How to become a good option trader in forex

What I have seen in my own trading and from the traders that I helped is that demo trading often lets people adopt negative behavioral patterns that are then very hard to unlearn. Our holy grail is hard work and independence. You can read more about my story here. The cold, harsh truth is that, in the end, no one cares if you make it as a trader. Also, the average sleep time is at 8 hours and 48 minutes which exceeds the recommended 8 hours per day by almost 1 hour. This will be tough but the impact will be huge. There is a place for demo trading, but most people stay on demo too long. Tip 8: Controlling expenditures can often help people make a transition sooner.

Every Sunday, I sit down and go through all the markets that I consider trading and perform a detailed chart analysis. This ties in with the previous point. Tip 10: Adopt realistic expectations and avoid monetary goals. When I then counter with the question how much those people are currently making as traders, it becomes obvious very fast that they are focusing on the wrong things at the right time and they are not even profitable yet. This also holds true for trading with too small trading accounts and we wrote about those dangers earlier. Tip 6: Audit your week and identify time wasters. Trading charts have been obtained using Tradingview, Stockcharts and FXCM. However, failure typically comes down to undisciplined trading, a lack of professionalism and a pure gambling mentality. The downside, swing traders often have fewer trades and more patience is necessary.

Your Sunday should be your most important day of the week. Be honest with yourself and evaluate your current approach to trading. Tradeciety used images and image licenses downloaded and obtained through Fotolia, Flaticon, Freepik and Unplash. Then come up with a top 3 list with your most commonly made mistakes. This is another very overlooked aspect when it comes to full time trading. Traders who always try to blame their system avoid taking responsibility and look for excuses instead of doing the work that is necessary.

Tip 1: Decide whether you want to be a swing trader or a day trader. Trading Futures, Forex, CFDs and Stocks involves a risk of loss of money. We quit our corporate jobs a few years ago and are now living life the way we want it to be. Small improvements over time add up. If you still have a 9 to 5 job, becoming a professional trader in your spare time can be quite a challenge. The ability to discipline yourself to delay gratification in the short term in order to enjoy greater rewards in the long term, is the indispensable prerequisite for success. But you have to make sure that you follow the right path. Tip 12: Are you serious enough about trading?

Please consider carefully if such trading is appropriate for you. Or, depending on your time zone, even stock traders may be able to day trade a few hours in their evenings if an exchange is open at that time. At the same time, the average American watches 2 hours and 9 minutes TV each day and only invest 25 minutes per day in education. Audit your weekly schedule and your personality to see which style suits you best. Icon design by Icons8. We have a passion for sharing our knowledge of the markets and hope to help other traders improve their trading. Thus, the first step for you should be to identify your greatest problems and your most commonly made mistakes. Such a way of thinking shows an amateur mindset.

This approach takes up a few hours of time during the weekend, but it frees up so much time during the week and it is ideal if you have a day job. Always keep in mind that what you are doing is creating a new life and a new career for you. Tip 2: For the next 12 months, pick one system and make a contract with yourself that you will not change your method again. Instead, focus on your problems and struggles that you have RIGHT NOW. Articles and content on this website are for entertainment purposes only and do not constitute investment recommendations or advice. Then, choose the markets and instruments accordingly.

There is an interesting survey I came across and it shows how people structure their day. Rolex shopping each weekend. Analyze your approach to trading realistically, your level of professionalism and whether you are serious enough about it, or whether you are just trying to get lucky and find a Holy Grail system. It helps you stay on top of things, while being totally organized and creating a professional routine for yourself. Tip 7: Focus on the immediate task ahead and work on your current problems. When trading is not your only source of income, you can eliminate a lot of the pressure that often causes traders to make mistakes. Good trading plans often are based on experience or market observations and developed through research and exhaustive testing. Often, invalid trades are the result of our emotions: Fear, greed, impatience, overconfidence, etc. Taking trades that fall outside the plan is considered bad trading, even if they turn out to be profitable.

