Undoubtedly, trading is very hard and challenging. The beginning level is harder because traders face problems to cope up. According to the statistics, 40% of investors leave the field after passing one month. However, it is not impossible to stay in Forex if you dare to face difficulties. In the initial stage, if you can survive in the market, you can pave the path for adjusting to the advanced level. Are you searching for a way of sustaining in the first year, then this article will not disappoint you. By reading this, you will be introduced to the five techniques that will support you in the survival battle.
Table of Contents
Practical expectations
Many investors do not earn single money in the first year of trading. So, as a new trader, you should keep some money separate from the capital which is necessary for livelihood. When you have a wrong goal, you can’t fulfill it and automatically quit the market. If the reality doesn’t match with the expectation, you will become frustrated and lose the motivation for work. Stop keeping the high expectation as it can create anger and force you to take some wrong measures. Try to start when the market is stable so that you do not face massive loss.
Know about your action
You have to know what to do to make money. Initially, try to know about every scenario of the market and its’ dynamics. Find out the mentor who can give you proper guidelines and start gaining knowledge about the necessary trading-related topics. After doing all these activities, you might become prepare for making a good strategy. Apply this in the right place to build a strong career in the CFD trading industry. But, do not change the plan frequently because it will increase the probability of facing loss. And make sure you are taking the trades with high-end brokers like Saxo Bank so that you never have to worry about the quality of the trading environment.
Understand losses
As a new investor, it is common that you will not take the losing streak normally. But, stop doing the misinterpretation of the losing streak. In Forex, not only newcomers but also the professional also face this. So, it will be stupidity to become afraid of failure. However, you have to try to reduce the loss amount to become successful. Identify what types of loss you are making. The normal loss will not create any major problem. But, the dumb loss will make you poor within a short time. Sometimes, the beginners complain that their plan is not going with the market condition. If it happens, try to examine it properly and make a better decision.
Learn the application of the tools
Some investors use the tool without knowing the real application. Understand the task of every single tool because these make trading very easy for the newbies. If you are new in the trading field, you need to open a demo account. Start practice through this to become used to with the tools and indicators. Take time for preparing yourself properly. To become the master of trading, focus on improving technical skills.
Make progress
Do you aware of your previous mistakes? Do you have any idea how you have overcome the last toughest situation? If your answer is “no”, no one will be surprised. This is because, at the primary level, most of the investors do not understand the importance of knowing about their past tasks. However, it will cause many complexities. So, make a trading journal and analyze the past trades for future betterment. If you ask the professional, they will also tell you to keep the trading journal as it is a mandatory thing.
When you will lose the account balance frequently, you will become stressed. So, try your best to apply these techniques to be in the game for a long time.