Do you have trouble with trading? Only breaking even? Don’t make a mistake. A significant trading milestone is Break-even. But I’m sure you want to increase your profits from trading to the next level. You need to fine-tune your trading approach in that case.
1. Do not trade with just any broker
It’s important to make sure you’ve researched your broker properly. Reputable are they? Will your withdrawals be paid for? Your funds, are they insured? For you, a regulated broker with years of industry history is good. Similarly, in the unlikely event that they go bust, a broker with insured funds will ensure you can get your money (usually up to a maximum of $50,000) back.
2. Do not trade with money you can’t afford to lose
This is repeated everywhere, but it is ignored by many traders. Your ability to have psychological balance depends on a huge chunk of Forex trading success. This is difficult when, as a result of trading with funds that you can not risk, you are an emotional wreck.
3. Do not look at the money
It’s hard for traders to struggle, but successful traders understand the importance of ignoring money and focusing on trades. It’s easier to make irrational choices if you look at the cash. This is why, because you suspect a reversal on the way, you close a trade that has gone a bit into profit. A seasoned trader, regardless of what happens, will remain in the trade till the end.
4. There is no room for emotions
You’ll fail if you allow subjectivity and emotions to get in the way of your trade. Judiciously follow your trading strategy and do not see a trade where none exists. Having an open trade at all times is not obligatory! 5. The length of time spent staring at the charts does not automatically translate to profits. Know when to take a break. When you feel overwhelmed, take a break. This is particularly true for intraday traders who, over the course of a trading day, could face consecutive losses. Know when to call it quits or you could fall into the trap of revenge trading, falling into deeper losses as a result.
5. FIND LOW RISK ENTRIES
Losing less is part of earning more. Don’t focus on just how much you can earn. Be careful how much you stand to lose.
The basis of a sound strategy is keeping risk low in a volatile market. There are potent price swings in a volatile market. High risk with high return is the usual context of a volatile market. But if, in that context, you can find a low-risk setup, you end up with a high reward-to – risk ratio.