Why there are so many traders, but few of them really earn?" in this article we will talk about ways of beginner and try to help him avoid some of the pitfalls.
1. t enirujtes′!
Mean trading on a demo account, and after successful testing your trading system (TS)-cent. You see, the real money, albeit small, feel very different than when you know that the risk of virtual "inauthentic" money.
Using the demo or cent account trader:
● supports himself in good form.
● develops "feelings".
● can test new trading techniques.
● can parse errors from trading on a real account.
● expanding comfort zone, increasing the deposit.
Not brezgujte cent accounts, even if you are a trader with experience using new methods of trading, you will significantly reduce the risk of losing money. Making sure that everything is working, go on a dollar account or increase your deposit.
2. search for new tactics
The main feature of the Forex market is constantly changing the rules of the game. Due to the new economic conditions (mostly) the market is constantly changing. That is why it is better to use more than one approach to trade.
Many traders believe that there are only 4 trading tactics:
1. when the deal closes, scalping up a few minutes later with a profit of 1.
2. Trading on the changing trends of the day at the close of a session and opening another. Usually the market takes place in the transition from European to Asian session, which goes against the American.
3. intra-session target is 30-50 points.
4. Position trading in the medium-term trend: the weeks and months ahead. Requirements: clear trading system and big capital.
3. don't be greedy
Despite the widespread belief that you cannot earn by trading a minimum lot, this is not the case. On the contrary, the minimum lot is psychologically comfortable solution for the beginning trader. You can then gradually increase trading volumes.
4. do not trade against the crowd
Understanding the mood of the market ", is open most of the positions in this side. The trend is our friend. Do not catch short recoils, which requires experience and skills, try to first learn to make a small profit on strong movements.
5. no timesheets
Trading plan must be, but not every day of the fixed income market, it is changing. If the situation is unclear, if the currency movement does not fit into your understanding of the market-don't trade at such moments. Also do not enter the market just because you are tired of waiting. Traders said: "to be out of the market-is also a position".
Before entering the market, be sure to identify the desired point of entry and the level at which you commit profit/loss. For each of your actions must have a very good reason. Therefore, awareness and commitment are very important for the beginner.
6. profit and loss Ratio
At least they should be equal, and then seek to increase profits while reducing losses. Rookie commits profit immediately after achieving a small profit, an experienced trader makes profits grow.
Placing stop loss orders, try to keep the possible profit was more than a loss. Otherwise, your deposit will be slowly melt. If you see that the market goes against you-feel free to close an unprofitable position, do not let the losses pile up.
7. the margin of safety and mitigating risks
Your deposit must be capable of withstanding a (solid) drawdown. Use money management when you open positions and stop loss orders. When the price goes against you, it is better if you know what weather such a movement.
8. limit information
Read only the information you need. Ignore analysts and "guru"-you have a head on his shoulders. There are always a lot of information, but the novice trader should always choose only reliable and useful it information sources. Between the judgement of the market and the actual opening of the transaction, the entire gap. You must be a practicing trader.
We do not recommend to use complex trading systems. The ideal VEHICLE shall be such that you can for 3-5 minutes to explain it to another trader. All ingenious things are simple, right?
9. keep a diary
A simple and effective technique. Analyze not only of future but also of past (and market). If you understand why a profit or loss-you will come in the future take goraz on fewer errors.
10. Psychology and emotions
The trader is always cool. No rush, excitement, greed or fear. Keep yourself in their hands, and it will pay off in full. Enjoy your profits after the closed Terminal. The lost mass is grieving-find the cause of the loss and make conclusions.
Trade in any successful trader is based on rational decisions (sometimes on intuition), but never on the emotions.
You, yourself, your knowledge, skills, thoughts and actions are what counts in trading. Secondary market. A successful trade, the novice trader, and remember that the profitability of trade is highly dependent on your chosen broker!
The concept of online trading
The foreign exchange market to 2012