How to overcome the ills of foreign exchange trading
read:2023/2/25 13:17:16
We usually commit one or the other ills when forextradingaccountstypegforagoodliving.com">forex trading accounts, self-check, we have no one or more of these elements in the actual transaction, these ills mainly reflect the human nature of greed, fear, gambling cashback forex other aspects, such as overnight gambling, performance in each transaction regardless of the size of the position, all heavy position or even full position operation; and For example, like to guess the top and bottom, but found that thforextradingaccountsregister situation also appears a lot we can make a long-term trading capital balance changes in a capital graph, look at the capital graph there is no up and down, if these conditions do exist, then you are likely still in the subjective random trading way, from long-term stable profit there is still a way to go advocate that we try to set up an objective The trading system, from the subjective trading gradually transition to the objective systematic trading way, so that you can gradually avoid the previously mentioned these overcome the drawbacks For example, if you like to use moving averages and 123 law for trading, and you try a period of time, this system has a high success rate you can apply to your trading according to this objective trading system as long as several signals are out First of all, objective systematic trading is based on the goal of long-term stable profits; then through a systematic trading process, combined with objective trading rules to grasp the opportunities in the market, and in grasping the opportunities in the market operation, the goal is to grasp only those who can grasp the opportunities in the market. The goal is to grasp only those who can grasp, can read the opportunity, these opportunities should be very conducive to our risk control opportunities before you can put into further action if the situation can not identify, or the chart does not determine the obvious trend, you can take no operation do not think, every day trading, you can make money, we are called foreign exchange traders in fact, to become a good trader, to learn to be clear also very important Important to the funds (ammunition for shooting) well protected, only used in the high success rate of investment, so as to survive in the investment market in the long term familiar saying: stay in the green hills, which is afraid of no firewood I say: have the money, equal to the opportunity to make money; have the technology, equal to the ability to continue to make money In addition, each of our operations should be seen as a brand new transaction for example, the euro rose above the medium and long-term bullish position 1.3000, we missed the opportunity, and now the price is at 1.3130, do we want to chase? If you judge that the current is a big bull market, in a big upward market conditions, do not discuss price entry because the recent price highs and lows than yesterdays highs and lows are also high, usually the price continues to rise without looking back How do we choose to enter the market reasonably, one can choose to wait for the golden mean position, buy when the retracement; or price back to the moving average support position to buy Then, I hope that we do transactions time, to forget the price of each previous transaction, only to remember why the previous transaction to make money, why lose money, for experience summary; now you have to do a brand new transaction, if you find that the current market will continue to rise, then why not buy it? The previous one 1.2300 closed, think 1.2350 to buy back not cost-effective, these psychological should be we should try to avoid We need to do is in accordance with the systematic objective trading way to treat each operation, in the development of a perfect trading plan, need to do is in accordance with your trading plan to strictly implement on it, long-term down in their own capital curve shows a steady The upward situation How is the systematic trading process carried out? We are divided into four steps, that is, the systematic trading four-step process: The first step is to determine the direction of the transaction before making a transaction, to the euro for example, first we must determine our transaction is to do more euros or short euros, to determine the direction of the transaction, for example, the fundamentals of the euro is the opportunity for future interest rate increases, and the dollar economic data out of the poor, there are many central banks to convert foreign exchange reserves, and thus more support for the EUR / USD up technical level, mainly look at the daily chart, EUR / USD quickly broke through the 6 months of consolidation full wipe 1.3000, therefore, support us in the medium and long term to do more euro The second step, after the direction of the decision to choose the ideal trading opportunities, such as the medium-term rise, the short term in the lower, we should choose to comply with the medium-term to do more or choose the short term to short it, that opportunity more help to profit? This is the second step in the need to solve the two easily appear stage contradiction, then when there is a contradiction to grasp a principle: short-term trends obey the longer-term trend I try to recommend the trend, so rather wait before buying the currency pair The third step, the pursuit of an optimal entry time, choose the best entry time is to reduce the risk of operation, so as to help achieve the purpose of operation profit For the fourth step, the first three steps are based on the completion of a preliminary trading plan, through the fourth step of the trading plan to improve the regular trading plan has three basic elements, the entry price, stop loss price, target price, the three price levels to determine the formation of a preliminary plan After the initial plan is formed, it is time to assess the profit/loss ratio, to see if the potential profit space and loss space is greater than 2:1, it is recommended that the actual operation should reach 3:1, or even a higher ratio in order to help your long-term operation; next, you should also consider the control of the position, according to the transaction you are trading with the trend or against the trend; whether there are more indicators to support the pattern, observe the indicators or patterns Whether there are signs of unfavorable performance; whether with the nature of the game and so on to decide how much an operation should control the position when the overall situation is more favorable factors, the larger the position can be, while the more unfavorable factors, the lighter the position should be, until the abandonment of the transaction The last small point is a point that many investors tend to forget, after the trading plan to have a plan for unexpected changes after the entry, the exchange rate The rhythm of operation is likely to be inconsistent with the expected, inconsistent when it indicates how a state of the market, for these potential changes need to have a potential expectation, once the market appears unexpected changes in time to keep up with the pace of the market, and the necessary amendments to the trading plan