5 Things I have learned in 5 years of trading!

tomsmiths

Junior member
28 7
Great tips. Trading definitely is not a get rich quick scheme. You can’t make money in a day. It takes time and if you are a beginner you should not think of money. Just focus on learning because waiting for good results will only disappoint you in the beginning when you don’t have any prior experience.
 

earlchristensen

Junior member
40 5
Your forex trading career will take time to grow. The earlier you understand this, the better you will do. Keep learning but not at the condition of making quick profits. Learn to improve your decision-making power and you will do well.
 

sebking1986

Active member
206 69
To add to my original point about trading taking time - I think a big mistake many make is that they blindly go into using signal services out of a desperation to make money without consideration for what type of trader they are and how much time they have to dedicate to trading. It might be a scalping strategy but they can only commit to swing trader lengths of time at the charts and this means they end up missing winners and thus increase the variance of their results.
 

rochellcurtin

Junior member
20 3
@RachelFX I agree. Trading is not a bed of roses. If you are expecting big bucks you should be willing to face the problems as well. Everything comes at the expense of something else.
 
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no_frame

Junior member
44 7
1. A broker is not that important. 90% of them are fine so use whatever one you are comfortable with. I use CedarFX as I use Bitcoin to deposit and withdraw and it is very quick, also the tree planting is good. It all helps.

2. Social media “gurus” often don’t actually trade themselves and make their money conning the vast majority of people coming into trading looking for quick cash – don’t get caught out!

3. Nobody can give you a ready-made strategy and then send you off to start making money. A strategy is something personal to you in terms of time, risk tolerance, psychology, speed of the market etc. Take bits from different sources and then take the time to formulate and test your own strategy that fits your own parameters. There is no “one-size fits all” in trading.

4. Trading of any type is NOT A GET RICH QUICK SCHEME! It takes time for the above reasons to first learn the basics and then formulate a strategy, test it thoroughly and implement it.

5. Set achievable goals – when you first start break even at the end of the month might be a great target for you and that is fine. Not losing long term is priority number one to protect your capital. Don’t compare your 1000hrs of practice to another person’s 10,000hrs. Be better than you were 6 months ago and focus on that.


What else have you all. learned in your time trading?
Agree with 4th point the most but there are so many who think we can make easy money in forex which is not so. One needs full dedication, knowledge and patience to earn big here.
 
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sebking1986

Active member
206 69
Agree with 4th point the most but there are so many who think we can make easy money in forex which is not so. One needs full dedication, knowledge and patience to earn big here.
Honestly social media is full of these types. The issue is there are so many sharks capitalising on the pandemic and seeing so many out of work and desperate. They sell forex as something that is as easy as opening an account and money just floods to you when we all know the reality is quite the opposite!
 

FerarriBit

Newbie
4 1
Forex experts have long identified the causes and manifestations of common mistakes made by novice traders. The two main reasons for these mistakes are greed and fear.
Beginners very often close trades too early, seeking to lock in small profits. This is fear. As a result such trader often misses an opportunity to make a really significant profit on his deal. The other extreme is when a beginner in pursuit of super profits does not close the transaction against all forecasts and against the market trend. This is greed. As the result a profitable deal goes in the red.
A fairly common mistake - not wanting to fix the loss, the trader holds unprofitable transaction in the hope that the market will change in the opposite direction. Such tactics often only increase losses.
One more common mistake is trading too aggressively. Many beginners start to open transactions with the whole amount of their deposit thus exposing themselves to maximum risk.
 
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Jungletrader

Member
87 12
Revenge trading is a traders curse .
I even did it on demo lol 😆
Seriously it's a one way ticket to blown accounts
 
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Yanezez

Junior member
11 0
Good thread! I did not want to start a new thread as im prob. the millionth to post this.

I have taken a consistent loss on VIX these past 2 months, with gains on other stocks/ETFs. I am not sure if emotion or not but I am considering pulling out of VIX and move back in in about 2 months for hedging.

Would you leave the money there (assuming you believe a correction is coming)?
 

pipfighter

Junior member
33 6
The most important thing that I have learnt is being too emotionally invested in a trade can lead you to make ill-informed decisions that ultimately have the potential to cause financial losses - whether that’s being overconfident and making risky trades or being under confident and missing out on potential profits.
 

Glastonburyk

Junior member
21 3
1. A broker is not that important. 90% of them are fine so use whatever one you are comfortable with. I use CedarFX as I use Bitcoin to deposit and withdraw and it is very quick, also the tree planting is good. It all helps.

2. Social media “gurus” often don’t actually trade themselves and make their money conning the vast majority of people coming into trading looking for quick cash – don’t get caught out!

3. Nobody can give you a ready-made strategy and then send you off to start making money. A strategy is something personal to you in terms of time, risk tolerance, psychology, speed of the market etc. Take bits from different sources and then take the time to formulate and test your own strategy that fits your own parameters. There is no “one-size fits all” in trading.

4. Trading of any type is NOT A GET RICH QUICK SCHEME! It takes time for the above reasons to first learn the basics and then formulate a strategy, test it thoroughly and implement it.

5. Set achievable goals – when you first start break even at the end of the month might be a great target for you and that is fine. Not losing long term is priority number one to protect your capital. Don’t compare your 1000hrs of practice to another person’s 10,000hrs. Be better than you were 6 months ago and focus on that.


What else have you all learned in your time trading?
All pretty solid advice mate. A younger version of myself probably wouldn’t he did it but it’s something you learn through trial and error!
 

S Hughes

Newbie
3 0
To add to my original point about trading taking time - I think a big mistake many make is that they blindly go into using signal services out of a desperation to make money without consideration for what type of trader they are and how much time they have to dedicate to trading. It might be a scalping strategy but they can only commit to swing trader lengths of time at the charts and this means they end up missing winners and thus increase the variance of their results.
Glad you added the extra. It is no use giving out advice without looking at what the problem actually is. People are turning to forex and more so crypto trading to "make money" the idea of enjoying it and being interested in trading take an absolute back seat in this day and age. People are risking and losing a lot, the % of retail investors that lose all their money is only going up, never down. Trading is more than risky, if you are in it for the wrong reasons then prepare to lose a bunch of times.
Thanks for taking time to try and educate these guys where you can, not that many will listen
 
 
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