Top Rules For Successful Trading

success trader
Becoming a successful trader takes place in four stages. In this article, we will discuss each of them.

1. Solution
It all starts with a decision. People really need to get serious about becoming a successful currency trader. You need to understand that successful traders have to devote a lot of time and attention to this matter very seriously. Trading can be a hobby, but to make it truly profitable, you will need dedication. This is not a computer game, and a real job.
2. Training
After deciding, you should learn everything that you know experienced Forex traders. You can read a lot of books, articles, watch video courses, but it does not guarantee profitability. This kind of training is very useful but is only a Foundation for the development of trading qualities and skills.
What you need to know?
It is important to understand what is trading in nature. Forex is a place of purchase/sale of currencies. Buy low, sell high is the task of the trader.
You must learn to understand price charts and how they work. To understand the types of charts and time frames. Need to know technical analysis, regardless of what trading strategy you will apply next. You should be able to build a line of support/resistance, find the patterns of the type "head and shoulders", "double top", "triangle", "double bottom", etc. Also would be nice to know about candlestick patterns. Very helpful because of benefits on the psychology of the market.
You should be able to calculate the position size, the amount of acceptable risk, to be able to determine the ratio of profit/risk per trade. You should be able to open positions in different orders, to place stop orders and take profits.
Learning all this will not take much time. Someone will take several weeks, others will cope for a few days. After you get these basic skills need to choose a trading system and start working on it.
The best system is the simplest. Do not use complex methods, they will only lead to losses. Basic and traditional technical analysis is the best option.
3. Demo trading
After completing these stages, you should open a demo account and start practice on it. The amount of your demo account and leverage should be the same as in real trading. Do not open a demo account with 50 000 dollars if you plan to invest only 1 000.
Trade on demo at least three months and take the time to get into real trading. If you succeed in the first month, try to repeat it a second and a third. If you will be able to repeat the success of three consecutive months, you are ready for real trading. It is important that you have confidence in that method that you practice.
The whole point of the stage of demo trading is to repeat its success for a long period. Thanks to him, you become more disciplined trader, you can control their emotions and you have a trading system.
4. Real trading
After 3 months of successful practice on a demo account open a real account and start trading. Treat trading like you treated them, when I was trading on demo. Some traders can not control themselves, working on a real account. Endurance will come with experience.
In real account you can trade only with money you can lose without consequences for themselves. Otherwise you will be afraid to lose and not be able to adequately assess the situation.
Achieve sustained profitability within three months of trading on a real account. After that, you can drink a bottle of champagne and call yourself a trader. You can trust yourself, you have the confidence. You can earn money on the market. Continue to follow your system and plan, and you will earn and on.