Master trader....
in order to become a good trader, we need to have strategy before trading. 3 thing make u to become god trader.
1. Choose the market.
The first thing we need before we enter the market is. Some trader, choose what to trade in favorite pair. The are a lot of trader who only trade in EUR/USD. they only choose 1 pair only to put buy or sell order.
I have meet with a trader who only trade Eur/JPY for his entire 10 years trading. when i ask him why EURJPY not EUR/USD or other pair. he reply with simple answer. i make love with EUR/JPY. sound ridiculous isn't ? but that is the reality.
By doing this is actually he is mastering in it. he know the market volatile, when the most exact time to enter market. when the price will start ti ranging. i used to trade 4 pair in a same time. but what i see i more tend to miss look of from my principle.
"Stay focus"
So, choose the market that u think it suitable for u. there are some volatile market, news much influence at that pair, the profit or loss when target is reach.
2 Risk reward ratio
Risk reward ratio is most crucial thing for us in order to forecast our profit. the best risk :reward should be 1:3. but if u can achieve more much more good, 1:4 for instance.
"reduce your risk, maximize your profit"
i have been experience in this trading during the first know forex trading. when we put risk:reward 5:3, whenever we lost, we need to recover 5 times more in order to achieve balik modal. Thus it will make us to struggle more in order to regain our lost.
2 bad impact kt by not applying this Risk reward ratio
- we waste our time to regain our money back. sometime when it come to big loss, would be month to recover it back.
- When we lost definitely our mind focus on recovery but in fact at the same time we actually mixed up! not focus.
3. Trade with calm
never enter the market when your mind are not preparing or something caught on your attention. such u ini big problem with family or else. my suggestion is, simple. close your laptop and go for fishing. it is much more better if you not enter the market rather than u r not sure.
thank for drop by.
stay tune for next update
