Advice from successful forex traders. Tips for beginner traders
1. Attracting the amount that you are ready to lose.
There is such an unspoken regularity in the Forex market that a novice trader always loses (in trader's slang - “drains”) his first deposit. This is due to the fact that a newbie in trading financial instruments does not yet possess all the necessary trading skills and trading psychology. Some forex brokers offer their clients to open a so-called cent account, which will allow them to start trading real money with an amount of $ 1 -10. You can find a list of brokers offering cent accounts in our rating of forex brokers with cent accounts.
The advice of experienced traders: start with the minimum amount of funds that you can freely spend without sacrificing personal or family budget... Try to trade on cent account, which can be opened in a brokerage company.
2. Self-control and trading psychology.
Professional traders know what the psychology of a trader is. Newcomers to the forex market should learn to control their emotions, fight fear and be more decisive. However, at the same time, you should be careful and act according to the established rules, and sometimes you just need to wait.
Advice for novice traders: The discipline of a trader and the psychology of trading are integral to successful trading.
3. Demo account
Every professional trader started his trading path by trading on a demo account. Demo account - a virtual account that is provided by a broker for training on testing the trading system. Thanks to the demo account, a novice trader can acquire practical skills in trading in the financial markets without the risk of losing real money.
Professional traders advice: study on a demo account as long as your trading strategy will not start to generate stable profits.
4. Small transaction volume.
As mentioned in the first paragraph, you should start small. Professional traders, at one time, started out trading with minimal trading lots, before moving on to high volumes. This is due to two factors:
- Small trade volume allows you to start trading with minimum amount investments, making trading in financial markets available to everyone;
- A small trading lot minimizes trading risks, which will allow you to learn how to trade with real funds without risking losing a large amount.
Advice to novice traders: if you have switched to trading on a real account, then enter the 0.01 lot market, or the smallest allowable volume offered by the broker.
5. Get away from the desire to make money.
Experienced traders advice: do not trade during important economic news; follow the economic calendar.
8. Study technical analysis market
If you want to understand how professional traders trade, then study the technical analysis of the market. Thanks to technical analysis, experienced traders can predict market changes with a sufficiently high accuracy. Technical analysis includes a large number of varieties, each of which has its own advantages, and on the basis of which you can build your own trading system... By practicing this type of analysis, you will learn to trace patterns in the behavior of the market, which will make it possible to successfully trade in the financial markets.
Advice for novice traders: learn the basics of technical analysis
9. Accept Losses
All novice traders believe that professional traders trade without losses, making exceptionally profitable trades. This is pure myth, losses are inevitable when trading in financial markets. The only difference between beginners and pros is that an experienced trader makes fewer losses and more profits, while a beginner does the opposite.
Having received a losing trade, you should not complain, but you should analyze why this happened. The most common cause of loss is the beginner's human factor.
Experienced traders advice: accept that losses are inevitable, learn to lose; analyze your mistakes.
10. Count on yourself only
Many beginners, plunging headlong into the study of trading in the financial markets, are interested in the opinions of experts. Undoubtedly, experts, as experienced traders and analysts, can teach a lot to the new generation. But when making a deal, you should take all the risks on yourself, and not be based on the forecast of another expert. If the forecast does not come true, then you will shift the blame to this expert, although he only put forward his assumption, which does not carry absolutely no guarantee.
Advice to novice traders: it is worth listening to the experts, however, the trading decision should remain solely with the trader himself.
Conclusion
Professional traders are happy to share their experience, thereby educating a new generation of traders. Tips for novice traders are based on many years of experience of previous generations of market participants who learned from their own mistakes. As you learn to trade, a beginner in the financial markets will in any case make their own mistakes, which are inevitable. But after going through a long formation of a trader, and becoming a professional, you can get a stable profit from trading on the exchange and over-the-counter markets. Strive for excellence, do not stop there and listen to the advice of experienced traders.
is slowly moving away from the festive bustle. And it’s time for me, its author, to get to work again. The other day I decided to put things in order in my Talmuds, in which I wrote down (and printed out) clever thoughts. I must tell you that a lot of these Talmuds with smart thoughts have accumulated over the past 10 years. And looking at all these records, he asked a banal question - Seryozha, if you are so smart, why so poor? A joke of course! Firstly, I'm not that smart, and secondly, I'm not so poor. As they say, you cannot anger the Lord God! Especially on Christmas Eve!
