Know the facts
Some of you might think trading is all about making money. Just by investing a small amount, you can easily lead a luxurious life like the professional Aussie traders. But things are not as easy as they seem. More than 90% of the retail traders are struggling with trading business. So, if you intend to develop your career in the Forex trading industry make sure you prepare yourself to deal with heavy loss. But you can easily solve this problem by using the demo account for the first few months. Be smart and use your intellect to become a better trader.
Start trading the demo account
Never trade the market with real money unless you know how to deal with the losing orders. Start developing your skills using the demo account. Brokers like Rakuten offers a free demo account to their clients so that they can easily develop a balanced trading strategy. To learn more about professional trading environment visit sec.rakuten.com.au. Though you will be trading the market with demo account still you need to write down the details of each trade. Learn from your past trading mistakes, so that you don’t have to lose a big sum of money in the real trading industry.
Try to be a position trader
It’s true the scalpers can easily make a big profit by using high leverage trading account. But to do so, you must have extensive experience in the retail trading business. Since you will be trading this market for the very first time, it’s better to focus on the daily and weekly time frame. Never try to day trade the market as it dramatically increases the risk exposure
Master the art of trade management skills
Making a consistent profit in the Forex market is a very challenging task. Unless you know the proper way to manage your losing orders, you are most likely to ruin your trading career. At the initial stage, never risk more than 1% of account balance. If you lose two trades in a row, take the day off. Never trade this market under extreme stress as it will force you to execute low-quality trade. Always remember, it’s better to stay on the sidelines than to lose money on poor trades.
Developing a strong habit of reading
Understand the dynamic Forex market requires updated information about the global economy. You might have the best technical data but still, you have to focus on the fundamental factors. High impact news release like an NFP, interest rate decision can easily change the course of long term trend. So it’s obvious that, even after following a trend trading strategy, you might have to lose trades. So, learn to analyze the fundamental data with an extreme level of precision to avoid unnecessary hassle.
Learning to trade the market is an art. If you don’t play safe, you are going to lose money very easily. Read more about trading business and try to follow all the rules of investment. Stick to your trading strategy to protect your trading capital.