Don’t enter directly into Trading without learning the markets.
Beginner Traders should never enter into the markets without understanding the operations of markets.
I found beginner traders enter into the market without any logic’s or without any studies of markets.
They follow others and get disappointed due to the initial losses made by them.
Initially any new trader should just observe the markets and do paper trading for some duration unless and until they can trade successfully.
First Learn the Detail Basics of the Markets.
New traders should first understand the details about the trading products and their basics.
They should able to understand all kinds of basics of cash market , Future market , their lot sizes , their profit calculations and their daily intraday movement range.
Beginner traders should get familiar with the trading products which they want to trade.
Observation is the only way to learn and understand better about the trading products.
Always place proper Stop Loss order.
New traders are very emotional and sensitive about the markets. They are very excited to trade the market and always expect more profit from their trades.
They get very demoralized or depressed if their trade is going reverse. Since they are new to the system they are not aware of the complete rules of trading.
Traders should always place the right stop loss order. Stop loss is used for cutting your losses which plays very important role in trading.
To know more how Stop Loss plays important role click Here.
Be practical and Realistic
Beginner traders are more enthusiastic to earn money quickly from trading. Therefore they don’t focus on learning the markets and focus fully on their trading account.
They daily do calculations of their trading account and just focus on the money in their trading account. They don’t create their passion or interest in focusing the market studies or finding high probability trade setups.
This traders are not practical and hope unrealistic results in their trading account. They are just dreaming about their trading account and expect unrealistic multiplication in their trading account.
Always be practical and hope realistic results from the markets.
Don’t get demotivate if the trade is going apposite.
Initially every new trader is so enthusiastic and excited to make money very quickly in the markets. They are so emotional about their trades.
This traders trade the market in full emotion and stress since they don’t follow the money management rule.
If unfortunately the trade is going in apposite direction they get panic and load with full emotions and start blaming the markets and the whole system.
The best solution is that if the trade is going in apposite direction just cut your losses and accept the stop loss happily.
Learn any one trading strategy and stick to it following the rules.
Many new babies in trading industry are so crazy about learning only newest strategy. They are just crazy to find new and latest strategy to trade the market. But they never follow any one strategy to trade the market.
They frequently change their trading strategy and always blame the strategy that it does not work properly and get busy finding new one. Therefore they don’t get successful results from that strategy.
Any trading strategy works in a long run. Learn any successful strategy that works and just stick to it in a long run to get better results following the trading psychology and money management rules.
Strictly follow money management rules.
Money management rule is the main key of success in trading. But I found very few traders implement this rule.
Actually due to greed many traders are facing heavy losses in trading. But if you strictly follow the money management rules and risk reward ratio then you will never get unsuccessful in trading.
Most of the traders understand the real meaning of money management after their trading account is wiped out.
Under any circumstances all traders should follow strictly money management rule to get success in trading.
Focus on the Price Action.
Price action is the most ancient method of trading which explains the clear picture of market on price charts.
It is the natural way of trading the markets without noise or without using any kind of indicators or oscillators or any other software.
Price action tells the clear story of the markets what it has done and what it is likely to do next. Focus on bigger time frames to see the clear movement of market.
Avoid noise and focus on price action in multiple time frames to get more accuracy in your trading.
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