So that's it. I went through my notes and came across interviews with 18 of the most successful traders. Then you will laugh - the interviews were published in 1996! At the end of each, the pros gave advice to novice traders. The paradox is that even after 18 years (oh, coincidentally: 18 tips and 18 years), these tips remain relevant. This once again confirms the axiom that even time has no power over clever thoughts.
Among these successful traders in 1996 were such famous personalities as Tom DeMark and Larry Williams. And Internet trading was just beginning ...
Council number 5. Read more and experiment. But at the same time, do not start trading without making sure that you are well prepared and that your trading technique is objective and works. Your trading should resemble for any market situation.
Council number 6. Trade small positions and little by little until you understand what you are doing and why. Before increasing the lot size, learn to use all available trading methods and tools. Follow the methods of those people who have become successful in this business. Limit your risk per trade. If you can do it longer, you will definitely succeed.
Council number 7. Don't have unrealistic hopes of quick success and earnings. Take your time, just do your job well every day - that's the key to your long-term success.
Council number 8. There are three important things about becoming a trader. First: you can't listen to other people's advice all the time. Second: not on the market simple ways... Nobody found the Holy Grail. Perseverance and hard work are two ingredients that make a beginner trader a professional trader. And third, trade with pleasure.
Council number 9. Learn to read price action charts. The charts will tell you where the price will move. Applied to stock markets- never listen to the advice of a broker. Because you have enough brains to make your own decisions. The factor of success in trading (oddly enough) is greed. If you have a great and irresistible desire to achieve your goals, then you will succeed.
Council number 10. The key to success in the market is. This control can be achieved by having a clear understanding of market behavior, a clear plan of action when opening a position, and knowing what risks you can afford.
Council number 11. Forget about expensive computer programs. Be frugal. Read more. Education is the first and irreplaceable business. The second important thing to save money is to keep your trading costs (spread and commission) as low as possible. Focus on long-term deals. How less money in your account, the less money should be allocated for scalping.
Council number 12. Don't try to cover everything at once. For many, the difficult moment is choosing in what time frame to trade, in which markets, to trade with a trend or a countertrend. It is impossible to cover everything. Therefore, you must tell yourself - I will only deal with one type of trade. And only having mastered one type of trading perfectly, you can add other types to your arsenal. A lot of time is spent on boring, painstaking work. You just need to be patient and have faith that all the seeds you sow will give excellent shoots.
Council number 13. Distinctive feature the nature of a successful trader - the exceptional power of concentration for understanding the markets. As well as the willingness to devote a lot of time to learning tools and approaches to the markets in which he trades.
Council number 14. To be successful in stock trading, you need to have strong nerves. Strong nerves are needed to have the courage to admit that you were wrong in case of a mistake. And close the losses in time, without bringing the deal to a fatal disaster.
Council number 15. For success, it is very important that a person has discipline, perseverance and courage. You need to have the willpower to take action when it's time to open a position, and all the signals say it's time to take action. Every novice trader will make mistakes, anxiety and fear. But these are all the components of the stages of training, and you have to go through them. Every day is a new day. And it will always be new. And every day you have to do something to develop your skills and abilities. But at the same time, if you spend too much time on the market, then you will not be enough for other important things in life. And in the end, you will not be able to succeed in the market or in life.
Council number 16. Prepare for challenges. The novice trader jumps into ... And in order to survive, you need good protection and large, sharp teeth. The ingredients for success are resistance and endurance.
