Proper risk management is crucial for any trading strategy's success. Traders should define the amount of risk they are willing to take for each trade and set their stop losses to be able to control and manage the risk.
Common Trading Mistakes
There are several common mistakes a new trader ca make and affect their profits. This document is designed to help you avoid making those mistakes.
Physiology
Most traders tend to trade on a demo account first and succeed, suddenly when trading for real money their success is not so easy to come by and they often question why. The reason is that the physiology of trading for real money when comparing to virtual money on a demo account is vastly different. You should understand the difference, trade carefully and build confidence at the start.
Stick to your strategy
Most traders, after experiencing their first successful trade decide to expand their trading strategy, which has delivered some success and this is a common mistake of over-trading. Most traders fail to make money in the long run not because they don't know how to trade, but because they don't stick to their strategy and trade too much.
Apply Risk and Reward Management
Proper risk management is crucial for any trading strategy's success. Traders should define the amount of risk they are willing to take for each trade and set their stop losses to be able to control and manage the risk. The same is to be said for profits, many traders get greedy and allow their trades to run and miss the chance to close at a healthy profit. Define your profit target, set your take profit and stick to it.
No plan
By not having a plan with targets and what to avoid is a mistake. For example, if your strategy is to follow trends, leaving orders open during a big economic data release like the Nonfarm Payrolls could cause a big trend swing and affect your profitability.
Don't Gamble
If you don't see the indications that your startegy depends on, don't open an order with a gamble, simly sit it out and wait until your are confident to avoid disappointment of a failed trade. If you are unsure, you can always use the Yadix Economic Calendar and other trading tools to help you understand what high impact news is upcoming for that day, week or month (depending on your strategy)
How do I start trading?
Getting started is a simple process, all you need to do is register a live account from the Yadix website, login to the client area and make a deposit. We accept 15+ different payment methods that are easy to use according to the region you live in. We can accept deposits through major credit and debit cards, popular e-wallets and bank wire transfers. After your account is funded you are ready to start trading.
Should you have any difficulties, your personal account manager can assist you. They will be able to offer help you select the best account types and help you with the most suitable promotions and offers to help you start trading forex in the best way.