The logistical ease of getting started, however, should in no way imply that becoming a profitable trader is simple. As a hobby, trading quickly gets expensive: Just dabbling can prevent traders from gaining the proficiency and experience they need to become consistently profitable. As with many businesses, there are certain principles that, when followed, can greatly increase the chances that a trader will be successful. What will be traded and how it will be traded. Other times, they stem from our mistakes, or pilot error as it is often called. Plan your trade and trade your plan.

The key to developing a successful trading business is good planning, both for the overall business and for the actual trading. Most experienced traders would attest that success depends on many factors including hard work, research, planning, discipline and being a lifelong student of the markets. Here, we explore 10 timeless rules that are an important part of successful trading, no matter the techniques, markets or time frames you trade. Rather than thinking in terms of a hobby or job, it is important to approach trading as a business. Consistently following the rules of an effective trading plan is part of what allows a trading business to make money over time. Trading your plan is not as not difficult as it sounds, and most traders must work hard to develop the necessary skills over time. Like any business, trading incurs expenses, losses, taxes, uncertainty and risk, and these factors must be taken into account. The great majority of dollar volume traded on forex markets occurs in the currency pairs below.

In other words, leverage permits traders to put up only a fraction of the cash represented in a currency lot. For the beginner, an automated trading program is probably the best way to break into forex trading, at least until the neophyte trader becomes more familiar with trading procedures and possibilities. For more information on global currencies, read Top 8 Most Tradable Currencies. Finally, never put more money at risk than you can afford to lose. Aspiring forex traders can start by reading Forex Trading: Using The Big Picture. Either time may be the right time to trade. Check out some common mistakes that often trip up forex traders in Top Reasons Forex Traders Fail. Leverage is defined as borrowed money, obtained from lending institutions or brokerage firms, which allow traders to buy currency lots on margin.

For traders who make their own trading decisions rather than relying on an automated system, discipline and dispassion are essential for success. An automated trading platform may be the best way to accomplish this, especially for new traders or those with limited experience. Read on for some tips to help get you there. Trailing stop and stop market orders may be imposed to protect against sudden market reversals and to minimize risk. Part time traders may opt to trade on their own, or choose an automated trading program to make trades for them. For tips on how to analyze your trading and improve, read 4 Reasons Why You Need A Forex Trading Journal.

This topic is very educative. These next steps are critical in refining your trading approach and developing an organized and structured trading routine that will guide you when you switch to real money trading and help you avoid becoming an emotional trader. For some it is but most it is not. Jan 13 and I can say that progressed a lot with your course, videos and forums. We are trying to overcome fear of losing and trying to be consistent in following our method and I thinking we are getting there. Your aim should first be set on making consistent money each month relative to your account size, not on becoming a pro trader right out of the gate. Thank you for sharing your knowledge, experience and writing this blog. So I make 600, but my overall risk is also 600.

OK to use that money to trade with. This mindset makes people take crazy risks that have very little true reward if any. Its very simple and effective. Consistently successful trading and professional trading might sound like the same thing, but they are not. Your explanations are so not difficult to read and understand. However, you should not be discouraged, because the sooner you accept this reality, the sooner you can get on the path to becoming a professional currency trader. Many of them ignore the basics of Forex trading and of learning how to trade; this is a big mistake because if you really want to become a professional at something you have to start by understanding and building a foundation on the introductory concepts. Now, there are thousands of different ways to trade the market out there, but if you want to learn how to read the raw and natural price dynamics of a market, I suggest you learn to trade forex price action strategies.

