 Where To Start |
|
|
Replies(1 - 9)
| Javier Nave |
 Feb 27 2012, 06:10 AM
|
Active Money Maker
Group: Members
Posts: 185
Dream Points: 902
Experience Points: 237
Joined: 18-January 12
Member No.: 236,745
|
That's the right type of question every Forex trader should start with.
Here are the rules:
- Start with a mini account and a mini lot
Why? Every beginner Forex trader goes through the first psychological challenge of making first trades. There is a whole mix of emotions, but most importantly there is real money involved, and no one wants to lose real money.
It is very important to leave through your first experience unharmed. You should risk very little at first, this will take off the pressure of making first trades.
Important: with a mini accounts of under $500 you should trade no more than 0.01 lot. Otherwise, there is 95% chance to lose your first account!
- Have a trading system
..Not just any system, but the one which eliminates any misinterpretations and double meanings of entries, exits, stops etc. Avoid systems that call for using intuition or act upon common sense, or use own judgment according to the situation.
The best systems are the ones you make yourself, or, if you start with an adopted method, you should, at least, put an additional work into it.
Polishing a system takes months, but once perfected, it adds tons of confidence into a trade.
- Learn to be break-even on every trade
Ability to protect your starting capital is paramount. Break-even trades are great, since you lose nothing. When you learn how to be break-even, you will be able to make a so called "free trades" - a trade, where a stop loss is set to break-even and a position is allowed to run for maximum profits.
- Trade during active market hours only
Although Forex market is open and can be traded 24 hours a day, the most active market hours are from 3am EST to 5pm EST. Avoid trading during other hours, there isn't much to earn there, but there is plenty of opportunities to make losing trades.
- Avoid trading during news time
Check Forex Economic Calendar and avoid news hours. Try to avoid trading 20 min before the news and 20 min after the news. News trading is one of the riskiest adventure. Always look back at possible losses before admiring possible profits.
Not every Forex broker offers perfect trading conditions during news hours, make sure you know the policy of your broker.
- Don't over trade
Don't trade too much. You won't be able to make more money than Forex market is willing to offer.
Don't compromise your trading system. If a trading setup is not perfect, don't take a trade.
- If you start to lose - stop trading
If you begin to lose, it is better to make a pause. It is either your fault and lack of discipline, or there is a change in the market behavior and your system can no longer produce results. In any case pausing helps.
- Practice, learn, improve
Always continue researching, learning and working on your system rules, your discipline and your risk appetite.
Most importantly: don't think about quitting your day job. It is a very high goal, which may put a pressure on you to start earning money in Forex faster than you would normally do. Take you time, learn, test.
Good luck!
--------------------
|
|
|
|
|
|
| ARJacob |
Mar 21 2012, 01:45 PM
|
Active Money Maker
Group: Members
Posts: 101
Dream Points: 842
Experience Points: 229
Joined: 7-December 11
Member No.: 223,476
|
QUOTE(Javier Nave @ Feb 27 2012, 06:10 AM) 
That's the right type of question every Forex trader should start with.
Here are the rules:
- Start with a mini account and a mini lot
Why? Every beginner Forex trader goes through the first psychological challenge of making first trades. There is a whole mix of emotions, but most importantly there is real money involved, and no one wants to lose real money.
It is very important to leave through your first experience unharmed. You should risk very little at first, this will take off the pressure of making first trades.
Important: with a mini accounts of under $500 you should trade no more than 0.01 lot. Otherwise, there is 95% chance to lose your first account!
- Have a trading system
..Not just any system, but the one which eliminates any misinterpretations and double meanings of entries, exits, stops etc. Avoid systems that call for using intuition or act upon common sense, or use own judgment according to the situation.
The best systems are the ones you make yourself, or, if you start with an adopted method, you should, at least, put an additional work into it.
Polishing a system takes months, but once perfected, it adds tons of confidence into a trade.
- Learn to be break-even on every trade
Ability to protect your starting capital is paramount. Break-even trades are great, since you lose nothing. When you learn how to be break-even, you will be able to make a so called "free trades" - a trade, where a stop loss is set to break-even and a position is allowed to run for maximum profits.
- Trade during active market hours only
Although Forex market is open and can be traded 24 hours a day, the most active market hours are from 3am EST to 5pm EST. Avoid trading during other hours, there isn't much to earn there, but there is plenty of opportunities to make losing trades.
- Avoid trading during news time
Check Forex Economic Calendar and avoid news hours. Try to avoid trading 20 min before the news and 20 min after the news. News trading is one of the riskiest adventure. Always look back at possible losses before admiring possible profits.
Not every Forex broker offers perfect trading conditions during news hours, make sure you know the policy of your broker.
- Don't over trade
Don't trade too much. You won't be able to make more money than Forex market is willing to offer.
Don't compromise your trading system. If a trading setup is not perfect, don't take a trade.
