I’ve already written about different strategies and Forex trading tips for those who already have some real experience. But what should do those who have just entered the Forex world? As every expert says, create your trading system. Sounds easy, but in fact, this phrase includes a series of steps that should be passed through obligatory. There is no short-cut way and I’m going to tell you what is this trading strategy (system) for and how to develop it properly.
Many new traders have heard a sad statistics that 95% of beginners fail on Forex. This number is widely spread throughout the Internet. Sometimes, I have a feeling that someone doesn’t want to let other people trade on purpose. 🙂
Whether you choose a new laptop or a hotel for vacation, or just want to know if the movie is worth your attention – the first thing everyone does is browse the Internet looking for reviews. Each of us sometimes went to the forums and review sites to inquire about what other users and visitors write.
Nearly every day, I see the information about Forex trading mentors throughout the web. People are interested in their services because they think that mentors are more professional and experienced. But it’s not always true. The market is full of sort of Forex trading mentors who offer magical trading strategies, expert advisors, and books on the subject of rather poor quality. It seems to me that there are not so many of real mentors who can share their own experience with newbies, but there are always people who want to make money on the newbies’ ignorance.
The Forex market is constantly waving. It has periods of the uprising, moving down, and consolidations. Most of the traders use systems that perform better on the rising or falling market, but there are strategies that work perfectly on consolidating one. So, it’s like… The equity curve just follows the waves of the market. It means that you shouldn’t always stop trading when the price goes wrong.
Not every trader can dedicate all his time to Forex. Even if he does, he has to plan the trading day. If a trader dedicates Forex a few hours in a week, he should do it. I can say from my own practice, that trading on Forex needs a trading schedule. The market moves chaotically, and I’d be lost in it without an order.