Now, it might seem obvious that you should learn the basics first, but most beginning Forex traders simply have no clue what they are doing as they learn to trade. First off, let me clarify something; becoming a professional trader is the result of first being a consistently successful trader and building up your trading account and trading skills over time. Just aim to be consistant! You should first get a solid education in the foundational concepts of Forex by taking my free beginners Forex course. If you can honestly say you stuck strictly to the rules of your trade plan then you have put yourself in the shoes of a professional trader and have dramatically improved your chances of success. So, the point is that focusing on the actual process and mechanics of trading is far more important than trying to make a lot of money on a small account. You need to think about your trading in terms of dollars risked vs. Pretend that you are trading a 1 million dollar account even if your account is only 1 thousand dollars. Thanks for your honesty.

Thank you and I am looking forward to part two. Becoming a pro trader is going to take time and effort on your behalf, and you will probably experience some ups and downs along the way. When someone starts out with a few hundred dollars they have no patience to build their account and see it as an uphill struggle. Do you see my point here? BEFORE they proceed any further. So that is 1R, but I would say that is still not a bad result, for me anyways. This means there is still room for discipline. Forex trader, you have to first aim a little bit lower; you need to aim to make consistent money each month while simultaneously implementing effective Forex money management. But no I am slowly getting back on track.

What do you mean by making 3 times your OVERALL risk? Your article with regard to the price as well as the subject matter of risk involved it. Before you begin learning how to trade or before you open a demo account, you need to sit down with a pen and paper and make a monthly budget. Thanks nial for ur great effort in bringin this knowledge to us. So, their is no need to get stressed about trying to turn your small capital into millions. If only they would focus on the trading and not the money then success will follow, like nial points out, once you can show solid consistancy in your trading with whatever profits you have then the money will follow, in the form of other investors. Anybody that aspire to be a pro trader should learn to read and interprete price action. If you are new to trading and are on a demo account then you have nothing to loose and the sooner you develop good trading habits the sooner you will achieve success! If you are pulling a number like 36R or even 15 or 20R a year, you will have no problem finding funding for your account or getting a job with a prop trading firm. How to identify the trend to what extent it will reach either down or up trends, these are previously calculable it, then go on its treading methodology.

Somtimes I only trade 2 to 3 times a month. Just try it as see the results for yourself. In Figure 3, above, we can see many indicators that point to a long position. This will result in a harsher filter through which your trades are screened. We will also define a collection of technical indicators with rules associated with them. Lowest capital requirements of the three because leverage is necessary only to boost profits. Moreover, the signals of each time frame should support the timing and direction of the trade. We also see that a Fibonacci support provides a nice exit point.

Use trailing stop losses to lock in profits and limit losses when your trade turns favorable. The framework of the method covered in this article will focus on one central concept: trading with the odds. Now we will look at how to set up this method in your chosen trading program. Fewer opportunities because these types of trades are more difficult to find and execute. To do this, we will look at a variety of techniques in multiple time frames to determine whether a given trade is worth taking. Note that this may result in forfeited gains. These technical indicators are used as a filter for your trades. Again, we see a Fibonacci resistance level that provides an excellent exit point.

In Figure 2, above, we can see that a multitude of indicators are pointing in the same direction. This trade is good for almost 200 pips in only a few weeks. Money management is key to success in any marketplace but particularly in the forex market, which is one of the most volatile markets to trade. This trade is good for 50 pips, and takes place over less than two days. If you choose to use more indicators than shown here, you will create a more reliable system that will generate fewer trading opportunities. Note, however, that this may also result in forfeited gains. Increase the number of indicators that you are using.

Note that we could break this trade into smaller trades on the hourly chart. We will be using a free program called MetaTrader to illustrate this trading method; however, many other similar programs can also be used that will yield the same results. Note that this will result in fewer opportunities. The key to finding entry points is to look for times in which all of the indicators point in the same direction. Large capital requirements to cover volatile movements against any open position. So, they rush to open a big live account to become a millionaire as soon as possible. It can be different from person to person. It is not clear when you will become a consistently profitable trader. But my common sense tells me that if there were a perfect EA making money then people might already found it. Hopefully, I will start trading soon.