Council number 17. In order to constantly make money, it is necessary to keep statistics of macroeconomic indicators (saying simple language, track news - approx. S.E.). Understanding what is happening economic processes will give you confidence that you are on the right side of the market and always ahead of everyone else.
Council number 18. The most successful in the market are those who learn more than others. Spend time and money studying. Education costs less than your mistakes and losses in this business. Learn to manage money. And once you've set yourself a goal, don't miss the crucial step that needs to be taken.
And finally, I want to quote the words of Larry Williams, with which he ended his interview: “Looking back, I can say that this is a difficult lifestyle. It is very burdensome, but I would never change it! "
As you can see, dear readers, some of the tips for novice traders from different people are repeated. With some you can agree or not accept them. But there is a grain of reason behind each of these tips. And the mere fact that people who gave interviews back in 1996 have achieved success deserves respect for their opinion.
On the eve of the bright holiday of Christmas, I would like to wish you every success in our difficult business. Take care of yourself and your loved ones! You will succeed! Until next time on my pages.
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LET'S DISCOVER ILLUSIONS TO START
Council number 1. Exchange trading is not a money-printing machine. In trading, more than 95% of traders lose money from month to month, from year to year. Some go so far as to lose themselves, their families, and self-respect.
Think carefully before deciding to learn how to trade. Without dealing with financial markets, you will be richer than 95% of traders who constantly arrive in financial and psychological discomfort;
Council number 2. Trading is real ... Trading, like any other profession, takes years of learning. It is not possible to master stock trading in a short period of time - due to the fact that you have to deal not only with the market, but also with yourself, with your emotions.
To master the profession of an ordinary engineer, it will take 11 years to study at school and another 5 years at the university. Now think about whether it is possible in the shortest possible time to master a new profession that can make you financially independent in an area where the majority is losing ?;
Council number 3. Long-term, lifelong success cannot be achieved quickly. When focusing on trading, forget about quick money. In the market, you can only lose quickly, but it usually takes a huge amount of time to make money and make trading a permanent source of income.
It is impossible to pump up and build a beautiful body in one month of training in the gym. Each workout brings you closer to the target bar, which at the beginning of the journey is hardly visible on the horizon. But she is, and her time will come, if the proper effort is made to this. A similar approach applies to trading;
SURVIVE BY ANY MEANS!
Council number 4. Demo account- this is the first trading account that a novice trader must open. On a demo account, profit and loss are virtual. The trader does not risk anything at all, while having the opportunity to master trading terminal and start making the first deals.
It is recommended to trade on a demo account as long as you are confident in your trades and in what you are doing in general. It is important not only to do some kind of work, but to do it meaningfully. Only after that, go to a cent account and start trading with little money;
Council number 5. At the beginning of development exchange trading set a goal for yourself - not to make money, but not to lose... Learn to trade zero. Mastering the skills of trading to zero will allow you to instill in yourself the instinct of self-preservation of the deposit.
Zero trading is a borderline bordering on loss and profit. Having learned not to lose, the trader moves to the next level - to earn a little. In a way it resembles career ladder: each step is gradual and directed up;
BEST FRIENDS OF A TRADER
Council number 6.- this is the only thing that a trader can control in the market. Not knowing how to take risks, trading turns into roulette, in which the earned profit is just an accident.
Trading is cold calculation and harsh money management. Minimize losses and let profits grow. It is recommended to risk no more than 1% in a deal. Use the stop loss to take profit- at least 1 to 3;
Council number 7.- bulletproof vest for a trader. A conservative stop loss will warn the trader against losing the entire deposit if the price goes against the expected movement.
It should be understood once and for all! The grail does not exist! There is no break-even trade! Losing trades are an integral part of successful trading. With the correct use of money management, taking into account the profitability of 30-50% of profitable trades to unprofitable ones, you can remain in a good profit.
Council number 8.- personal notes of the trader. In this synopsis, you must record all your transactions: entries, position management, exits. It is absolutely important to analyze every closed deal.
