How to avoid typical pitfalls and start making more money in your forex trading - forex trading daily news

How to avoid typical pitfalls and start making more money in your forex trading ~ forex trading daily news

Fiorenzo Fontana, a trader and analyst at UBS wrote a very interesting article containing a lot of tips on how to avoid typical pitfalls and start making more money in forex trading.

All of his tips are very interesting and useful. Some of the less known are as follows:

• Trade pairs, not currencies
• Dont place very tight orders
• Use reasonable stop losses
• Increase your leverage in line with your experience and success
• Dont trade during off peak hours
• The best time to trade is when news is released
• If you place a trade and its not working out for you, get out
• Trade in the direction the price is going
• Learn the business before you trade - possibly the most important tip!

In the second part of the article, Fiorenzo gives a number of interesting tips relating to traders behavior and psychology. Again, some of the less known are:

• Focus on your current position(s) and place reasonable stop losses at the time you do the trade
• Focus on one cross at a time
• Dont trust demos - demo trading often causes new traders to learn bad habits. Once you know how your brokers system works, start trading small amounts and only take the risk you can afford to win or lose (new traders - remember that!)
• Stick to your strategy and invest profits on the next trade that matches your long-term goals
• Dont trade if you are bored, unsure or reacting on a whim
• Read forums, blogs and chats around the net to get an unbiased opinion before you choose your broker

Arent those tips good? Not too often such good pieces of advice are being given for free... You can read here all tips by Firenzo Fontana on how to avoid the pitfalls and start making more money in your forex trading.

Stan

Technorati tags: forex, forex trading, forex system, forex strategy
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How to avoid making psychological mistakes while currency trading - trading forex dengan news

How to avoid making psychological mistakes while currency trading ~ trading forex dengan news

Amelie Gam is an Internet writer for Forex Trading Plus. She just wrote an interesting article on psychological aspect of currency trading.

According to Amelie, a trader exposes himself/herself to the higher risk of loss when he or she :

- doesnt control human emotions;

- acts upon fear or hope without basing own feelings on real facts;

- exploits other people’s human emotions (people who are constant in their mistakes can not gain success and earn money);

- is not disciplined, doesnt make plans, doesnt follow strategies, doesnt apply mathematical and money management principles;

- doesnt run only profitable trades and doesnt try to cut losses as fast as possible;

- uses rumors and advice without being certain of their authenticity and quality.

To be successful you have to think independently of the majority and stick out from the crowd. Currency trading is safer than other trading methods, but if you want to have an edge over other competitors than try to be wise and research first, study other people’s behavior and choose from them only the best.

You can read Amelies whole article "To Be or Not to Be a Psychological Currency Trader" at http://ezinearticles.com

Stan
Technorati tags: forex, forex trading, forex system, forex strategy
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