EA is too risky for me. Binary Options which you have to choose the movement of the price, up or down and the time. Even if you learn everything you need to know about Forex trading, and even if you succeed to repeat your success with a demo account for several consecutive months, still it is a big mistake to start live trading with a big live account, because trading with real money for the first time, triggers some emotions that a novice trader has never experienced before. It cannot be done overnight. As a first time visitor to your site, I find it very simple and informative. Do not open a big live account at the beginning. Fancy meeting you here! Forex trading, because they really have been working for several hours to make money, day in day out, no matter what kind of business or job they had.

Driving is not risky by itself. How Many Monitors Do You Need For Forex Trading? If you think you cannot, then you cannot. My previous trading set up was all wrong though sometimes I could achieve some but average, I became failure. Please do yourself a huge favor and do not open a live account yet. By the way, the ebook is a sort of summary of the articles here on the site. The second point I have to share with you before I help you become a profitable Forex trader, is about your financial situation.

Does it work that way? How long do you usually leave your positions open? But I will never give up. That was before i discovered LuckScout. Do you have any videos about this or article? Review and revise your mindset now, and read the rest of this article when you done. You already know how I am grateful. Still there are a lot to come. Thanks alot chris and all LuckScout contributors for such priceless information you offer for free. You must be very successful investor.

You are a unique person who shares his knowledge and helps others learn without expecting anything in return. The same goes for a lot of other links. Hello LuckScout team, thanks a lot for this massive content of relevant information about trading. It is a big mistake to open a big live account. As a forex trader, your account size, the risk you take in each position and sometimes your entry and exit prices are all you can control. It is up to you if you like to follow a different trading system, but keep in mind that our trading system and the way we use it, is the best and simplest in the long run.

Now you can go to the next step. For as long as it is filled before 5pm the next day. Your question tells me that you are not confident enough yet. Trade with your live account until you double it, no matter how long does it take you to do that. Follow the below articles and videos to know what you should do in demo trading exactly. The conditions are almost the same for both.

You might have different concerns, such as the quality of the translation so it is understandable if you want to keep it in English version only. What you have shared here is more than enough to almost guarantee me success, it is how I use it that will determine everything. Thanks and glad to be back. Only for you and your creative team, we are save now in this challenging market. LuckScout then I would have given up on. What Is Forex and How to Make Money with It? The challenge for me is to not jump around and stay on task as I take each lesson step by step. We have also introduced a different approach in using the candlesticks and Bollinger Bands to trade.

You should have exactly the same discipline for all of them. Well I tried emailing you to tell you, but I kept getting messages that the emails were undeliveraable to your addresses. That is true Ted. Bless you and your co. This is a very great summary about the steps we have to do. If I were you, I would not rush to start live trading, and I would keep on demo trading for three more months. Even though I have not earned much yet we know that we are on the right path thanks to you. Unfortunately, many of them trade with the money they cannot afford to lose.

He asked me to not use any indicators and just trade one currency pair. Book you guys provided us with. It is literally impossible, if you follow your emotions and mindset, and try to invent new ways. Truly thankful to you! Chris, I feel sad, I know that I already asked you this question, but this was after your answer here, now I can understand why you did not answered to me. Thank you for being the great writer that you are. It is someone who takes his steps correctly. But in most or all cases, it is disappointment and regret which is waiting for them.

Your income stops if you stop trading. By the way, hank you for informing me about that article. Now, following your daily articles I feel more comfortable and I am not expending all the day in front of my computer. Is It Worth To Become a Forex Trader? Turn it into a huge capital. Skype ID so that I can talk to you. Yes, most info is available and for free but to actually share with people what you use and how you actually do it is a completely different thing.

Uditha directed me to your forum and that changed everything! Hoping to get into it. It is what I thought. So, according with your experience, do you think it is possibile to make 5 or 10 percent of the entire capital daily? We just wait for the too strong setups on the daily, weekly and monthly time frames. You know Chris, when I got this site, for some minutes I was just thinking that how lovely and helpful buddy, Chris you are who sincerely, honestly and frankly share his knowledge by teaching on Fx which is very very important for every types of trader. This trading system was not invented by us. Forex trading can be the best event of your life. And how can I recognize the strong setups? Thanks for all that you have done. Hopefully I will be successful soon, I guess it take lot of persistence and I have still lot of thing to learn.