A detailed analysis of transactions will allow you to find errors over time and eradicate them. At the very least, a trader will learn not to make the same mistake. Having learned not to repeat mistakes that lead to losses, we begin to effectively use the accumulated experience.
CONTENT ON THE MEDIA NETWORK
Council number 9. If you want to successfully pass the road that others have already successfully passed before you, learn from them, study their books. You will have to read the trading literature! Reading is an asset when applied correctly. For beginners, I recommend reading the book “50 Shades of Forex”.
I also recommend that beginners study the work (books, videos, articles) of Alexander Elder and ... In his books, he combines technical analysis with the psychology of the mindset of traders. Understanding the psychology of the market, you understand things that do not lie on the surface;
Council number 10. Don't trust analysts more than yourself. - expression of the subjective opinion of a private trader. An analyst, like any trader, tends to be wrong. His opinion may not always be correct.
It is recommended to use analytics as an additional filter. First of all, learn to trust yourself. Thus, you will "grow" much faster. Another's mistake is a reason for grief and blame, one's own mistake is a reason for learning;
Council number 11. In the era information technologies modern internet is full of information get rich quick ... Various strategies, advisors, books, training courses and other software are being sold, promising a lot of money.
Returning to the first three paragraphs of the article, I will additionally note that on exchange market it doesn't happen easily and quickly. If they are compulsively trying to sell something in the public domain, then there is a catch. Be carefull! As a last resort, demand real-time monitoring ;
NEVER! NEVER! AND NEVER AGAIN!
Council number 12. NEVER do not borrow, credit or installments to open a trading account or replenish an unprofitable position that stands against the trend and does not have protective stop order ;
NEVER do not sit out losses, do not average, do not use martingale. Such trading initially leads to the loss of the deposit, but before that, put your nerves on hold;
NEVER do not aim for large percentage arrived. The more profit is at stake, the higher the risk. The higher the risk, the higher the likelihood of losing a lot. Everything is interconnected. But, as a rule, not in the positive side of the trader;
Council number 13. Broker - is an intermediary between the market and the trader. The broker provides access to quotes in real time, thereby making it possible to conclude trade transactions. The “quality” of trading and the subsequent success of the trader depends on the choice of the broker.
I recommend Gerchik & Co as a broker - a company created by professional traders especially for traders. Only the traders who are the founders of the company can have a good understanding of the needs of other traders and investors, and can offer them everything they need for professional trading. Why I recommend this broker,.
ENDLESS POSSIBILITIES!
“You can be free. Live and work anywhere in the world. Be independent from day-to-day scrapes and not accountable to superiors.
This is the life of a successful trader. " (Alexander Elder).
Exchange trading is a difficult path. The road will be mastered - walking!
Did you like the recording ?! share with your friends in social networks:Hello dear readers again. In this article, I would like to consider with you some forex tips that will definitely help you in the further study of such a difficult area as trading. I hope you find them useful and that you listen to them!
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First helpful advice on forex. Do not trade against the movement of the market! Everywhere and always the market has priority movement. Before opening deals, any trader needs to understand where the market is headed at the current time. Here you need to follow one rule that the trend is your friend, and especially novice traders should trade exclusively in the direction of the dominant trend.
In fact, we should buy at the trough and sell at the peak of the market. But, if we talk specifically about beginners, then the ability to find market peaks and troughs is far from the highest priority issue.
It is important for beginners first of all to learn to understand in which direction the market is directed.
To put it simply, exactly in order to enter at a peak or trough is very difficult, and even experienced traders do not always cope with this task.
In general, if a beginner clearly begins to understand the direction of the market, then this is already a huge step towards success. After all, he will only have to learn to identify the moments when there is an opportunity to competently join the market according to the trend. I think it will be interesting for you to know the others that I have published before.
Third tip for forex. It is worth opening deals only when there are all the conditions for this! As part of trading, it is very important to have a clear understanding of when it makes sense to open a deal and when to close it.
