Do not want to lose? Treat Forex Trading Like a Serious Business!
One of the biggest mistakes forex traders do is that they don’t treat their Forex trading like a business. Instead, they treat it like a gambling addict rather than a calm and calculating trader. If you want to succeed as a Forex trader, you must consider it a serious business, because this is a very serious business.
I have mentioned this in my previous education article also that forex trading must be treated as a serious business. To become a successful Forex trader, it is important for you to treat trade like a business. There is no way you can put £ 50 into a business and convert it to £ 20,000 in a short time. You need to apply this same theory to Forex trading. One of the biggest reasons traders lose money is having the hope of turning small amounts into huge profits in a very small time.
There is a fee to become a forex trader, just like any other business. Your goal as a trader is to try and bring in more money through income (all winning trades) than you spend through your costs. If you can do this, you will get a profit. However, if you leave your costs (all losing trades) out of control, you will eventually lose money and your trading business will go bankrupt (and one day you will blow your trading account)
Here is a review of the steps you must take to start your forex business:
1. Create a business plan.
2. Select a regulated and reliable broker.
3. Practice in a demo account and find a suitable and profitable strategy.
4. Start trading with a small amount until you are consistently profitable with real money.
5. Gradually increase the size of your trade and the time you spend with trading.
6. Always evaluate your performance and try to increase your trade.
Discover methods that give you an edge in the market.
Finally, provide information to many people: this is very important. Like other businesses after you become profitable, education doesn’t stop there. The market changes and develops over time and like all good businesses, you have to move as time goes by. Continuing to seek education and market knowledge will help you stay ahead of any changes to the market.
As I mentioned above, you must ensure that your winning trades more than offset all your trading costs if you want to be a profitable trader. So, basically there are two ways to achieve this:
1) Aim to win trades that are significantly greater than your losing trades.
2) Having a very high percentage of trading wins compared to losing trades
To make a good trading plan for your business will require the following:
– Fibonacci levels
– Supply and Demand levels
– Chart Pattern
– Trending Lines
– Correct Money Management
What you have to keep in mind: Trading requires hard work, treating trade like a serious business and it will give you the right reward.
Busyness is not a reason for you not to dare to trade. If it is constrained by time and confused to observe, start trying to Portfolio as a platform that helps you in forex trading. Register now and find the difference!