Forex - 10 Tips

1.Do not overtrade
◦Trade within your means
◦Use 1/3 of your total margin only

2.Always use protective stops to limit losses
◦Go in with a plan
◦Don't trade impulsively
◦Have predetermined risk as well as profit
◦Don't move stops higher or lower and say "It'll come back."

3.Diversify your portfolio
◦Try to avoid "Loading up" in any one commodity or product

4.Keep emotions in tact
◦Don't make trading decisions based on "Fear and Greed", as hard as this may be
◦Make decisions away from the market - "Don't be a screen watcher"
◦Don't let ego get in the way

5.Trade in the direction of the immediate trend
◦Don't try to pick bottoms or tops

6.Don't add to losing positions - get out!
◦Don't Average "Down" or "Up"

7.Keep it simple, more complicated is not always better
◦Trade within your understanding of the markets

8.Employ approximately a 3:1 reward to risk ratio
◦Don't ever risk $2 to make $1

9.Always be a student and keep learning

10.Above all, be disciplined
 

Ary Barroso

Active Trader
Jul 9, 2017
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Very much useful tips you have added here! I mostly appreciate your 2nd point I mean using stop loss trading tool! Because, I have seen many new Forex traders are not interested to use SL trading positions in their trading! I think, trading without stop loss position means, you are taking unlimited risk in your per trade position.