Forex market represents a lot for me...when I first started to learn about it, I was impressed by the possibilities it offers. After 3 weeks of learning...I invested. Big mistake. Why? Because I was not prepared.
Now I have more experience...and this comes with time. So I recommend everybody not to rush. You need years of experience in order to succeed, and the secret is, in my opinion, patience and capital management. If you loose yourself in front of the market, you are gone. Emotions, there is not place for them here. Rush for making trades...not good at all.
So I write this article in order to help.
Let's see the steps that need to be done:
- choose a online forex broker very carefully and stick with it.
- start to learn some technical analysis and practice on a demo account.
- buy some books about technical analisys written by professionals( better this than loosing)
- buy a book about capital management.
- learn not to rush, if is nothing to do on the market, do not do it.
- concentrate on the trades you make( even is a demo account - I know it is hard).
- if you win a few times, doesn't means you are good.
- if it is hard for you to learn on a demo acc, open a real one with a small amount of money( a mini account), but be prepared to loose.
- do not buy trading softwares, will not work.
- inform yourself about the market ( read news and stuff), and make what others say only if you think is a better idea ( buy or sell).
- try to simplify things.
- be confident.
- make a trading plan and respect it, even if you loose some times.
- the trading plan must be realizable, and the risk smaller that profit.
- if you risk 50 pips, be sure that this 50 pips value is not bigger than 5% of your account.
This are a few of the things that need to be done, and if you don't see it now, you will see it later.