I believe that even the tips that were voiced earlier are not as important as this one! If you are watching the market, and you do not have any prerequisites for your system, then you do not need to get into the market!
It often happens that a trader wants to be in the market so much that he simply forgets about his plan, that is, he starts looking for opportunities to enter where there are none.
You need to open any deal only if you have indicated it! Be sure to double-check if all the conditions really agree so that you can open a particular deal.
The fourth tip for forex trading. Profits should grow and losses should decrease. It just so happens that a beginner who saw the minimum profit immediately seeks to close trading position... But as soon as the deal goes at a loss, he can sit for hours and wait for the price to move in his direction.
In the long term, this approach only represents a drain, because the total profit will be less than the loss, even if the number of profitable trades is large. Judge logically, let's say a trader made 10 profitable trades in a row with a profit for each 10 points. Thus, the total profit was 100 pips.
But then a signal appeared, and the trader lost 120 points in one deal. That is, there are much more profitable trades, but the result is still negative. It turns out that only one unprofitable trade covers the entire profit from 10 positive trades. In the long term, this is a definite drain!
I'll even tell you that, there are traders who even earn with the vast majority unprofitable transactions, but the average profit on their trade is 5 times higher than the potential losses. Thus, even with the minimum number of profitable trades, they still remain in the black!
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Of course, now on the Internet you can find a huge amount of information, but just its quantity does not mean quality at all!
First of all, you need to decide what information is of value to you. If you eagerly absorb all the information that is available on the Internet, then there will be very little sense from this!
You do not need to initially fill your head with all sorts of rubbish, because it will really bother you. Judge for yourself from the fact that you will have some kind of incomprehensible porridge in your head - it won't get any easier
The sixth forex tip. You need to be calm. The ability to keep your head under stress is an important factor in the context of your success. Losing control of your emotions will not end well.
Even if you are overwhelmed with joy, it will still prevent you from soberly assessing the situation, which can only lead to losses. What is it fraught with?
The fact is that in such conditions, it will seem to you that you have mastered the market, and it obeys only you! I can say for sure that you will pay very dearly for such arrogance!
But if suddenly you got a loss, then you do not need to immediately tear and throw everything in your path! Falling into aggression, a person immediately tries to win back all previously received losses in one fell swoop.
In this case, he will enter the market with a huge lot, and at the same time, he will not have the necessary conditions for this. The logical outcome of such actions will be only catastrophic losses! How to relate to read the link.
In conclusion, I would like to note that if you listen to these tips, then you will really endure a lot of useful things for yourself! Sometimes it makes sense to listen to sound advice, but again, always filter all the information!
According to experts, in 2018 the value of many cryptocurrencies may double, and the demand for them will increase several times. So, according to a recent study by the venture capital firm Blockchain Capital, about 30% of millennials aged 18 to 34 are more likely to invest in bitcoin than in traditional securities... If you are one of the potential crypto investors, then we advise you to read 50 tips shared by Chris Dunn, a trader who has been investing in cryptocurrencies for the past five years.
Everyone considers themselves a genius in the bull market. However, real traders not only survive, but also thrive in a bear market and high cryptocurrency volatility.
Don't be a blind bull. ALL markets are cyclical. Do not be afraid of pullbacks and market crashes - these are the moments when you can get the most profits.
There is a huge difference between trading and investing in cryptocurrencies.
Think thoroughly about your trading plan before you step into the game.
Entry points are certainly important, but risk management and in cash- this is where you lose or earn the biggest profit.
Beware of gurus and experts offering instant money schemes.
Make a plan and follow it, ignoring the rest of the noise.
Do not assume that if you managed to make a lot of money in crypto, then you can just as well go to others financial markets... More than 95% of traders stock exchanges LOSE money. Trust me, this is a negotiated game and manipulated. Stick to what works for you.
The best way to lead intraday trading cryptocurrencies - IT IS NOT!
