50 Tips For Trading

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1. Learn currency trading. It’s amazing how many people just do not know what they are doing. In order to compete at the highest level of business and trade as one of the few truly successful participants must be well trained in what he is doing. This does not mean that graduates of prestigious universities – the market does not care where you were educated.
2. Forex is a zero sum game. Each is also a long-short. If 80% of retailers are on the long side, and the remaining 20% ​​are on the short side. This also means that shorts are considered well capitalized and strong hands. 80% who prefer much smaller populations Fri retailer, is considered the weaker hand, forcing them realize the need for any sudden turning rate.
3. No one is greater than the market.
4. The challenge lies not in the market, but in reading the market. A wave is much more rewarding than those affected by it.
5. Trade trends instead of trying to pick the top and bottom.
6. Trying to pick the top and bottom is another common mistake in foreign exchange trading. If you are going to negotiate the top and bottom, at least wait until the price action actually confirms that the top or bottom has been formed before taking any position on the market. Trying to locate the top and the currency market funds are very risky, but use a little patience and wait proved to be a top or bottom of the form can increase your chances of victory and slightly reduces the risk.
7. There are at least three different markets: up trends, range bound, and down. There are different trading strategies for each.
8. Permanent part of the unit.
9. In uptrends, buy in, trends down, sell rebounds.
10. In bull markets never sell in a market opaque market down, never buy a dull market.
11. Market patterns and down the market are always present, only one is dominant. In up markets, for example, is very easy to take sell signal after sell signal, only to be arrested again and again. Select trend trades.
12. To purchase a sign that the failure of a sell signal. Sell ​​signal, which is not a buy signal.
13. Let profits run, cut losses short.
14. Let profits run, but do not let the greed in the way. When you have already made a good profit of trade, to consider whether some or all of the money off the table and move to the next operation. It is natural to expect that one of the commercial, which ends in his “winning lottery ticket” and get rich, but just not realistic. Do not hold the position for a long time, and finally give all profits back into the market.
15. Use protective stops to limit losses.
16. Use an appropriate stop-loss orders always cut your losses and never, never sit back and let the losses run. Almost all traders at some point a mistake in letting losses run expects the market will eventually return to their favor, but more often than not, it simply lead to further loss. To win, you lose. Just learn to cut your losses, take the occasional lumps and move on to the next operation. And if you made a mistake, learn from it and not do it again. In order to prevent the loss of execution that used to determine an acceptable return objective and risk tolerance acceptable to each shift operations to the market. Then, simply place a stop loss order for the right price – but not both (near the market) that quick stop could be out of position before the market has the opportunity to move in your favor.By the top it is always advisable.
17. Avoid the use of protective stops at obvious round numbers. Protective stops long positions should be placed below round numbers (10, 20, 25, 50.75, 100) and short positions, the maintenance of such numbers.
18. Place the Stop Loss is an art. The trader must combine technical factors, Price Chart attention to money.
19. Analyze losses. Learn from your losses. Lessons are expensive, they have paid for them. Most traders do not learn from their mistakes, because I do not think about them.
20. Staying out of trouble, the first loss is your smallest loss.
21. Survive! Foreign exchange transaction, those who stay long enough to be there when the “big changes” often come with success.
22. If you are a new operator, being a small trader (mini account) at least one year, and then analyze their operations both good and bad. You really can learn more from the bad.
23. Do not trade unless it is well funded … for the functioning of markets, not the economic situation determines its market entry and exit. If you have enough money to start, may not be able to hang in there, if the market temporarily turns against you.
24. Be more objective and less emotional.
25. Use a series of money management principles.
26. Money management increases the likelihood that a merchant is shown in the long run.
27. Diversify, but do not overdo.
28. Employ at least 3 to 1 reward to risk ratio.
29. Calculate the risk / benefit ratio before starting business, so be careful and keep it for long.
30. Do not trade impulsively, have a plan.
31. Is there any particular goals and objectives.
32. Five steps to build a trading system:
a. Start the concept of
b. Changes in a set of objective rules
C. visually off the lists
d. Formally test demo
e. Evaluate the results
33. Plan your work and work your plan.
34. Trade the plan – no hope, greed or fear. Plan where you will receive in the market, what is the risk that it can operate, and where to take the victory.
35. Follow your plan. When a station is established and selected leaves, do not leave unless the cap or the rationale for the location of the light changes.
36. Each successful trading system must take into account three important factors: price forecasting, timing and money management. Price forecasts indicate how the market is expected to trend. Determines when specific entry and exit points. Money management determines how much to commit to trade.
37. Do not lift the system set-ups. Trade each signal.
38. Marketing systems that work until the markets can not operate in the market.
39. Establish your trading plans before the market opening to eliminate emotional reactions. Decide at border crossings, exit points and goals. Changes subject to minor decisions during the session. The benefits are for those who are not react.Don t change “during the session, unless you have a very good reason.
40. You can check everything.
41. Always think of the odds. Trading is thinking about probabilities, not certainties. You can do everything “right” decisions and trade still against him. This does not mean it is “bad” trade, just one of many stores that will take when the probability of “losing” part of your business plan. Do not wait until there is negative goodwill – which are a necessary part of the plan and can not be avoided.
42. Place to start your market analysis should always specify the general trend in the market.
43. Trade only strategy you’ve tried.
44. When pyramid (growth rates), follow these steps:
a. The successive layer is smaller than before.
b. Add only to winning positions.
C. Never again to lose the position. One of the few trade management rules that can be said that we will never have a break, “never lose the trade.” The shops are divided into winners and losers, and if trade is a loser, the chances that turn right around and be a winner are too small to risk more money. If deemed to be a winner disguised as a loser, why not wait until it shows its true colors (and becomes a winner) before adding to it. If you do this you will notice that almost always ends up trading reaches the stop loss, and not look back. Sometimes the trade turns before it reaches your stop and be a winner and you can consider yourself very lucky. Sometimes the trade reaches the stop loss, then turns around and becomes a winner and you can rest assured you bad luck.
d. Whatever the outcome, never worth adding a loser, hoping that it will be the winner. The odds of success are too low to risk more capital in addition to the initial risk.
e. Adjust the guard stops at the point of balance.
45. Risk Management
a. Never risk more capital 3.4 percent in all trade
b. Decide ahead to the exit before entering the trade
C. If you lose a certain predetermined amount of starting capital, stop trading, analyze what went wrong, and wait until you have learned before you start trading
46. Do not trade scared money. Nobody ever made any money trading when he had to do is pay a mortgage at the end of each month. The requirement to have X dollars a month, or if you are in financial difficulties is the best way I know, a mess trading discipline, rules, objectives, and quickly lead to disaster. Trade is about taking reasonable risks to achieve a good reward. Markets, and how and when to give up their benefits are not in control.Non-commercial, if you need money to pay the bills. Not if your trading business and personal expenses are not covered by any other current income or cash reserves. This only leads to more unmanageable stress and be very detrimental to their business performance.
47. I do not know why you’re in the market. To solve the boredom? Hit it big? When you can honestly answer this question, you can be a form of currency trading success
48. Never respond to the warranty, do not throw good money after bad.
49. Close to the loss of positions before the winners.
50. Except for a very short-term trading, make decisions out of the market, preferably when the markets are closed.

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