Every trader has great experience within the trading market in general and forex trading in particular, you will find a set of strategies that he follows, and he adopts that make him manage a successful trade away from large and huge losses, which may affect the capital, and there are some of them who were able to achieve millions of profits from Behind these trading operations, and this is due to the successful strategies that he uses, and you as a beginner trader are not far from achieving those profits. It is true that you will not have professional strategies that can provide you with successful trading from the beginning of your entry into this field, but over time you will understand the world of trading well, On this basis, you begin to form your own strategies, and we at Thiqa today will help you set your foot on the right path, by providing 4 golden tips from people who have made millions in trading and investing that you can rely on, later when you want to trade.
Don't be afraid of losses while trading
Exposure to loss is inevitable for all traders to experience loss one day, but the mechanism of dealing with your loss is what will determine your destiny within the trading world, and will it stop or will it rise again? What is distinguished in the world of trading is that when you lose in the forex market, you can simply exit this losing trade, reduce your loss, and then return to trading again without the slightest problem.
But there are some traders, especially new ones, who find it difficult to get out of losing trades, as they keep holding on to them in the hope that these deals will later turn in their favour. Their idea of losing makes them build false and unreal expectations based on emotions, and this may actually lead them to More losses, and thus they can drain the capital into their accounts very quickly, and thus they may, later on, have difficulty giving the opportunity to real profitable trades. Trading experts always advise about successful trading that the amount of profits in it is not less than 50% so that the trader can achieve meaningful profits.
Learn to control loss
In order to win, you must know how to control your losses in the trading world. In fact, controlling losses is the secret of successful trading, because if you lose more than you win, even if there are deals that you can make a profit in, but the losses you achieve cover that profitability. , and do not compensate for the losses you lost, there is no objection to losing, and taking a step back, but you must also witness a two-step progression in order to be able to conduct a successful and profitable trade.
An example of learning to control loss
If you place a trade of $1,000 (or more), but lose it, then you have suffered a significant loss of your capital. But the next day if you make $1000, then lose $300, then make $1100, then lose $500, then you're making progress. Trading is always two steps forward, one step back. Make sure the steps you take don't erase everything you've done before.
Determine the amount of loss before you start
The problem of most traders who cannot get meaningful profits through trading within the forex market, is that their steps inside it are not calculated correctly, they run their trading deals randomly, and this is a big mistake, because this will not make you ready for the challenges that you may face in the trades that trade on it.
The most important of those challenges is when to stop losing? You should have a fixed amount at which you stop losses, and this amount is determined as a percentage of the total capital of the trades you are trading.
Trading experts say that you should not risk losing more than 1% of your capital on each trade you make, because if you lose it will not affect your capital significantly.
But the situation is different when it comes to day trading throughout the whole day, it is normal that you will make more than one trade per day then what is the total loss that you will stop trading, in fact most trading experts specify 3% of the total trades you make throughout the day Because more than that, you may face more losses than you gain. So you should put how much you can lose before you stop trading, and you should stick to that strategy even if your emotions push you towards more trading, follow your strategies, and stick with them.
be realistic
Drawing highly optimistic scenarios in which you determine gains without losses is not something that will make you last in the trading market. It is true that trading in forex is profitable, but as we have said over and over again, loss is inevitable, and it can happen in forex trading.
So setting up a great scenario where you're plotting to reach 80% or 90% profits is a scenario that you can't actually get to. Always try when drawing your trading scenarios to put a profit amount of 30-40% It is true that you can make more profit than that only your trading profit reaches 60%, but we invite you to come up with worst case scenarios and draw plans on this basis.
Keep in mind that, not all of the time you will be able to win 8 out of 10 trades, this may happen, but in long downturns you may only win 2 out of 10 trades. When you define your trading strategies, plan them, and analyze them based on the worst case scenarios that can occur, this will enable you to make your expectations within the trading market reasonable, so then if you suffer losses, you will know the successful mechanism of action that you should take, and if you win six, or Seven deals out of 10 will be thenVery happy trader.
One last tip to make millions in trading and investing
Profit within the world of forex trading or any other type of trading is achievable, sometimes in a simple, and very easy, and this is due to the random movements that occur in prices, but the successful trader is the one who focuses on losing more than winning, and knows how to control losses, and deal With it, and managing it well, in order to be able to continue trading at a steady pace, and well. So making a trading plan, controlling risks, and knowing the most important strategies that you should focus on are the important things that will help you keep your profits from trading satisfactory, because you plan for the worst-case scenarios, and you know how to deal with them? So when the best comes, you will be very proud of yourself.