My plan is to lose as little as possible on every trade, that's why you have to wait for the right moment or what you think is a higher probability of it going in the right direction, just example: waiting for re tests, extended or exhausted price action
Leverage needs are different to every trader, depends on your strategy and how much money you plan to risk on every trade, anything above 5% risk per trade is suicide, 3% is already a good number.
If (for example) you plan to eventually open an account with $5,000:
1. open a $5,000 demo account and trade with that for a few months untill you become profitable. That way you will have time to test and try your system and emotions.
2. Once you are profitable on demo start with a real account, but fund it only with $1,000 (out of your $5,000), wait until you are profitable, at least one month.
3. Deposit up to half of your capital, wait until you are profitable. At least one month.
4. Deposit the whole amount
You wil: a) learn to trade first with demo funds, b) you will learn to control your emotions first with a small amount of money c) You will not risk your capital until you feel safe and you can really trade d) You can use all the time it will take you to become profitable to save the money to finally fund your real account
Actually profitable Forex trading depends on a great combination, so many traders only emphasis on good trading knowledge. but practically to get maximal result by trading we have to make sure powerful trading strategies , risk managing plan , real time of using SL and much more besides real trading knowledge.
Mohammadi posted: Actually profitable Forex trading depends on a great combination, so many traders only emphasis on good trading knowledge. but practically to get maximal result by trading we have to make sure powerful trading strategies , risk managing plan , real time of using SL and much more besides real trading knowledge.
Can you recommend some books or where could I get the best know-how for trading strategies or risk management plan?
I think the main reason is that people think they can enter a market and ready. .. believe it is easy and that from one day to another can be a trader, to succeed takes time analyzing markets and in particularly by developing a system that functions for them because if a system works for me does not imply that works for all others persons.
HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors.
Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance.
You could lose some or all of your initial investment. Do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading, and seek advice from an independent financial or tax advisor if you have any questions.
Any data and information is provided 'as is' solely for informational purposes, and is not intended for trading purposes or advice.
Past performance is not indicative of future results.