The choice of the right lot size depends on your success rate. Don’t skip things. If you have a success rate of 90% or more, bigger lots are an option. But if you are yet figuring out what works and what doesn’t, don’t waste your money on bigger lots. Go for smaller ones.
keatonrichard posted: The choice of the right lot size depends on your success rate. Don’t skip things. If you have a success rate of 90% or more, bigger lots are an option. But if you are yet figuring out what works and what doesn’t, don’t waste your money on bigger lots. Go for smaller ones.
True that! To add to it, I would also like to mention that irrespective of what position size you trade in, make sure that you have a safe stop loss associated with it.
I think fewer trades are better as every time you trade, your broker takes away a certain amount in either commission or spread or both. Also, consider your risk to reward ratio. You don’t have to trade more frequently if you trade small lots.
Sarjohn posted: If you are a new trader then You are taking a lot of risk, first try a demo if you feel that you won’t lose then go for live trading.
I have been doing pretty fine on demo.
If you are doing good on demo then you can certainly proceed to live trading but for being on a safer side I would say place trade with micro and mini lot size first.
Ya, but I want “real profits”.
If you are confident that you will gain a good amount of profits, then place a big lot size and try, but make sure that you invest that much capital which you are ready to lose as forex is a very unpredictable market.
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