ChaseCapitalOnline Forex experts give useful advice to new traders
In this article, ChaseCapitalOnline Forex experts will explain to you the essence of the basic concepts of investing/trading in the financial markets.
The aspiring trader is enthusiastic and looking forward to huge profits. Only a few minds show rationalism and think about the question "Why are there so many traders around, but few of them really make money? " In this article we will talk about the path of a beginner trader and try to help him avoid some pitfalls.
Easily and hassle-free, you can choose a broker such as ChaseCapitalOnline broker to start your trading journey.
1. ChaseCapitalOnline Forex experts: Train!
We mean trading on a demo account, and after successfully testing your trading system (TS) - on a cent. Agree, on real money, albeit small, the sensations are completely different than when you know that you are risking virtual “fake” money.
Using a demo or cent account, a trader:
- keeps itself in good shape.
- develops a “sense of the market”.
- can test new trading techniques.
- can analyze errors from real trading.
- expands the comfort zone by increasing the deposit.
Do not disdain cent accounts, even if you are an experienced trader - using new trading methods, you will significantly reduce the risk of losing money. After making sure that everything works, switch to a dollar account or increase your deposit.
Always practice your trading plan before trading real money. ChaseCapitalOnline.com, like most forex brokers, offers a risk-free trading account for beginners who want to learn how to trade forex.
2. ChaseCapitalOnline Forex broker tips: Search for new tactics
The main feature of the Forex market is the constant change in the rules of the game. Due to new economic conditions (mostly) the market is constantly changing. That is why it is better to use not one, but several approaches to trading.
Many traders are sure that there are only 4 trading tactics:
- Scalping, when the deal is closed at the maximum in a few minutes with a profit of 1 point.
- Trading on the change of trends within the day at the close of one session and the opening of another. Usually the market reverses when moving from the European to the Asian session, which goes against the American one.
- Trade within the session, the target is 30-50 points.
- Positional trading on medium-term trends: weeks and months. Requirements: a clear trading system and large capital.
The choice of tactics can be influenced by personal preference. You can choose such market leaders as ChaseCapitalOnline broker and work out your trading strategy with a team of specialists.
3. Don't be greedy
Despite the widespread belief that it is impossible to earn by trading the minimum lot, this is not the case. On the contrary, the minimum lot is a psychologically comfortable solution for a beginner trader. Subsequently, you can gradually increase trading volumes.
4. Don't trade against the crowd
Understanding the "market sentiment", it is worth opening most positions in this direction. The trend is always our friend. Do not catch short pullbacks, which requires experience and skill, try to first learn how to make a small profit on strong moves.
5. No schedules
There should be a trading plan, but you cannot make a fixed profit every day - this is the market, it is volatile. If the situation is unclear, if currency movements do not fit into your picture of understanding the market, do not trade at such moments. Also, do not enter the market just because you are tired of waiting. As traders say: "Being out of the market is also a position."
Before entering the market with ChaseCapitalOnline.com forex broker, be sure to determine the desired entry point and the level at which you will take profit/loss. There must be a good reason for every action you take. Therefore, awareness and determination are very important for a beginner trader.
When placing stop orders, try to make the possible profit greater than the loss. Otherwise, your deposit will slowly melt away. If you see that the market is going against you - feel free to close the losing position, do not let the losses accumulate.
You yourself, your knowledge, skills, thoughts and actions are the main thing in trading. The market is secondary. ChaseCapitalOnline broker experts wish you successful trading, new trader and remember that the profitability of trading very much depends on the broker you choose!