My tips to trade Forex Successfully

Discussion in 'Newbie Questions' started by profitwithpips, Mar 31, 2018.

  1. profitwithpips

    profitwithpips Trader

    1. Seek high quality education. Education is the key to begin trading in the Forex market. Getting a good education about Forex trading will let you increase your chances of profiting and decrease but not eliminate the risks involved. Without the proper knowledge of Forex trading, chances are you will end up losing money. A good education will enable you to trade in Forex more effectively and increase your chances of earning a considerable amount of money. It is even known that many people have quit their day job to concentrate in Forex trading.
    Proper education includes but is not limited to: how trades are executed, learning how to read Forex charts, how to properly apply technical analysis, how to use fundamental announcements properly, proper risk and money management, understanding slippage, leverage, and spreads.
    1. Setup and practice on a demo account. Another key to becoming a successful trader is to practice your trading strategy using virtual money. Trading on a demo account will allow you to develop a sound strategy and help you work out your style of trading.
    2. Create and follow a detailed trading plan. Successful traders have a trading plan that is detailed yet concise, clear and covers as many trading scenarios as possible. This is your business plan. Your trading success depends on this document.
    3. Focus on taking good quality trades. Never force a trade. Successful traders look for high probable trading opportunities. And only enter in a trade if it follows all of their trading rules.
    4. Use leverage to your advantage.This is part of good money management. Leverage is gift and a curse, utilize it wisely. Learn what leverage is and how it is calculated. Check with your broker regarding leverage amounts allowed.
    5. Never risk more than 1% of your account value. This part of good money management. Successful traders protect their capital. This achieved by imploring reasonable risk reward ratios.
    6. Earn the right to increase your lot size. This is part of good money management. By using the philosophy of earning the right to trade at higher lot sizes you will be protected from dramatic losses and possible margin calls.
    7. Never be a greedy trader. Successful traders write out a detailed earnings goal. Have it written in your Forex plan as part execution strategy, how long you expect Forex to help you to achieve your financial goals. While keeping in mind you have to make your earnings expectations gradual and realistic. Follow your earnings schedule. Learn to “read” the market and take what the market is willing to give.
    8. Keep a trading journal. Successful traders make detailed notes about their trades. Recording information pertaining to each trade that includes but is not limited to price action, pairs traded, date, time, market sentiment, and emotions felt during the trade are very beneficial.
    9. Review your trades. A successful trader reviews all trades taken during that week. Understand why a trade worked or didn’t work.
    10. Have patience. Like any skill that you learn it will take time to perfect your craft. You will need patience when understanding the nature of Forex trading. You will need patience when looking for a great trading opportunity. You will need patience when waiting for a trade to close out. Patience is pivotal to trading success.
    11. Be Disciplined. A Successful trader is diligent about being a disciplined trader. Follow your trading rules—NEVER BREAK THEM. Don’t take trades you haven’t thought out and understand.
    12. Stay the course. A successful trader is a trader that is prepared to take the journey. Forex trading is not a skill you can learn overnight. There will be losses but there will be gains and the gain could be HUGE so stick with it and you will become a successful trader.
    Reabetsoe likes this.
  2. JohnyIve

    JohnyIve Trader

    Hmm, nice tips, thx)
    profitwithpips likes this.
  3. profitwithpips

    profitwithpips Trader

  4. PolinaPolly

    PolinaPolly Trader

    Good tips, for newbies especially. Moreover, people shouldn't expect to find the tips like "trade particular amount of money, in particular time, with particular broker and you will get everything at once". Cause it's impossible. There is no universal recipe for successful trading.
  5. Rayford Adam

    Rayford Adam Trader

    Hey Friends,

    Check more tips to trade forex successfully

    - Choose your broker carefully
    - Plan your goals. Stick to your plan
    - Pick your account type, and leverage ratio in accordance with your needs and expectations.
    - Focus on a single currency pair, expand as you better your skills.
    - Do what you understand
    - Do not add to a losing position.
    - Take notes. Study your success and failure
    - Don’t give up
    andrewbob likes this.
  6. Thanks a lot) great tips)
  7. samtrader@fx

    samtrader@fx Newbie

    Wow great tips! Thanks! :)
  8. Anthony Lazarus

    Anthony Lazarus Trader

    Those are very good tips. But one little thing concerns me and it's about Demo account.
    Sometimes demo cannot be your good teacher, in fact, it has a possibility of creating bad habit if you take it lightly. In other words, losses real money can be your best teacher.
    No doubt, it's a best feature that we need the most, but we should not take it lightly.
  9. milornld

    milornld Trader

    Few more trading tricks
    • Define Your Goals and Choose a Compatible Trading Style
    • Choose a Broker Who Offers an Appropriate Trading Platform
    • Choose a Methodology and Be Consistent in Its Application
    • Choose Your Entry and Exit Timeframe Carefully
    • Calculate Your Expectancy
    • Focus on Your Trades and Learn to Love Small Losses
    • Perform Weekend Analysis
  10. J_C_Anderson

    J_C_Anderson Trader

    Very useful thread, thanks!
    Each trader can find several rules that are the most important for his trading career at the present moment.

    There is an additional rule, that can be suitable for someone: never re-enter position after stop-loss. Some traders want to return their money and start to "chase" the currency or stock to get their money back.
  11. pactor

    pactor Newbie

    Thanks for taking out time and sharing these wonderful tips.
  12. icesaiah

    icesaiah Trader

    Wow, thanks for this tips for a newbie like.

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