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How to become a successful Forex trader? 5 tips inside

Being a successful trader can be very profitable, so it's not hard to understand why more and more people are starting to do it. However, trying your luck in the market is not always a simple task. There are many things you must learn before becoming a trader.

The secret to success is different for each person, but we managed to find some tips that should help you get started. If you want to have successful trades, take a look at what we have prepared below.

1. Find the right broker

It is very important to choose a broker that meets your needs. You want someone who is able to offer you the trading platform you want. You have to find a person who has a good reputation, and luckily for you, you can find a trusted forex broker online. Nevertheless, before making a choice, you should inquire about the policies of each broker.

2. Use available resources

Since we live in the age of technology, it is very simple to access the information you need and to have access to all the tools. There are many websites that can help you trading, and you can find the data you need online, calculators on the live S & P 500 chart.

3. Decide what will be your period of entry and exit

It is very important to learn how to synchronize deadlines. For example, you need to make sure that you match your weekly chart and your daily chart. If your weekly chart tells you it's a good time to buy, you should also wait until the daily chart gives you the same signal.

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4. Calculate life expectancy

If you want to know if your system is reliable, you will need to calculate your expectation. To do this you will need to analyze your trading history and compare the gains and losses. In this way, you can see what your real profit was.

Start by looking at your last ten trades. Calculate if you made a profit or a loss and write down all the results, then do the math. The formula you should use for this is E = [1+ (W/L)] x P – 1, where W = Average Winning Exchange, L = Losing Average Saving, P = Win Rate Percentage .

5. Weekend Analysis

During the weekend the markets are closed and this may be the perfect time to stop and have a look at the market. Analyze the weekly charts and try to find patterns that could influence your craft. By doing this, you will be able to come up with a plan for the next business week.

Choose a trading style that suits you

Most amateur traders want to use several trading styles, but this is not recommended. You should choose a trading style that matches your personality and goals, and stick to it until you get it right. This is because each style of negotiation is different and they all require different approaches.

For some people, day trading might feel safer, while others think that becoming a position trader is more profitable. It's up to you to decide which trading style suits you best. Just be sure to choose it carefully.

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