How can I get a lot of profit in every opened position? The question is often asked by the friends of traders who are still the first to cultivate this forex trading business? And if you look closely, the right question is how to survive and remain consistent to run this forex business.
Well, in this paper we will discuss about 10 tips to survive in this forex trading, including:
1) Never Sell Forex with Casino
Forex is not gambling but it is an online trading
Forex trading is not an event to gamble. Everyone is aware of it, but there are still many who do it. Forex trading is not a place that can generate millions of dollars in just an instant or in one night.
It takes a mature analysis and a deep enough understanding to be able to deliver results accordingly. Gamblers spend money or dream of making money in abundance in one night. If you treat forex like that, then you are not much different from the gamblers who are in a Casino.
No need to rush to get a profit in large quantities. Better to collect fewer but consistent pips than trying to get tens to hundreds of pips in just one trade. Remember, always have the mindset that forex is investing for the long term.
2) Do not Throw Money If You Have Not Been Experienced
It would be better if you practice or seek experience first using a demo account. It aims to familiarize yourself with the trading platform interface or try the trading system. Besides using a demo account also indirectly make you discipline in managing money management.
Lots of beginner traders have dared to open and use Real Account. Think they do not have a trading system or trading style that suits them. The result is not the profit earned but the infinite loss. As mentioned above forex is a place to invest, not a place to gamble or just to try, let alone use real money.
3) Understanding the Trending Price Movement
Condition Price Uptrend
In every price movement, there are only 3 definite patterns: Uptrend, Downtrend and Sideways. If the market is experiencing a trend, then do not be afraid to try to join the opening position. As a reminder, Trend conditions are when prices move strongly in one direction within a certain time period.
Learn about what a trending condition is, so you will not get stuck or confused when the price is in action (especially the correction). Use a large enough time frame like H4 or daily to see the current Trend condition, because at that time frame the price movement condition is very easy to recognize.
4) Do not Wager All Capital For Some Positions
This is often done by many traders, especially those who are beginners. The use of lots that is too large can result in all your capital run out in an instant. Usually it is motivated by the use of high leverage.
If you are not good at setting lots, use small leverage, so you can’t at any time use large lots and do “Bomb Lot” in just one position.