InvestingViews.net Forex Experts give tips to beginners
01 / August / 21 Visitors: 88 ★★★★★
A newcomer to the market is always full of expectations and wants to get more profits. Few minds take a critical approach and think about the question: "Why are there so many traders around, but only a few of them make money?" In this article, InvestingViews.net Forex experts will guide you through the path of a beginner trader and try to help you trade without major losses and hassles.
InvestingViews broker advises: 1. Exercise!
For InvestingViews Forex is a constantly changing market, so you need to test your trading system in real field to start increasing your investments. On real money, albeit small, sometimes it works completely different than when you know that you are risking some virtual investments.
Using the broker's InvestingViews account, the trader:
- keeps himself in good shape.
- develops a “sense of the market”.
- can try new trading methods.
- can investigate real trading errors.
- expands the comfort zone by increasing the deposit.
Do not ignore small training accounts, even if you are an experienced trader - using new trading methods, you will significantly reduce the risk of losing money. After making sure everything works, switch to a real account or increase your deposit.
The recommended broker for trading is InvestingViews Forex broker.
InvestingViews broker advises: 2. Develop your own strategy
The main feature of the Forex market is the changing rules of the game. Due to new economic conditions (mostly) the market is constantly changing. Therefore, it is better to use not one, but several approaches to trading.
Many traders think that there are only 4 trading tactics:
- Scalping, when a trade closes at a maximum in a few minutes with a profit of several point.
- Trading on the change of trends within the day at the close of one session and the opening of another.
- Trade within the session with the target of 30-50 points.
- Positional trading on medium-term trends: weeks and months. Requirements: a clear trading system and large capital.
InvestingViews broker advises: 3. Don't be stingy
Despite the prevailing opinion that it is impossible to make money by trading the minimum lot, all depends on your trading system. On the contrary, the minimum lot is a psychologically comfortable solution for a beginner trader. Subsequently, you can gradually increase the trading amounts.
InvestingViews Forex Broker Advises: 4. Don't go against the crowd
Understanding the "market mood", you can open most positions in this direction. The trend will always help you. Catching corrections and short pullbacks requires experience and skills, so best thing to start with is learning how to make a small profit.
InvestingViews broker advises: 5. No schedules
You need a trading plan, but you cannot get a fixed profit every day - this is a market, it’s volatile. If the situation is unclear, if the movement of the currency does not fit into your picture of understanding the market, just don’t open any trades. Also, do not enter the market just because you are tired of waiting. As traders say: "Being out of the market is also a position."
Before entering the market, be sure to determine the desired entry point and the level at which you will take profit/loss. There must be a good reason for every action you take. Therefore, awareness and determination are very important for a beginner trader.
InvestingViews Forex Broker Advises: 6. Loss/Profit Ratio
We strive to increase profits while reducing losses. A beginner fixes a profit immediately after reaching a small profit, an experienced trader allows the profit to grow.
When placing stop orders, try to make the possible profit greater than the loss. Otherwise, your deposit will slowly melt. If you see that the market is going against you - feel free to close the losing position; do not let the losses accumulate.
InvestingViews Forex Broker Advises: 7. Limiting Risks and Protecting Stability
Your deposit must withstand a certain (intentional) drawdown. Use money management when opening positions and stop orders. When price moves against you, you shall be confident that you can resist it.
InvestingViews Forex broker advises: 8. Filter information
Read only the information you need. Ignore most analysts and gurus - you have your own head on your shoulders. There is always a lot of information, but a novice trader should always choose only reliable and necessary sources of information – like your broker advises. There is a gap between evaluating the market and opening a trade. You must be a practicing trader, so the only advise you need can be provided by the person who’s interested in your success.
InvestingViews Forex broker advises: 9. Keep a diary
This is a useful skill. Analyze not only the future, but also the past (your actions and the market). If you understand, why you made a profit or loss, you will be ahead and make lesser mistakes in the future.
InvestingViews broker advises 10. Psychology
The trader must be emotionally stable. No rush, excitement, greed, or fear. Control yourself and it will pay off completely. Rejoice after the terminal closes. Do not grieve about the lost funds - analyze the situation and make conclusions to make larger profits.