And Bollinger Bands that was invented by John Bollinger in the 1980s, is a great complement for candlestick patterns. You are taking a bigger risk when you trade like this. In addition to this, you can open a topic on our forums and share your file from there too. Yes, we only follow the daily, weekly and monthly time frames. Even if you can achieve to become a consistently profitable trader, which is a really big achievement, your income stops if you stop trading. The rest is not under your control.

It is a while that we are offering a perfect opportunity to our followers, to start a very reliable and strong source of income. Like Chris said, many people who write article about trading are not even trader themselves. You are disciplined enough to take the strong trade setups, and ignore the weak ones. Thanks in advance for your kind reply. Swiss tsunami will not happen again if the stop loss of money does not work at that time. Please confirm if my understanding is correct for daily charts. You will always have time to recover your losses when you become confident enough in your trading.

Really thanks for your work. This is what Chris tells us again and again. The grass is not greener at the other side. Well, if you say so, I will. The way some people trade Forex, is risky. To make money through Forex trading, you have to learn and master it and this needs spending some time and energy.

English is not my first language. The profit is what the market has to give us. If it so, how many positions do I have to take to reach this goal, without risking more than 5 percent of my capital in a day? Forex trading will be nothing but wasting of time and money. First, you have to repeat your success with your live account for few consecutive months, the way you did with your demo account. You know Chris, I am following as it is whatever you recommend here though I am a continuous trader since 2010. You deserve every success that you have. Then I felt I like it. So he wanted me to program it. Then why do you still write articles for us and give us free? Writing is the only thing I am doing now.

We just learned and mastered it. Your articles are like daily food for me. Price Action and LuckScout signals but I lost my money because I was starving of getting my money back. Then you will be able to send your file. Thank you very much again. The outside conditions are almost the same for anybody. Take an example of what I found following on one of most visited site on internet. In addition to that, I would like to register for your new program which is coming up, and you discussed a few weeks ago.

That is why I am still writing. Although it looks not difficult to make money through forex or currency trading when you look at the price charts, it is difficult in reality and most traders cannot become consistently profitable even after several years of learning and practicing. Your site is not very famous among traders, but it is much better then most popular sites. Since I read casually your first article surfing on the web I am getting better results in my live account. What Is The Best Currency Pair To Trade? How can I know how many trades I need to do dayly?

Forex trading is not as hard and complicated as what novice traders think. Which Uditha and I have done recently. Candlesticks have been used for several decades by professional traders and investors on any markets you can imagine, from rice and wheat to gold and oil. It is not my native language. As I said it is a criticism but please it is only well meant! Genuine Newbie so be gentle lol.

It was really a misleading article which was against what we are teaching on LuckScout now. The 5 steps to become a consistently profitable trader is simple and straightforward that many people will likely not take it serious as they can not difficult see so many website teaching strategies that are complicated. You will experience a lot more fear and greed when you start trading with real money. You will make big mistakes and you get your family and yourself into big troubles. If me and my friend achieve what we are after we ill come and see you in person and thank you guys! It is very not difficult if you take it serious and follow the right track carefully and precisely. Hi Chris thanks for the information. May God continue to bless and prosper you Chris.

After that, please master these candlestick patterns through demo trading and make sure to repeat your success for six consecutive months at least. You know how to set the stop loss of money and target orders, and you do this precisely, strictly and religiously. It means forex trading cannot create any backup or residual income for you. Henry Ford was trying to say. Sharing your wisdom enlightens people chris. If you have really reached this level, you can start live trading. One way I can figure out is that you leave this page open and then right click on each of the articles titles from the beginning and open them on a new tab.

