9 Tutorials Become a Successful Forex Trader

9 Tutorials Become a Successful Forex Trader - Forex trading is more directed as art than science, this time I discuss a powerful forex tutorial. Like art, there are talents involved, but to succeed is not just relying on talent. The best forex traders hone their skills through practice and discipline. They conduct their own market analysis to determine the direction of market movements and learn how to maintain fear and greed.

In the forex tutorial in this article, we will see nine steps that beginner traders can use to perfect their abilities. And for traders who are experts, you might find some useful and useful tips to help you become more expert. Here are the 9 steps:

Step 1: Determine your goals and choose the trading style that matches that goal. Make sure the trading style you choose fits your personality.

Before you start any trip, it is very important that you have some ideas like where you will go and how you get to the destination. So it is very important that you think first about the clear goals to be achieved and the trading methods used to reach your goals. Every trading style requires a different approach and each style has a different level of risk, so if you want to succeed, you need different attitudes and approaches. For example, if you can't sleep well if you have an open position, you should only trade daily or day trade. On the other hand, if you have enough funds to withstand price movements for several months, you might consider using the trader position method. But whatever style of trading you choose, make sure that it matches your personality and trading style. An inappropriate personality will only make you stressed and lose money.

Step 2: Choose a broker that makes you comfortable and also offers a trading platform that suits your trading style.

It is important to choose a broker that provides a trading platform that allows you to do market analysis as you wish. A broker's reputation is also important for you to consider. You must know the policies of each broker and his role in the market. For example, trading that does not go through the exchange or spot is different from trading on the stock exchange. So in choosing an important broker read the broker's documentation, know the policies and also make sure that the trading platform is in accordance with the way you do price analysis. For example, if you want the analysis to use Fibonacci numbers, make sure the trading platform can be used to draw Fibonacci lines. A good broker but the platform is bad or the platform is good but the broker is bad, it can be a problem. Make sure you get the best for both.

Step 3: Choose a trading method and be consistent in its application.

Before you enter the market as a trader, you must have several plans about how you will make decisions in your transaction. You must know how you will enter or exit the market. Some traders choose to use fundamental analysis first and then use a chart to determine the right time to make a transaction. Some choose only to use technical analysis. Remember, that fundamentals drive trends in the long run, whereas graphical or technical patterns offer more opportunities in the short term. Whatever method you choose, remember to always be consistent. And make sure your method is easy to adjust. Your system must be able to keep up with the dynamics of market changes.

Step 4: Choose a longer time frame for analysis of shorter directions and time frames for entering and leaving the market.

Many traders are confused when analyzing using charts in different time frames. What is displayed as a buy signal on weekly charts, in fact appears as a sell signal on the daily chart. Therefore, if you take trend directions from the weekly chart and use the daily chart to enter the market, make sure they are synchronous. In other words, if the weekly chart gives a buy signal, wait until the daily chart also confirms the buy signal.

Step 5: Calculate your expectations.

Expectation is the formula used to determine how the system you are using is reliable or not. You check all the results of your transactions, both profitable (profit) and loss (loss) transactions, then you compare whether there are more profits or losses.

Look at your last 10 transactions. If you have not made a transaction, you can see it on a chart where your system detects that you must enter and exit the market. Note, the number of all transactions that profit and loss then you calculate the expectations. The following is the formula:

E = [1 + (W / L)] x P – 1

Where:
W = Average profit
L = Average loss
P = Percentage ratio

Example:
If you make 10 transactions, six of them are profit transactions and four losses, the percentage of your profit ratio is 6/10 or 60%. If your six transactions make $ 2400, then the average profit will be $ 2,400 / 6 = $ 400. If the loss is $ 1,200, then the average loss will be $ 1,200 / 4 = $ 300. Apply the results to the formula and you get; E = [1 + (400/300)] x 0.6-1 = 0.40 or 40%. A positive 40% expectation means that your system will generate 40 cents per dollar in the long run.

Step 6: Focus on trading and learn to love small losses.

After you deposit the initial margin for your trading account, the most important thing to remember is that the money you deposited has a risk. Therefore, the money that becomes your capital should not be money for living expenses or money to pay bills etc. You should be able to assume that the capital is holiday money that you might spend. If you have this attitude psychologically will prepare you to be able to accept a small loss, which is the key to managing your risk. By focusing on trading and accepting small losses, you will not continue to calculate your equity so you will be far more successful.

Second, only use a maximum risk of 2% of your total funds on each transaction. In other words, if you have $ 10,000 in a trading account, your maximum loss is only $ 200. If you use a shorter time frame or reduce the balance, the 2% risk will go even further.

Step 7: Build positive feedback.

A positive feedback is made from the results of transactions that match your trading plan. If you have a trading plan and run it well, it will form a positive feedback pattern. Success will give birth to success which will eventually lead to confidence - especially if the transaction is profit. Even when you lose even if you do according to the trading plan, you will also build positive feedback.

Step 8: Perform analysis at the end of the week.

It's a good thing if you want to prepare everything first. On weekends, when the market closes, you can study the weekly chart to find patterns or news that affects your transactions. This is a reflection of the results of your transactions in a week, and this will help you build a strategy for the coming week. When not under market pressure, maybe you will be able to arrange the best plan for your transaction.

If the market does not reach the point where your position is open, you can learn to be patient to wait for that opportunity to come even longer. If you find that you miss an opportunity to take a position, remember that there will always be other opportunities. If you have patience and discipline, you will be able to become a good trader.

Step 9: Make a note.

Making transaction records is one of the good learning tools as a forex trader. Among them are printing graphics and fundamental data that form the basis of your decision to make a transaction. Mark the graph when you enter and exit points. Make relevant information in the table. This note file will be useful someday. Also pay attention to the emotional reasons that you experience when transacting. Did you panic then? Are you too greedy? Are you too worried? Record all your emotions at that time. When you successfully control your mental and disciplined attitude in trading according to the trading system you are using, you will succeed in becoming a forex trader.

Conclusion

The steps of the forex tutorial above will help you transact structured and become a smoother trader. Trading is an art and the only way to become proficient is through consistent and disciplined practice.

These tips I share about forex tutorials are about 9 Tutorials Become a Successful Forex Trader. Hopefully useful and good luck.