Forex trading is an investment that promises big returns, even in a short time (get rich quick). This is what makes beginner traders (newbie) interested in trying. However, in reality, many novice traders have failed. Many factors trigger failure, one of which is not understanding how to trade properly and of course making a profit. Visit our website to get premium technical indicators. Here’s how to trade and get profit.
Develop a Trading Strategy
Draw up your trading strategy before starting trading. Determine the target profit you want to achieve and take into account the risk factors. Besides that, adjust it to the capital you have. After it is well organized, first try it several times on demo trading, after being sure that you will apply the strategy to a real account.
Start Transaction From Small Transaction Volume
Start with minimal transaction volume (lots) (1 lot). Get used to adapting in advance to the forex market situation. Do not be in the mood to immediately transact with a large volume of transactions.
Always be disciplined in timing in determining when to enter the market and when to exit the market. Always schedule it regularly, so you know when the market is friendly with your trading strategy.
Controlling trading psychology
Being good at controlling emotions, eliminating fear and greedy attitudes are important things in trading psychology. Many novice traders underestimate this aspect. Though this also plays an important role in your trading results.
Pay attention to risk management
Risk management is very important in trading. Setting Stop Loss (SL) and Taking Profit (TP) points is highly recommended to minimize losses. This function is also very useful for those of you who are busy and cannot monitor prices all the time.
Avoid Trading In the American Session
In the American session, there are often very fast price movements, because it is related to a lot of American data that is released, and has an impact on currencies that are paired with the dollar or commonly called the major currency. This looks like a golden opportunity for you to make a profit, but it will be disastrous if you don’t know-how. It would be better if you as a beginner avoid trading in the American session because it takes experience and high flying hours to be able to read the market in the American session.