If you are a beginner in forex trading or at an intermediate level, you should take note of the 4 tips below, tips from traders who for years, month after month, have managed to be highly profitable in the financial markets. These tips are generally very common sense, but if they are not followed it will be difficult to profit from trading.
Secret 1: My trading strategy is simple and easy to apply
A money-making forex trader hasn’t invented anything, he usually already has everything he needs to practice trading and generate profits. The trading tools are accessible to everyone and free on the trading platforms of forex brokers such as eToro for example. In addition to these tools there are also trading strategies that work, are profitable and can be used by anyone, our RSI based day trading strategy is a good example.
A good trading strategy, technical analysis and an understanding of Japanese candlesticks are all you need to start trading effectively. Gradually, applying the methods that work and studying the trading courses, you will find that a complicated trading strategy is useless and that tools such as supports and resistances or certain figures in Japanese candlesticks allow you to make profitable trades.
Secret 2: I wait for the best trading signals
More or less weak signals appear on the charts every day, these signals are for traders who want to lose money. Money making traders are waiting for the best trading opportunities, as we recently showed on the blog, one trading session allowed us to generate $ 167 in profit in a single trade with a $ 25 risk, another trading session allowed us to generate $ 105 of profit in two trades, these profits were allowed given the selection of the best trading signals.
Secret 3: I am a disciplined trader
A trader must be disciplined in his trading and risk taking. He just has to use what he has learned and what allows him to make money. A serious forex trader shouldn’t let his emotions take over, which will lead him to trade at the wrong time and face traders who don’t follow his trading plan. A trader who is profitable and who can be characterized as a successful and disciplined trader, otherwise it would not have been possible for him to reach this level, has been able to have patience in transforming a small capital into a large capital that now allows him to live on his trading , particularly thanks to the power of compound interest. It is quite possible to start with the minimum deposit (€ 200) on an eToro trading account and within a few years see his capital show 5 or 6 digits thanks to the accumulated profits.
Secret 3: My risks are limited
We must not hide from the truth, an independent trader like you or me will not generate millions of dollars month after month, on the other hand in the years of trading it risks reaching for example a million dollars. Making millions is possible on paper, but in theory it is more difficult. It is possible to have fun and have fun trading on a small account, for example if a trading account can be increased to $ 50,000 after a few months or years, it could allow a trader to make a living out of it easily. It is not necessary to take reckless risks and risk 5% or 10% of your capital per trade, it is generally advisable to risk 1% of your capital per trade.
Imagine having € 50,000 after a few years of experience, if you risk 1% per trade, or € 500, what could be the return on investment? Even generating “only” 10% return on investment per month would give you € 5,000 in profit, which should be enough to make a living from your speculative activity on the financial markets.