Best of the Week
Most Popular
1. Next Financial Crisis Is Already Here! John Lewis 99% Profits CRASH - Retail Sector Collapse - Nadeem_Walayat
2.Why Is Apple Giving This Tiny Stock A $900 Million Opportunity? - James Burgess
3.Gold Price Trend Analysis - - Nadeem_Walayatt
4.The Beginning of the End of the Dollar - Richard_Mills
5.Stock Market Trend Forecast Update - - Nadeem_Walayat
6.Hindenburg Omen & Consumer Confidence: More Signs of Stock Market Trouble in 2019 - Troy_Bombardia
7.Precious Metals Sector: It’s 2013 All Over Again - P_Radomski_CFA
8.Central Banks Have Gone Rogue, Putting Us All at Risk - Ellen_Brown
9.Gold Stocks Forced Capitulation - Zeal_LLC
10.The Post Bubble Market Contraction Thesis Receives Validation - Plunger
Last 7 days
The Fed's Misleading Money Supply Measures - 17th Nov 18 -
Stock Market Outlook: Why the Economy is Bullish for Stocks Going into 2019 - 17th Nov 18
NO DEAL HARD BrExit Tory Chaos, Theresa May Leadership Challenge - 17th Nov 18
Gold vs Several Key Investments - 17th Nov 18
GDX Gold Mining Stocks Q3 18 Fundamentals - 17th Nov 18
Is Gold Under or Overpriced? - 17th Nov 18
Active Managers are Bearish on Stocks. A Bullish Contrarian Sign - 16th Nov 18
Will The Fed Sacrifice Retirement Portfolio Values For The "Common Good"? - 16th Nov 18
BrExit War - Tory Party About to Replace Theresa May for NO DEAL BrExit - 16th Nov 18
Aspire Global Makes Significant Financial Strides - 16th Nov 18
Gold Oil and Commodities …Back to the Future ? - 16th Nov 18
Will Oil Price Crash Lead to “Contagion” for the U.S. Stock Market? - 15th Nov 18
How NOT to Be Among the MANY Stock Investors Fooled by This Market Myth - 15th Nov 18
Tory BrExit Chaos Cripples UK Economy, Wrecks Housing Market Confidence - 15th Nov 18
Stocks Could End 2018 With A Dramatic Rally - 15th Nov 18
What Could Be the Last Nail in This Stock Bull Markets Coffin - 15th Nov 18
Defensive Stock Sectors Outperforming, Just Like During the Dot-com Bubble - 15th Nov 18
Buying Your First Home? Here’s How to Save Money - 15th Nov 18
US Economy Ten Points or Ten Miles to ‘Bridge Out’? - 14th Nov 18
US Stocks: Whither from Here? - 14th Nov 18
Know exactly when to Enter&Exit trades using this... - 14th Nov 18
Understanding the Benefits of Keeping a Trading Journal - 14th Nov 18
S&P 500 Below 2,800 Again, New Downtrend or Just Correction? - 13th Nov 18
Warning: Precious Metals’ Gold and Silver Prices are about to Collapse! - 13th Nov 18
Why the End of the Longest Crude Oil Bull Market Since 2008? - 13th Nov 18
Stock Market Counter-trend Rally Reaches .618 Retracement - 13th Nov 18
How to Create the Best Website Content and Generate Organic Traffic - 13th Nov 18
Why the Stock Market Will Pullback, Rally, and Roll Into a Bear Market - 13th Nov 18
Stock Markets Around the World are Crashing. What Not to Worry About? - 12th Nov 18
Cyclical Commodities Continue to Weaken, Gold Moves in Relation - 12th Nov 18
Olympus Tough TG-5 Camera Stuck or Dead Pixels, Rubbish Video Auto Focus - 12th Nov 18
5 Things That Precede Gold Price Major Bottoms - 12th Nov 18
Big US Stocks Q3 Fundamentals - 12th Nov 18
How "Free Money" Helped Create Sizzling Housing Market & REIT Gains - 12th Nov 18
One Direction More Likely for Bitcoin Price - 12th Nov 18
The Place of HSE Software in Today's Business - 12th Nov 18
Gold Asks: Are US Bonds Overvalued? - 11th Nov 18
Why the Stock Market Will Pullback Before Heading Higher - 11th Nov 18
GDX - Will you Buy This Hated Stock with Me? - 11th Nov 18
Christmas and Halloween LED Dynamic Projector Light Review - 11th Nov 18
Wall Street Veteran: Why I Don’t Lend to Family and Friends - 10th Nov 18
Stocks Breaking Higher, but Resistance Ahead - 10th Nov 18
Stock Market Was Supposed to “Crash Like 1987” - 10th Nov 18
SPX : The Incredibull Stock Market Plays On - 9th Nov 18
USD/CAD – The Moment of Truth Is Coming - 9th Nov 18
Is the Stock Market’s Rally “All Good To Go”? - 8th Nov 18
End in Sight for 'Unloved' Silver - 8th Nov 18
Outlook for Gold & Silver Precious Metals Sector is 'Positive' - 8th Nov 18
A Great Day for Metals as Platinum Price Breaks Out - 8th Nov 18
Future US Interest Rates, Financial Markets, and the FED - 8th Nov 18
Buying an Approved Used Land Rover From a Dealer - What You Need to Know! - 8th Nov 18