The best way to make money in any market is to invest in the early stages in projects that you think have great potential, and before the bulk of the population realizes it. Invest knowing that you can lose 100% of your capital. Such an investor is called a business angel.
The market is beyond your control. The only thing you can control is the entry points, exit points and the volume of transactions.
One player in the market can completely break "excellent technical analysis".
You should not blindly follow the signals, especially if they come from people unknown to you in social networks or messengers.
All financial network marketing projects are pyramids, period.
If you have made a huge amount of money that will drastically change your life, do NOTHING for the next 30 days.
Trading is not about entering the low, but exiting the high, but about catching the right direction of the trend.
Don't turn a small trade loss into a huge investment loss.
Don't set daily profitability targets, but rather focus on long-term performance in achieving your goals.
First, understand how to survive, and only then how to succeed.
The best indicators in charts are price movement and volume. Others can be used, but there is no guarantee that they will make you a more successful trader.
Trends can go far beyond what seems rational.
Don't try to find a market high. Until the market shows you that the trend is over.
Do not trade on the eve of big and important news - it is impossible to predict the market reaction.
In most cases, the key problem for a trader is his or her ego, or the need to always be right.
You can lose half of your investment and still be profitable if you manage your risks correctly.
The best entrepreneurs and leaders are usually lousy traders and investors.
People with the highest propensity to invest successfully tend to work in high-risk occupations such as piloting, firefighting, or the police.
Beware of groups like the plague they are.
You ALWAYS step on every rake. Don't judge yourself harshly when this happens, but try not to repeat your mistakes again.
Do not treat cryptocurrency exchanges like banks where you have an account. You will not be a coin holder until you have a private key.
The crypto market is open 24 hours a day, seven days a week, 365 days a year. It's impossible to catch every trend, so if you missed one, don't worry, there will ALWAYS be another.
Don't invest in a coin that you haven't studied thoroughly.
You can seize the moment and make money on trading Shitcoin ( A coin that has a low capitalization and unclear prospects. - DeCenter), but not worth investing in in the long run.
Beware of low volume coins and market capitalization... They are easy to manipulate.
Don't trade with the money you need to live. This is called "speculative capital" for a reason.
Imagine you are a hunter - save your ammo for the big game.
With very high volatility of cryptocurrencies, many exchanges fall, especially if the price reaches a certain milestone, so it makes sense to place buy orders IN ADVANCE.
Trading and investing will make you feel fear, greed, insecurity and doubt.
The hardest part of trading is doing nothing. However, in some cases, this is the surest step.
Just because the market is in a bubble does not mean it will die. Bitcoin, for example, went through half a dozen large bubbles and rallied in value each time.
Manage your trades so that you don't have any regrets regardless of market behavior.
Get in the habit of thinking like a nihilist and opposite investor. If you are one of those who constantly need to prove their point of view and get the approval of others, then investing and trading are not for you.
The smaller the timeframe of the chart, the less reliable its charts. The larger the timeframe, the more variables affect the price movement and the more difficult it is to predict its value. Personally, I prefer daily charts for trading setups and hourly charts for entries.
Under some conditions, markets provide an excellent opportunity to form a variety of setups, but under other conditions, it is sometimes worth letting go of the brake and completely moving away from a particular market.
More than 90% of the quotes of all cryptocurrencies will eventually slide to zero. Consider this when investing.
The psychological aspect of trading is the most difficult to master, this skill is not appreciated by anyone at its true worth, but it is he who will play a key role in large wins and losses.
The three key problems traders face are overtrading, hesitation before entering, and premature exits before reaching their goals.
You can make a decent amount of money in one trade, or in a year of diligent trading. Don't expect every day to end on a positive note. Play the long game, be patient and wait for better days.
You should not trust someone other than yourself in trading. Manage your investments yourself, even if high risks or don't participate at all.
Take all news as such - just news. Publishing needs views and high click-through rates. They do not care about your interests and they have no goal to help you earn.