Most traders open a live account and start trading with real money, when they have not been able to have any success in demo trading. For me as a beginner the page is overwhelming. Internet is full of wrong information. This helps you maintain and improve your discipline, and keeps you from developing bad trading habits. In this business, I have to be wise, precise and disciplined, not workaholic. What Is the Proper Risk and Reward Ratio in Forex Trading? Have you learned how your trading system works? This prevents you from thinking and deciding properly.

Finally I have found an article that I can say is the table of contents. Indeed, it is not good to set a daily monetary or pip goal. There are a lot of things that are not under your control. Here is what you have to do to become a profitable forex trader. And finally we will be there. Forex trading can be risky. Hopefully, I will begin trading soon. Some others do it after a while of learning and practicing with a demo account.

My goal, by now, is to recover my money with patient and then follow with my system. Which article talks about focusing the Asian session? Could you please tell me how to download your ebook? Can you tell me how much time do you think it take to begin making a living? Of course, dealing with this site has made me learn something new about computer and the Internet every day. May God bless you. Is this system for me? LuckScout for about 7 months.

Am 2months old in trading am happy to have met Chris as my mentor. You save us from not only our account balance become wiping out but also save us from this challenging market being removed for forever. Forex trading is an investment opportunity to increase your wealth and make you wealthier. Thank you for your kindness. You make us what we wanna be. Now I am starting from the top and read every article, I will not repeat the ones I have read because they were so clear such that I remember everything. Till now I have read most of the articles about our regular trading system.

Similarly, Forex trading is not risky by itself. Happy new year 2015, Chris. Candlesticks and BB are way to go. We just have to be patient and never give up. The above articles and videos teach you the basics. The copy right will be your for sure. There are certain words and phrases in each article, that are automatically turned into links. Making money through trading has a very low success rate and only a very low percentage of traders will become profitable and will consistently make money through trading as their full time job.

Now the works is much easier for you. Thank you, thank you, thank you. But when I start reading LuckScout I realized how wrong I was. You make trading so not difficult. Just please start from the beginning of this page. After 5pm, Sydney opens. If you start with a live account without much experience, your dream may turn into a nightmare. He just says, if you think you can, then you can. They lose all the money.

What Is Metatrader and How It Works? It takes patience, but it can save you so much trouble. Thank you so much Chris. What I am worried about is that whether those people allow us to share their photos on the site. Thank you for all the information you are sharing with us. Chris, do I have to come over all those videos about Chart analysis here? Am using daily and Ihr times frames to follow the market. So during this session that you spend 30 minutes analysing the daily charts, and enter pending orders. Then withdraw the initial capital and leave the profit in your account, and keep on trading with your profit the way you have been trading with your initial capital. It will not work, and you will not succeed.

Today is my 6th day regarding learning. Thanks a lot, sir. You are one of the best person I have ever met! Will be glad to help. We will be more than happy to share it on LuckScout. You can highlight the titles, so that you know which one you have opened and read. Great success for you and may good always bless you chris. But I know I need a lot of time and hard work in order to begin to earn.

Keep on trading with your profit and raise it. However, I would still love to have that ebook if possible. Best thing I can do to repay you is guiding fellow traders for nothing in return. Can I start demo account? Chris with your team. Why Most Traders Like To Go Against The Trend? Many thanks and may you continue to be abundantly blessed in all areas of your life.

Thanks for answering me. And indeed there are some more numbered links in the linked articles. You have saved me and many others years of trial and error. Sorry about the lengthy post. Not too profitable yet, at least not enough. What do you think about that? Asian session because no news are likely released in this session. Chris, in any case my appreciation for you is certainly endless for sharing your knowledge with us and that for free. This is really great that you have a background about and trading.