Market Oracle FREE Newsletter

Free Online Trading Session

Up Your Forex Trading Game

Currencies / Forex Trading Aug 16, 2018 - 09:17 AM GMT

By: Submissions

Currencies

Trading foreign exchanges has never been easier, thanks to the advent of new technology, and as a result many people are getting into this potentially lucrative form of trading.

However, like any form of financial activity, Forex trading isn’t something that you can make money from overnight. Many of the experts whose advice can be found at forextraders.comworked hard to develop their skills, and Forex trading is not simply a matter of following a simple pattern and collecting a profit. In fact, it is more of an art than a science.


Fortunately there are strategies that can help to improve your trading performance. So if you are a newcomer to Forex trading, or you simply want to boost your profits, here are some useful tips and ideas that can help you become a better trader.

Set realistic goals

Your long-term goal is no doubt to become a professional Forex trader and make a lot of money. But how are you going to get there? Knowing your eventual destination is important, of course, but it isn’t a plan. You need to set out a series of achievable goals that you can hit in the short-term, and build towards your long-term aim. Those goals might be to stick to your strategy for a month or to make a certain level of profit. Set small, achievable goals to plot your course towards the ultimate aim. 

Keep it simple

One of the most important things to learn is that Forex trading is not technically complicated. There are straightforward techniques and strategies that can prove profitable. The tough parts of Forex trading are the emotional and psychological aspects. Getting your psychology right and controlling your emotions is hard enough without having to operate a complicated trading system. Keep it simple and make your trading easier.

Trade less

It may seem counter-intuitive, but one of the easiest improvements you can make to your trading strategy is to trade less. That applies particularly if you’re a man, as there is abundant evidence that men are prone to be too active when they trade and make smaller profits than women as a result. You should be focusing primarily on the quality of your trades, not the quantity, as a high-frequency trading approach rarely works. If you can get to a point where you are happy not to trade for a week if you can’t see an opportunity, they you will have the right balance. Those who trade frequently are often just gambling.

Ditch the indicators

Many Forex traders make the mistake of relying too heavily on indicators. They are essentially looking for a magical system that guarantees them a profit, and they will almost always fail. Ditch the search for these mythical profitable indicators and focus instead on developing strategies and techniques that work in the real world.

Do your homework

Unfortunately, many new traders want to take a fast track to profit. They read one or two books, get the latest trading software and expect to make their fortune. It doesn’t quite work like that. While your trading systems don’t need to be complicated, that doesn’t mean that you can afford to skimp on your research. Trading is a skill and it takes time to learn. The less you read, the longer that process will take. And with such a mass of information easily available online there is really no excuse not to do your homework.  

Against the crowd

Against The Crowd is the title of a seminal horse racing betting book by professional backer Alan Potts, and it is a handy little phrase to remember whenever you find yourself watching one of those financial TV shows or reading the business section of your newspaper. Going against the crowd is, of course, no guarantee of success, but following the crowd is a certain guarantee of failure. If you are reading a piece of advice in the Financial Times, then so are thousands of other Forex traders. Chasing after the crowd is a fool’s errand, so develop your own ideas, your own strategies and go your own way.

Don’t give up the day job

The desire to get out of your mundane office job can be powerful, but it takes time to build up the skills to be a successful Forex trader. Don’t try to be a full time trader until you are confident that you have the knowledge, the mindset and the funds to succeed. The unwary and the impatient rarely last long as traders. Take your time, practice your skills diligently, and you will increase the chances of one day being able to leave your job.

Conclusion

Forex trading is not easy. It requires a certain amount of technical knowledge, a degree of diligence and discipline, and an array of psychological qualities. But by following these strategies you will be giving yourself a solid grounding towards what may one day be a lucrative career as a full time Forex trader.

By James MacDonald

Copyright 2018 © James MacDonald - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2018 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules