In this Forex course we will review some steps you need to take care before you venture into your trading journey. Most traders venture into the Forex market with little or no experience in the Forex market. This results in painful experiences like losing most of the risk capital, frustration because it seemed so easy to earn money, etc.
The first thing you must understand is that it is not easy to make money. Like any other activity in life, where important rewards are to come after the Masters, you must work need very well educated and experienced before having the opportunity to receive major awards in this regard. The key on mastering the foreign exchange market relies on commitment, patience and discipline.
Ok, you've decided you are going to market in the Forex market, you've seen the ads most how easy it is to make money in the Forex market. One might think that this is an opportunity to achieve financial freedom, right, time is money, why wait longer if you have the opportunity to make money. I know, I've been there, but now has the opportunity, I did not, no body told me what I say.
We, Forex traders make transactions based on a set of rules. These sets of rules are what we call a trading system.Our systems tell us the exact time we need to get on the market and the market to make a profit
Creating a system is the first important step is necessary to take care of first. Why is it so important? Why is it necessary to build a system that fits your personality, otherwise you will find it difficult to follow, so hard to build on.A system can be based on technical indicators or what we called a mechanical system or based on experience and intuition or what we call discretionary systems. I recommend using and trying first a mechanical system, because discretionary systems are dangerous during the early stages of a Forex trader (can lead to indiscipline.) With experience in stages, namely which signals work better and which to avoid.
The next step in this Forex course is to test the system on a demo account. Most brokers offer a forex demo account, an account with virtual money. This is an excellent choice to test the trading system, because there is no money at step will tell if the strategy works for you. If you feel comfortable trading, then it is most likely to produce good results. How long should you stay in this passage? It varies, but you should take a step forward until the system becomes consistent profitable results over a period of time.It may take several months, but remember, you must be patient.
You must be honest with yourself, you should take each signal generated by the system, not only the signals you thought going to work, otherwise you will have problems in two steps.
Ok, you've had consistent profitable results on your demo account. You may think it is time to go full. No, no, no. There is a big difference between a demo and trade a real account. The most important difference lies on emotions (fear, greed, anger, etc.) These are psychological barriers that affect every decision made by traders regardless of what he / she is trading (stocks, bonds, currencies, futures, grains, etc. These emotional factors), in my opinion, are the most important factor that separates profitable traders from other.
The next step in this Forex course is specially designed to manage emotions and to confirm the results obtained in the previous step (consistent results in a demo account.) At this point, you have to sell in a real account with funds limited.Some brokers offer fractional lot trading. In the sense that it is able to trade any desired amount (even cents.) The important thing here is that these emotions we speak are present only when there is real money at risk. At this stage, you will see if you are really comfortable trading your system and if you are able to negotiate with such a system, remember different systems produce different emotions. If you are able to produce similar results to those obtained in a demo account, then ready for the next step. If you do not, then you may need to create another system, there is the possibility of the system is not formed. If you created consistent profitable results were in this phase, you can produce similar results in the next, on the other hand, if it has not been successful at this stage will not be able to do the next step. Remember, you need to do things, and be honest with yourself.
The last step is to negotiate a real account with sufficient funds. If you are at this stage, and have passed all stages before, then you have the opportunity to do so, go ahead and try, you must have confidence in yourself and in your system, your strategy have already produced profitable, we reason to believe that you few traders fail at this stage (if passed successfully the above steps.)
Trading successfully is not easy, it requires hard work, patience, discipline and education. By completing the steps outlined in this Forex course, you have the chance to produce profitable results. I repeat, we must be honest with ourselves to results obtained at each stage. Sometimes you may need expert advice regarding the development strategies of the system.