How to Become a Forex Trader

[braforex81]

• Develop a trading plan and always adhere to it.
• Only trade when you feel it's the right moment.
• Set stop-losses for every trade. ...
• Keep your emotions separate from trading.
• Don't risk more than 5% of your margin per single trade.
• Never trade to compensate for your losses.

 

[Kevin FD]

developing a trading plan is really necessary , every faction in this trading place is uncertain so we the traders of course should develop our trading strategy , otherwise no way to survive successfully.

 

[Roy Tomkinson]

Can someone recommend a few trading strategies?

 

[0FXTrader0]

Best advise is to ditch TA asap and build lists on twitter and follow news and how it affects prices. Build a framework for how markets move.

 

[NVP]

10,000 hours ......as a warm up

And remember > 97% of traders fail over time ....so whatever most are doing is wrong

NVP

 

[Henow1969]

Having a good and working plan is very important to be successful in Forex trading. If you have a good plan and strategy then it would be easy to succeed in forex.

 

[CavaliereVerde]

easy to succeed in forex.

I never found a trader with 2 years decent trackrecord with a total experience lower than 5 years.

You don't need a PHD to be a profitable trader, but you need to study and work your ass like for getting a PHD.

 

[HeavLeighGill]

Good points - I'd also suggest testing your trading plan beforehand on demo to ensure that it is a good one. Also, being mindful of the psychological and other differences between demo & live is helpful as you ease into trading on a real account.

 

[Farm Yard Forex]

A trading plan is a must. Imagine starting a business without a plan. Same thing in my eyes. Also I find it scary how someone new traders think a stop loss is something to skip on.

 

[PipjappBevy]

I really like your point on trading psychology. Many traders ignore this part and end up doing overtrading, which could be as a result of greed or revenge. In both cases, traders are most likely to lose their money.

 

[washono]

All traders should keep the points you’ve mentioned in mind while trading, especially the last one. When a trader tries to compensate for losses, he suffers bigger losses, and it becomes a chain reaction. So, forget the trade that you lost and start over.

 

[WalletInvestor]

In my opinion, it is better to not risk more than 2-3%, especially if you are a beginner. Otherwise, these are pretty sound tips to follow.

 

[progix]

2% is the industry benchmark so we should follow the rules and should not move above the benchmark level or we should be eliminated from the market in long run.

 

[WalletInvestor]

I always go by this rule: “don’t risk more than you can afford to lose.” Forex trading is less about winning, more about controlling your risk. Risk 1-2% per trade. Incorporate stop losses & T/P orders in your risk management.

Yes, that's a good rule of thumb and I like your approach. Sometimes we can be biased towards focusing on our winning trades, but it is crucial not to ignore managing one's losses in favour of maximizing one's wins.

 

[Jungletrader]

I like your post and having a trading plan is essential.
Only critique I have is the 5% max per trade I would put it at no more than 2% but that's personally

 

[progix]

Cut it short and keep it simple invest what you can afford to lose in this forex trading industry. Learn before you invest and soon you will get to know how much you need to put at stake for earning something from the market.

 

[sharabela]

• Develop a trading plan and always adhere to it.
• Only trade when you feel it's the right moment.
• Set stop-losses for every trade. ...
• Keep your emotions separate from trading.
• Don't risk more than 5% of your margin per single trade.
• Never trade to compensate for your losses.

You made some very good points here. Setting stop loss with every trade is a must do thing. However, with risk management, I would recommend that we should take 2% risk in a single trade. Experts suggest that a single trade should be taken with 2%-5% risk. I personally feel 2% is the best way to deal with the market.

 

[LucifarFx]

Cut it short and keep it simple invest what you can afford to lose in this forex trading industry. Learn before you invest and soon you will get to know how much you need to put at stake for earning something from the market.

investment is a pre planned issue , if traders make this decision with cool mind then it is okay , if not any kinds of large invest can be useless.

 

[jonahelen527]

Forex traders should learn the nitty gritty of trading and should develop appropriate skills to be a successful trader.

 

[Jasonn]

To become a successful trader it is important to have excellent trading skills and in-depth knowledge about forex trading.
This can be acquired over time with experience.