Many people have heard of Forex today. Word of mouth and advertising in the media did their job. Now you can easily find people among your acquaintances who have tried to trade on the stock exchange. This can be explained by the fact that not only professional traders, but even those who understand little about this can make money in the foreign exchange market. And this is no coincidence, because in the era of high technologies, almost everyone can start making money on Forex, the main thing would be the desire to work and study on the exchange market.
Instructions
Step 1
Start simple. Choose a market for yourself and study the history of the exchange rate of this currency over the past few years. Find out how the price changed during this period, what trends appeared, mark the resistance and support levels and note the nature of the price behavior next to the mentioned levels. Analyze the behavior of market indicators, to what extent their signals corresponded to the subsequent price movement.
Step 2
Make your own decisions on your deals. You are a trader and you are fully responsible for your work. Therefore, always act in accordance with your trading plan. Moving away from the opinion of the majority, you can adequately assess the market situation, and this is the key to successful trading.
Step 3
Learn from the mistakes you make. Analyze your failed trades in depth. If, after making a mistake, you analyzed the situation and understood exactly how you made it, do not worry too much about the lost money. The experience gained is worth paying for. The main thing is that it goes for you, and you do not make similar mistakes in the future. Also, learn to get rid of unprofitable positions in time before they are too large.
Step 4
To be successful in stock trading, you must have at least a minimal edge over the market. A trading system that has been tested using historical indicators and has shown excellent results will help provide it. It should be simple and completely understandable for you, and besides that, it should be easy to adapt to constantly changing market conditions.
Step 5
One of the main conditions for success is discipline in Forex trading. A large number of traders are losing money with quite effective trading systems. The secret is simple, and it lies in discipline - in the ability of a trader to unconditionally follow his trading system, not to give in to emotions, on time and correctly react to all signals. Human weaknesses such as greed, fear and hope can nullify the benefits of even the most profitable trading system.
Step 6
Reasonable risk is indispensable in Forex. To start trading, you must have some capital. An experienced trader risks only the amount of money that he can lose without serious consequences for the budget. This awareness is necessary for making informed and reasonable decisions. Therefore, to begin with, decide how much you are willing to lose without bad consequences for yourself. If you are constantly in the grip of the fear of losing money, you will certainly lose it.
Step 7
Let your profits run and you get the best results. Profits can, and sometimes be better, risked. With a trend reversal, losses can be easily reduced to zero, and if a trend develops, you will receive additional profits.
Step 8
Build your trading pyramid correctly. If the trend develops in a good direction and matches your forecast, build up your open position. The trading pyramid must be built so that the next increase to the position is less than the previous one. Only in this case you will have an average rate that allows you to survive short-term price rollbacks without losses.
Step 9
Exchange trading is a lifelong business. If you treat Forex as the most serious business that you can do your whole life, you can get everything - both satisfaction and money from the very process of trading. Success can only be achieved by gradually, systematically climbing the ladder of professionalism, gaining practical experience and mastering all the wisdom.
Step 10
Learn to see cyclicality in market processes. Increase your positions during favorable periods, and decrease in the opposite situation, so you will succeed in trading.
