3 Trading Tips For Forex Success -Forex Trading
I have my own unique trading outlook. I look at forex trading from a totally different perspective then most people. What I look at is simply a game of probability. There are many Forex traders who think they are certain this is where they are going to make money, but for the majority of traders the odds are clearly not in their favour. So how would I describe the “game of probability”? The game of probability works on probability. In this case the probability is you will have losing trades.
You can’t do anything about the percentage that you lose, but you can make sure that you win in the long term, and here is how.
Property of the 80 Percent TRADERS
In Forex trading it is vital to see the value of an expert trader as of the value of a system that has been tested (this doesn’t necessarily mean back-tested, but trading the system backwards for real with that information is almost the same effect). For me, it is essential that your expert advisor, or expert advisor, has a positive, almost guaranteed, handle from the start that the equity curve is at least 60% over the 12 month period. This EMBER, Remember, that successful traders both win and lose for periods of months at a time. If you are trading long term, I feel that you really do have to have something that works over the long term, otherwise you are simply taking yourself out of the game.
Again, these are my views and not necessarily that of a professional advisor, so tread with caution.
Money Management Rules
Efficiency and Discipline:
Strategy- If your EA or trading system is worth its weight in gold, then you must have had an EA that you are totally confident over the long term of conveying a decent return. You need to observe a system evidence of a consistent trading strategy over time. It will be absolutely necessary to put it through demo trading for a reasonable period of time to ensure that it is money tangible for your money.
Short term abandon:
Most of traders love the concept of trading short term, even if the logic is absolute rubbish! So despite the claims, for a period of time, that you make money from day one, take the signals, and put in some profits, then get out. Because let’s face it, you will lose money short term. Then get out and move on. From a long term point of view (the point where it actually does make sense to trade long term), it takes time not to trade, but to adjust your stops in favour of long term profits.
Steps to Trading:
Strategy- Nothing is perfect (but sue us, you can make money from poor), so you need to get your hands dirty with some trial and error. You will do this as your confident, debt ridden trader regain the Wave of bee high water. So let’s get out there, get online, and do it.
Traded accuracy (means how accurately A.I trading signals identified the position) for the strategy Average percent profitability Profit factor (if weaver. this is something that can’t be automated and to do it could cost a lot of pips)Time per day (is it necessary to be in the market all the time?)Trading forecasts
If we meet these criteria for the strategy and psychology, you are now starting to get a feel for the Street Legal Trader. We will be looking at trends. Yes trends. Check out what trends? How do you find them and what trends are the most normally occurring? From my experience traders hate looking at charts. charts are great! but if you don’t look at trends you don’t know what is happening in the market. Trends offer you the chance to spot a new trend, and spot its pertinent high and low every second in the market everyday.
Now I will tell you if you want to trade. Try to spot a minimum of 7 trends a week. Yes seven. Now check which ones are the most likely to trigger a huge profit. clients dominantly have more then one exit strategy. We take exit numbers into consideration when we developing our money management strategy. We go beyond just stop loss and take profit points, we trend limit strategy work. I know we all have different ways of doing this, and some ways better then others, that’s why we all have a different risk tolerance, but by still sticking to a minimum number of trends per week you should have pretty clear idea of when the market is likely to reverse or go sideways another day. Remember we are trying to figure out where the market is most likely to reverse.
So after we identified which trends are most likely to happen, the obvious next step is to protect ourselves.