- If you start to lose - stop trading
If you begin to lose, it is better to make a pause. It is either your fault and lack of discipline, or there is a change in the market behavior and your system can no longer produce results. In any case pausing helps.
- Practice, learn, improve
Always continue researching, learning and working on your system rules, your discipline and your risk appetite.
Most importantly: don't think about quitting your day job. It is a very high goal, which may put a pressure on you to start earning money in Forex faster than you would normally do. Take you time, learn, test.
Good luck!
Hai,Great tips really! Thanks for taking the pains to compile this.CheersARJacob
--------------------
|
|
|
|
|
|
| Ganesh Raskar |
 Apr 4 2012, 03:08 AM
|
New Money Maker
Group: Members
Posts: 3
Dream Points: 50
Experience Points: 53
Joined: 5-February 09
Member No.: 55,602
|
QUOTE(DJHalster @ Oct 19 2011, 09:01 AM)
For all you beginners: I would suggest you learn the forex world: both by experimenting and doing your research. There are a lot of great resources for learning forex basics, particularly introductory slideshows on Slideshare. Once you have the basic understanding you can learn strategies at sites such as such Everestforex (great site, very friendly, gives you $100 real money to start with), also check out The Learn-Forex-Blog
Hi, Thanks for sharing. Yes it is true that their are a lot of free forex training resources are available on internet for which we can learn forex easily.I found many free forex eBooks on Internet.Currently I am in learning phase. Thanks for sharing.I will join Everestforex. Thanks
--------------------
|
|
|
|
|
|
| Dominator4fx |
Apr 13 2012, 02:05 PM
|
Junior Money Maker
Group: Members
Posts: 50
Dream Points: 94
Experience Points: 100
Joined: 9-April 12
Member No.: 266,858
|
QUOTE(Ganesh Raskar @ Apr 4 2012, 03:08 AM)
Hi,
Thanks for sharing.
Yes it is true that their are a lot of free forex training resources are available on internet for which we can learn forex easily.I found many free forex eBooks on Internet.Currently I am in learning phase.
Thanks for sharing.I will join Everestforex.
Thanks
Yes Internet is full of Online resources and we need to just find the one that we need. We must spend not just time but i must say Quality time to be able to learn from them 
--------------------
|
|
|
|
|
|
| Lion King |
Jul 19 2012, 04:24 AM
|
Junior Money Maker
Group: Members
Posts: 56
Dream Points: 117
Experience Points: 106
Joined: 22-May 12
Member No.: 281,014
|
QUOTE(Javier Nave @ Feb 27 2012, 06:10 AM)
That's the right type of question every Forex trader should start with.
Here are the rules:
- Start with a mini account and a mini lot
Why? Every beginner Forex trader goes through the first psychological challenge of making first trades. There is a whole mix of emotions, but most importantly there is real money involved, and no one wants to lose real money.
It is very important to leave through your first experience unharmed. You should risk very little at first, this will take off the pressure of making first trades.
Important: with a mini accounts of under $500 you should trade no more than 0.01 lot. Otherwise, there is 95% chance to lose your first account!
- Have a trading system
..Not just any system, but the one which eliminates any misinterpretations and double meanings of entries, exits, stops etc. Avoid systems that call for using intuition or act upon common sense, or use own judgment according to the situation.
The best systems are the ones you make yourself, or, if you start with an adopted method, you should, at least, put an additional work into it.
Polishing a system takes months, but once perfected, it adds tons of confidence into a trade.
- Learn to be break-even on every trade
Ability to protect your starting capital is paramount. Break-even trades are great, since you lose nothing. When you learn how to be break-even, you will be able to make a so called "free trades" - a trade, where a stop loss is set to break-even and a position is allowed to run for maximum profits.
- Trade during active market hours only
Although Forex market is open and can be traded 24 hours a day, the most active market hours are from 3am EST to 5pm EST. Avoid trading during other hours, there isn't much to earn there, but there is plenty of opportunities to make losing trades.
- Avoid trading during news time
Check Forex Economic Calendar and avoid news hours. Try to avoid trading 20 min before the news and 20 min after the news. News trading is one of the riskiest adventure. Always look back at possible losses before admiring possible profits.
Not every Forex broker offers perfect trading conditions during news hours, make sure you know the policy of your broker.
- Don't over trade
Don't trade too much. You won't be able to make more money than Forex market is willing to offer.
Don't compromise your trading system. If a trading setup is not perfect, don't take a trade.
- If you start to lose - stop trading
If you begin to lose, it is better to make a pause. It is either your fault and lack of discipline, or there is a change in the market behavior and your system can no longer produce results. In any case pausing helps.
- Practice, learn, improve
Always continue researching, learning and working on your system rules, your discipline and your risk appetite.
Most importantly: don't think about quitting your day job. It is a very high goal, which may put a pressure on you to start earning money in Forex faster than you would normally do. Take you time, learn, test.
Good luck!
Thanks for information! Really good rules which every newbie should print and hang on the wall!
--------------------
|
|
|
|
|
|
|
|