Emails but could not make any comments. Sorry for potential mistakes. There are some important facts you have to know about Forex trading, before you start learning and trying it. Before you open a trading account with a broker, make sure you know how brokers work and how they can cheat their clients: Some Forex Trading Facts and Myths You Must Know What Is the Closest Way to Become a Profitable Forex Trader? EA is the only way to go. Can you please tell me how can I calculate my pips number? Please let me know if I have not been able to answer your question. Do you care whether it is Friday, weekend, public holiday in the US? Abundance is indeed available to all who are ready to work and receive it. Open a small live account, and treat it exactly like you treated your demo account. Can I start a demo account and read complementary articles as parallel?

Have you practised enough to learn how to locate and gauge the strong trade setups? Please do keep up the fantastic work! Are you done reading the above article? Yeah, I get it. What you are doing is something invaluable. Open a small live account, keep on trading with it, and raise it, no matter if you have hundreds of thousands of dollars in your bank account. So, there is only a few or few articles that you have to read to start trading. Thanks again for your help. Sometimes when I dont understand things I get so frustated but I dont let it be a permanent depression rather I study more.

Wise Fx Traders Network. From the comments on here I get the feeling that slow and steady wins the race. First I just wanted to kill some time through writing. Am now at least confortable now with candlesticks and DBB method. You have not only discussed about but also trading from a psychological point of view. Your losses are small and controlled, and your gains are big, so that when your stop loss of money is triggered, your loss of money can be recovered by the next winning trade not difficult. You are several steps ahead of others.

It was already answered, my bad. But, at least, can I know the best duration for a single trade, or it depens on the circumstations? We will join forces! Never think like this even about a demo account. Forex trading is a kind of business that makes money without having to work too hard. Keep sharing with us your knowledge, someone from Spain is waiting your comments every day. Every topic I have covered, was so not difficult to understand that I did not even need extra supporting information.

The way that some people drive, is risky. As soon as i get out of it and as soon as i make enough money to invest in your team, I definitely will. This is a happy Easter for me, in fact I started reading here a few days ago, with each article I read I am left with lasting knowledge on the topic discussed. Thank you for your offer. Thank you for sharing your knowledge and wisdom! Long live my dear Chris. Not only I simply believe it, I feel it too strongly. May God bless you abundantly.

If yes, then it is time to open a demo account and start demo trading to MASTER your trading system. You know that it is just a small loss of money that can be not difficult recovered by the next winning trade. And Chris, your answer brought tears to my eyes! So, if you ask me whether you should open a demo or keep on trading with your live account, I suggest you to open a demo to build your confidence, then you can trade with your live account. When it comes to serious trading there is no difference between a live and a demo account, and a small or big live account. But I also see the article about Strong Trade setup, and not taking too much analysis in the chart to get confused posted by Kamel. What happens when you start a new business with such a mentality?

What Is and How to Make Money with It? YOU my successs because you have saved me and many others who were struggling to make it after blowing two live account and you increased my ambition to learn. Any translation can hurt the real meaning of what I was trying to say. You follow each article from this page by clicking on the articles title link. Sorry to hear that this page looks confusing to you. Can You Really Become a Millionaire from Forex Trading? Read this if you like to know how it feels to be a professional full time trader: How Does It Feel to Be a Professional Full Time Forex Trader?

As I explained above, some traders open a live account even before they learn the basics. Thanks for showing us the right way. Thank you for your kind words, and welcome to LuckScout. It is possible to turn a small account into a reasonable balance that a professional trader needs. My question is if I have to close this account and follow your lessons opening a Demo account for the next three months or I can keep working with my current live account. Once they see the profits, they start daydreaming about the money they can make and the life that is waiting for them. Now, I can understand how fool I was! Now I am trying to focus. This can be seen in all positions you take, not just in some of them.

