7 Secrets of the Best Forex Traders

7 Secrets of the Best Forex Traders

Scalp It:

Most of the contest winners were scalpers, who held positions for a very short-term period of time. Scalping, however, does exist in various forms. You may align your positions in the direction of the trend, or take 2-3 points out of the trade. When trading thinks about your niche.

Hold On To Your Winners:

Exiting a position requires knowing the potential of the day. Is Volatility high? Was the price locked in a narrow trading range before your entry? If the answers to those questions are yes, you may get an increased upside by holding positions longer than usual.

Quantity vs. Quality:

If you don’t want to deal with “noisy” price action, you may place closer profit targets and more distant stops. In this case, you should be right more often, reproducing the small trading edge through a large series of trades.

Back To Basics:

Short-term traders usually use a naked price chart combined with Candlestick patterns, this is because an opportunity usually flies in The face of a most recent trading activity.

Clear Your Mind:

Start your day, not with the market analysis, but with clearing your mind and anchoring yourself in a “flow state”. Develop your own routine to create this state. Trading is a mind game, and your mind is the first tool that you should manage.

Timing Is Everything:

If you look to make a profit of more than 10 points in trade, Consider choosing the right time window for making trades. For Momentum trading, focus on active market hours (Europe and US Opening time). for means reversion trading, focus on inactive market hours.

Proper Preparation and Planning:

Treat your trading as a craft. Practice on demo accounts, listen to what other people say but develop your own rules. Successful trading is a rule-based, systematic process, which has nothing to do with random picking.

Conclusion:

We hope that you have found these secrets of successful traders useful. In all honesty, these “secrets” are not really secrets at all. Instead, these are logical principles based on old fashioned hard work, the ability to manage risk, and the ability to read price charts.