Tips for being a Successful Forex Trader

Discussion in 'General Forex Discussion' started by Adam Smith, Jan 7, 2016.

  1. Adam Smith

    Adam Smith Trader

    40
    9
    24
    A forex trader does not always have the right information about this interesting and challenging industry of forex. A trader should always be aware of the difficulties in a forex market. This will make him/her confident about his/her decision. Here are a few things discussed below that you should keep in mind if you want to be a successful forex trader:

    Understand your needs

    You must recognize the markets if you want to gain profit in the market. To recognize the market, you have to know yourself first. To gain self- awareness you must ensure that your risk tolerance and capital allocation to forex and trading are not lacking or excessive. If you want to engage in forex trading, you have to study and analyse your own financial goals carefully.

    Stick to your plan

    Once you are sure about what you want from your trading career, you should define a timeframe and a working plan. What would be called as a success? What is a failure? How much time can you dedicate to trading? Do you want financial independence, or want to generate extra income? These are the questions that you should be able to answer before you enter forex trading.

    Choose the broker wisely

    It is very important to choose the broker carefully. An unreliable broker must always be avoided. It is essential that your expertise level and trading goals match with the offer provided by the broker.

    Choose a single currency pair

    In the world of deep and complicated currency trading, it is difficult to master all the various types of financial activities that go on in this trading world. So it will be better if you stick to the currency pair that you already know and understand. It will be great if you start the trading using the currency of your own nation. If you don’t want to do so, you can stick to the most liquid and widely traded currency pairs.

    Begin with a small amount of money

    When you start trading in forex, you may begin with small sums and low leverage. Once you start gaining profits, you can add up to your account. The idea that a larger account will enable greater profits is not true. If you cannot make money through your forex account, there is no point in keeping pumping money to that account.

    Do what you understand

    If you think that you are not sure of what you are doing, don’t do that. Do not trade on the basis of what you hear. Always be sure before making any trade.

    Hold back your emotions

    Emotions such as greed, fear, panic, excitement should have no place in a trader’s calculations. Traders are human beings too, so they can try to minimize and control the effect of such emotions.

    Study your failure and success

    Take notes from your failure and success. In this way you can find out what works best for you.

    The above information is shared by [URL removed].
     
    Last edited by a moderator: Mar 7, 2016
  2. lucie_fxtrader

    lucie_fxtrader Newbie

    7
    1
    2
    Interesting article. You mention 'choose your broker wisely' would you recommend some tips on how to choose the broker wisely? Also, why only one currency pair and not 4-5 that you really know about?
     
    JamesKelly62 likes this.
  3. daveM

    daveM Master Trader

    41
    4
    54
    I agree, specialize and be disciplined, those are essential.

    And, I would like to add..... one setup at a time.

    Great article, thanks.
     
  4. jisourovsrs

    jisourovsrs Trader

    7
    1
    14
  5. Lawrence

    Lawrence Active Trader

    169
    7
    34
    Yes they are True :) and the most important of them all is that we should be trading with a ECN Forex Broker that has access to High Liquidity pool :)
     
  6. Jack72

    Jack72 Trader

    15
    0
    6
    Thanks for sharing! All the tips are true. Maybe you can add a few more:

    Plan your goals
    Know yourself
    Pick the right account for you
    Do not add to a losing position
    Don't give up
     
  7. radex78

    radex78 Active Trader

    670
    17
    34
    Yes to become sucessful trader is required strong mental and never give up and always keep learning, because forex trading is not easy business to get rich at shor time as trader also ned built up good mindset if this is risky business and as trader need carefully to analyze the market if they on doubt hence better waiting in clear movement.
     
  8. Ryan Gardiner

    Ryan Gardiner Trader

    8
    0
    6
    Forex trading is not easy if you don't know how to read the trends or have a very good strategy, you can lose all of your money. It even took me years to practice and learn Forex until finally I can be the expert in Forex trading.
     
  9. radex78

    radex78 Active Trader

    670
    17
    34
    Yes of course to making profit as trader they need to learn about the trend market, reading many article that discuss about analysis market is good way to broaden insight from different view how any trader they making analysis and practice with own selves will giving more insight because will faced with real market condition
     
  10. Arian Cara

    Arian Cara Trader

    2
    0
    7
    Good Article Adam ! A MUST read articlefor beginers , then you can read more for every "point" !
     
  11. radex78

    radex78 Active Trader

    670
    17
    34
    Being sucessful trader is not easy task, here required good learning how to analyze the trend market with good accurate, experience and high dedication also motivation in business will help much tro survive in certain business, no shortcut success in forex business, sometime required sacrifice before achieved success.
     
  12. Neesh James

    Neesh James Newbie

    1
    0
    1
    Hello, I would like to give few tips on how to make a fortune in forex:

    1) Pre set your goals and then choose a style of trading which you feel comfortable with and make sure that it suits your personality then you choose a methodology and be consistent in its appliance.
    2) Carefully pick your account type and leverage ratio accordance with your needs.
    3) Do as much analysis you can.
    4) Choose a good Forex broker with high level of functionality and ability.
    5) Keep your leverage minimum in the start and then slowly increase it.
    6) Start with small amount and embrace minor loses.
    7) Dont give up!!

    I feel, these points if kept in mind every time during trading, gaining in Forex would be easy!
     
  13. RaviSarao

    RaviSarao Trader

    21
    0
    12
    Make sure you have studied about the currency pair to an extent that you know the momentum and trend of the currency pair. Do study the market and grab small profits, then you will win for sure.
     
  14. radex78

    radex78 Active Trader

    670
    17
    34
    In forexs trading as trader will get profit from differnce price movement and as trader they must having good knowledge to analyze the market, if they have good understanding with the trend market and not hurry in trading might success will easily to obtained, but as trader also need pay attention with the risk management to maintain their acount.
     
  15. Lawrence

    Lawrence Active Trader

    169
    7
    34
    Many times we will see that the moves that are actually taking place in the currency markets are not we have actually seen before so in that time we must remain careful and do only selective trading :)
     
  16. suede

    suede Newbie

    4
    0
    2
    thanks
     
  17. radex78

    radex78 Active Trader

    670
    17
    34
    Being sucessful trader is becomeall wishes among trader, to achieved this goal I think required high dedication and keep learning without give up, because success is never come easily like as turn around back our palm hand, forex trading is risky business, we need adequate experience and also knowledge with strong mental if want t survive here
     
  18. TraderNovo

    TraderNovo Trader

    11
    0
    12
    Great article! Another important factor is to have a good money management strategy, so whenever you have a successful trade its outcome will be bigger than a losing trade.
     
  19. radex78

    radex78 Active Trader

    670
    17
    34
    Become successful trader is become goal for all trader I think, and how to achieved this goal any trader they must having high dedication and also keep learning with never give up, because no instant success in every business they need practice and learning
     
  20. Good list. There is one very important element that is missing though. One of the most critical thing which people tend to underestimate is understanding money and risk management and knowing how to apply a proper strategy. It has been proven in any possible way that you can have the best method in the world, a great broker, and be super disciplined. But you will certainly lose eventually if you don't know how to use a decent money management method. So my advice - take the time to learn the The mathematical and Probabilities aspects of trading. It's really not hard, it's actually interesting and fun. Do it before dealing with other aspects. And believe me and any other experienced trader - this is the key for a successful trading. Good luck!
     
    MillerTrade likes this.

Share This Page