Find Your Opportunities in Forex Works

As a continuation of the above, blindly following others will make us blind. Our goal is to become a successful trader and not someone who copies or follows the strategies of others. What others do helps us to analyze and reflect on it. What they learn they can incorporate into our analysis in order to become a long-term consistent operator. Simply copying others will not make us better traders; good companies will be good at copying but not negotiating.

As an operator they have to develop a strategy and learn to analyze the market. Being able to do our own market analysis will bring us closer to being a professional trader. Doing our own analysis allows us to:

The myth of demo accounts

For example, if they want to be professional soccer players, they are not going to buy a soccer game to start our training. The same thing happens with the demo accounts that most platforms offer us and that people use with the hope of becoming a successful Forex trader. From you can expect the best deals in every possible way.

Demo accounts do not work for 2 reasons:

  • They offer us false confidence and make us take bad habits.
  • These accounts do not work the same as a real account in terms of execution speed and other relevant factors.
  • On the other hand demo accounts have the advantage that allows us to know the basic concepts about the operation in the Forex market. When it comes to gaining experience, they only need to operate in a real account.
  • We can start with little money and as they get more fluidity and consistency, they will increase little by little.

Limit losses

It is the most important rule that must be followed, it is mandatory.theymust be willing to assume a certain level of loss and put there the maximum limit of money they can lose. In this way, if prices fall below this level, they will only have lost what they were willing to lose.theyhave to play with these limits and not tighten them too much to the prices since small fluctuations could cause a premature closing of our position.

We must also operate with a clear head. For example if they have a run of several days in a row with losses, it is best to rest a few days and return fresh. Negative spells can lead to huge losses and decisions that they would not have made at another time.

Prepare for the ups and downs

Each strategy has its ups and downs. There is no system that is 100% profitable throughout the year. So they must be prepared for the fluctuations. As they said earlier, success is measured in the long term. The problem of many novices is that they try a strategy and if this does not work for them during the first week they leave it aside and try a new one. It is advisable to see how this strategy behaves in the medium / long term.

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