Steps all over again. Happy New Years Chris, I must thank you as you have contributed a lot into helping me as I learn to become a full time trader. Can you please or anyone here tell me of any reliable brokers in New Zealand or for those who want to trade from NZ. Thank You and God bless you for the work your doing here. Do I have to open a Demo Account or do I have to keep my live account open? That is true theoretically, but is a big mistake practically and actually. But if you risk a big money at the beginning and you lose it, chances are you never become able to recover the loss of money, both emotionally and technically. You said, short timeframes are not good. Much simpler and much easier to refer in case if I forgot something. Trading is a tough business.

The money that you cannot afford to lose is the money that you will be in trouble if you lose it. You must have already made millions in trading. Begin by assessing the following three components. Here are the four legs of the stool that you can build into a method to serve you well in all markets. Test a few strategies and when you find one that delivers a consistently positive outcome, stay with it and test it with a variety of instruments and various time frames. Once you know what to expect from your system, have the patience to wait for the price to reach the levels that your system indicates for either the point of entry or exit. Then apply your particular methodology to all of them and see which time frame and which instrument is most responsive to your system.

Often, it is on the second or third attempt that your trade will move immediately in the right direction. The first step is to align your personal goals and temperament with the instruments and markets that you can comfortably relate to. Others prefer buying or selling breakouts. In the end, successful trading is all about risk control. Erratic trading instruments make it difficult to produce a winning system. Would you go into water that had dangerous rip tides or was shark infested? On the other hand, choosing weekly charts indicates a comfort with overnight risk and a willingness to see some days go contrary to your position. Different instruments trade differently depending on who the major players are and why they are trading that particular instrument.

By blending good analysis with effective implementation, your success rate will improve dramatically and, like many skill sets, good trading comes from a combination of talent and hard work. If you can determine what motivates the large players then you can often piggyback them and profit accordingly. For example, if you know something about retailing, then look to trade retail stocks rather than oil futures, about which you may know nothing. Yet others like to trade using indicators such as MACD and crossovers. Surfing requires talent, balance, patience, proper equipment and being mindful of your surroundings. Try to get your trade in the correct direction right out of the gate.

If your system indicates an entry at a certain level but the market never reaches it, then move on to the next opportunity. Trading in the financial markets is surrounded by a certain amount of mystique, because there is no single formula for trading successfully. Once you choose a system or methodology, test it to see if it works on a consistent basis and provides you with an edge. Remember that the opportunity to make substantial money in the markets requires time. You will find that certain instruments trade much more orderly than others. Take losses quickly and often, if necessary. The attitude to trading in the markets is no different than the attitude required for surfing. Warren Buffet says there are two rules in trading: Rule 1: Never lose money.

There will always be another trade. If it backs off, cut out and try again. This practice requires patience and discipline, but when you get the direction right, you can trail your stops and usually be profitable at best, or break even at worst. Therefore, the art of profitability is in the management and execution of the trade. Pick a few currencies, stocks or commodities and chart them all in a variety of time frames. The time frame indicates the type of trading that is appropriate for your temperament. In addition, decide if you have the time and willingness to sit in front of a screen all day or if you would prefer to do your research quietly over the weekend and then make a trading decision for the coming week based on your analysis. Large banks that are trading the spot currency market in specific currencies usually have a different objective than currency traders buying or selling futures contracts.

You should also test multiple time frames to find those that match your trading system best. Repeat this exercise regularly to adapt to changing market conditions. JPY currency pair in the forex market, you may find that Fibonacci support and resistance levels are more reliable in this instrument than in some others. Before you start to trade, recognize the value of proper preparation. There is no right or wrong way to trade. In this case, you will have to trade more frequently. This is especially true for stop losses. If you backtest your system and discover that had you traded every time you were given a signal and your profits were more than your losses, chances are very good that you have a winning method.

There are as many nuanced methods of trading as there are traders. Discipline is also the ability to pull the trigger when your system indicates to do so. Think of the markets as being like the ocean and the trader as a surfer. For example, some traders like to buy support and sell resistance. Your system should be reliable enough so that you can be confident in acting on its signals. Hedge funds are motivated differently than mutual funds. Once you choose a time frame, find a consistent methodology.