(level 3) Another 5 Ways to Avoid Losing Money Trading Forex
11. Picking Tops and Bottoms - Looking for bargains works well at the supermarket but not trading foreign exchange; try to trade in the direction the price is going and your results will improve.
12. Not Trading Around News Time : Most of the big moves occur around news time. The volume is high and the moves are real; there is no better time to trade fundamentally or technically than when news is released; this is when the real money adjusts their positions and as a result the prices changes reflect serious currency flow (compared to quiet times when bank traders rule the market with their customer order flow
13. Exiting Trades Poorly : If you put on a trade and it's not working make sure you exit properly; don't compound the damage. If you're in a winning trade don't talk yourself out of the position because you're bored or want to relieve stress; stress is a natural part of trading, get used to it.
14. Being Too Smart : The most successful traders I know are high school graduates. They keep it simple and don't look beyond the obvious; their results are excellent.
15. Trading Too Short-term : If you're profit target is less than 20 points, don't do the trade; the spread you pay to enter the trade makes the odds way against you when you go for these tiny profits.
12. Not Trading Around News Time : Most of the big moves occur around news time. The volume is high and the moves are real; there is no better time to trade fundamentally or technically than when news is released; this is when the real money adjusts their positions and as a result the prices changes reflect serious currency flow (compared to quiet times when bank traders rule the market with their customer order flow
13. Exiting Trades Poorly : If you put on a trade and it's not working make sure you exit properly; don't compound the damage. If you're in a winning trade don't talk yourself out of the position because you're bored or want to relieve stress; stress is a natural part of trading, get used to it.
14. Being Too Smart : The most successful traders I know are high school graduates. They keep it simple and don't look beyond the obvious; their results are excellent.
15. Trading Too Short-term : If you're profit target is less than 20 points, don't do the trade; the spread you pay to enter the trade makes the odds way against you when you go for these tiny profits.
0 comments:
Post a Comment