FACTORS OF SUCCESSFUL TRADING AND ADVICE FROM EXPERIENCED TRADERS

There are lots of different "Advice for traders", "Golden rules of Forex" etc. We did not bring them together in this course. We propose several general rules for a trader, so he can do the first steps. Unfortunately, our experience shows that you will break the rules. This is the process of education. Breaking the rules and making mistakes, you will form your trading skill and your own rules and laws. They, in the long run, will bring you to success.

From our part we propose several general recommendations. using them you will avoid too large losses at first stages. It is very difficult to give recommendations for all occasions. That is why you should not regard them as a doctrine.

• Deposit and volumes of transactions:
  • In the beginning define which sum of money will not bring significant difficulties in case of loss.
  • Use no more than 10% of deposit (10% for all consolidated positions at any time intervals for all instruments and in all directions).
  • Do not work for borrowed money, use your own means. If you get a bonus or a credit from the company, you have to think nevertheless that you can count only on your own means until you obtain the bonus in full.
  • Do not make too many transactions at the same moment. It increases the probability to make a mistake.
  • If it is not a tactic mean of your trade do not make "averaging" (do not add the volume to unprofitable position).
• Analysis
  • Analyze no less than two informational sources (for example, graphic analysis + news).
  • Do not work against general trend.
  • Analyze the situation before entering the market. Do not change your opinion under the influence of other people forecasts, when your position is already opened. If your strategy means more or less long-term transactions, you can switch the terminal off after the setting of the positions.
  • Follow important macroeconomic events in the calendar. take into consideration the possibility of sharp movements of price at the moment of news publications.
• Psychology
  • Refuse to trade if you are overexcited (excitement, aspiration, happiness, euphoria or melancholy, irritation, uncertainty and feeling of worry).
  • Make at least 24 hours-rest, if you get large profit or if you lose lots of money;
  • Improve your discipline and normal, stable professional estimation of your possibilities.
• Transactions
  • Do not make a transaction if you do not know when you have to close it with losses and when you have to fix the profit.
  • Install the Stoploss to cut losses, and TakeProfit to fix profit. It is recommended to install TakeProfit at least twice larger than StopLoss.
  • If you know the entering level for sure, then use pending order, and nor market one. Pending order is elaborated more precisely. Fast market speed may take away from desirable point of entering, then it will be difficult to open position using market order.
  • If you do not understand what is "lock" - do not use this method.