Market beginners at the initial stage can find it difficult to understand the basics of trading. I mean, of course, those who come to Forex with serious intentions and understand that it will take a lot of effort to achieve the goal. Accelerate the process of improving the trader’s skills by studying the experience of successful traders. They have already overcome a period of setbacks and losses and share their recommendations. If you combine them, you will get a very useful instruction, which can be called “Trader’s rules“. I strongly advise beginner traders to read it carefully and remember it. This information will allow newcomers to reach the level of profitable trading much faster.
Trader’s basic rules
- The foundation of successful trading is discipline. Adherence to the daily schedule and terms of the trading system are important components of profitable trading. If a trader doesn’t have any problems with life discipline, he won’t have them in trading either. If, as they say, “discipline lapses,” we’ll have to “heal” it.
- Successful trading is impossible without emotional stability. Unfortunately, quite a strong emotional background accompanies the trading of many newcomers to the market. And as practice shows, only a balanced, calm state in any development of events on the market allows a trader to make the right trade decisions.
- Trader’s arsenal should have several trading systems. In this case, you should not change the TS immediately after the first unprofitable trade is closed.
- Trade orders can be opened only if there is a signal and the corresponding fundamental factors. Systemic trading, only to be in the market, will necessarily end with the loss of funds.
- We need to find a balance between the amount of allowable loss and the amount of potential profit. The hope that the market will someday turn around and still go in the direction of an open trading position, in the overwhelming number of market situations does not justify itself. The desire to get as much profit as possible also often leads to losses.
- The desire to recoup the loss immediately in practice can increase it. Take your time. The market works around the clock. It is necessary to be patient and wait for the appearance of a quality signal to open a trade order.
- Incorrect trading decisions are not catastrophic. This is a reason to analyze deals and optimize the trading system.
- The chosen style of trading should correspond to the set goals and peculiarities of the trader’s character.
- Trade failures are only the trader’s fault. The ability to admit your mistakes is necessary to eliminate them. Which, in turn, is an important condition for successful trading.
Trader’s rules in the Forex market, which I have told you about today, of course, are not exhaustive. But even their strict execution will already have a positive impact on the trader’s trading account.Fyodorov Inga20.08.2018