Learn To Minimize Risk In Forex Trading Online

Learn To Minimize Risk In Forex Trading Online

Trading Forex or foreign exchange is a business that can bring a huge profit in a short time. But keep in mind, forex trading can also be impoverishing you in a short time anyway. Therefore many traders who try to minimize the risk of trading with a variety of ways but often fail. Here's how to minimize the risk of learning in online forex trading.

1. Over Trade.

Excessive trading is very risky, so you need to make a very careful calculation. The calculations in question is how much of the lot that you would tradingkan. How your daily loss limit, 10% of Your capital large enough either. Determine your daily profit target and disiplinlah in applying it. If the target is already met, stop trading, close Your MetaTrader.

2. Understand the effect of a fundamental news.

Sometimes the technical analysis that are well prepared mature ran aground. Trader make transactions by relying on beritapun several times had to be disappointed because the result is not in accordance with the already predicted. So, it is necessary to understand a news which will be announced with the obvious and find out the impact of the news.

3. Do not rely on others.

This often happens at some social media. If anyone post transaction results in facebook/forum and seen the results of profit continues, the post will be called as "master". Thus, you will wonder continues, ask for a signal and even follow the open position which is done by the master, hoping to profit from other people's analyses. If the result was true profit, the master will be more deified. But if it turns out that loss, dianjing-anjingkanlah the masters. Preferably, use its own analysis, it whatever the outcome. And learn from the mistakes when doing analysis (use demo account). The successful trader is a trader who relies on the ability of his own, so he knew that he was doing analysis, effective or not.

4. Over Confident

This often brings great impact in trading. Kepedean at a time when trading is very dangerous because you don't know what will happen in the market. No one knows, the market will move where.

5. the Chartist.

This is too many traders rely on a chart or graph in trading. It is true that price movements tend to move with existing patterns, but certain fundamental data/policy can change the direction of the trend market. So it's good You combine technical and fundamental analysis in forex trading.

6. Always use Stop Loss.

This sometimes makes the trader's dilemma, at a time when trading and stop loss is hit, the price reverses direction again from an already predicted. But of the many cases that happened has proved that without a stop loss loss the trader could be getting worse. Starting from the loss, led to the auto cut-off. Do you want to?

7. a simple trading system.

Some traders argue, use many indicators to ensure better trend direction. Otherwise it will be more get the signal. But the fact that occur, the more indicators are mounted, instead it will make you dizzy even controversy:) Because each gives a different signal indicators. Use 2 or 3 indicators only, but understood completely. For example, You install the 6 indicators, in order to obtain the maximum signal you should understand very well with the indicator isn't it? Let's say in a month you learn 6 indicators, certainly your understanding of each indicator is only around 17% only. Different if you simply learn 2 indicator only, surely you would be able to understand the 50% instead? All indicators are basically the same, just a different way of understanding alone. Better if combined with the fundamentals.

8. using the Expert Advisor (EA).

Many forex traders too sure to use EA trading system. They enter a trading system algorithm into a system of trading robots so that need not be tired-tired of mantengin chart. But you need to remember, ever-changing market trends and no one knows the direction prices want to where. If you use EAS, always a trading robot system control you use and continue to update the system.

9. Trading by the moment.

You are not required entry positions every day. Take a position when you see there's a nice moment to sign in. If there is not a good moment and signal indicator does not give a good confirmation, you should not take a position trading.

10. Cut loss it is necessary.

Cut loss are you close positions are losers because price is contrary to Your analysis. Do not hesitate do cut loss if after You return analysis turned out to indeed be the price moves against the previous analysis. If it's a decision you make a cut loss is correct, then You avoid bigger losses. If it turns out that your decision is wrong, at least you've reduced the losses at that time. Learn from the mistakes you made. Remember, the trader that fails is not a trader who dare to cut losses, but traders fail is the affected traders auto cut-off for not daring to cut loss.

11. Take advantage of the signal.

In forums such as facebook, twitter, blogs and others, many sharing the free forex trading signal. That you can use as a second opinion in decision-making open positions. We recommend that you test the accuracy of the signal using the free demo account before trading on a real account.

12. Never stop learning.

Novice traders usually consider forex trading is easy, so it's not serious in learning forex again. By continuing to learn forex, you will get to know the ins and outs of the world of trading. Because the world that there is no trading limit.