How To Avoid Common Mistakes in Forex Trading
Forex trading has become a big issue even to the experienced traders talkless of newbies who do not know much about trading forex strategies. Before you click that trade you better consider the following steps; 1. If You Loss Consistently, Stop Trading For A While There are two ways in trading is either you win win or loss loss i.e Your win ratio and risk/ reward ratio. Your win-rate is how many trades you win, expressed as a percentage. For example, if you win 60 trades out of 100, your win-rate is 60%. Try to keep it simple though, and use strategies that win more than 50% of the time and offer a better than 1.25 reward/risk ratio. 2. Don't Trade Without Using Stop Loss Have a stop loss order for every single forex day trade you make. A stop-loss is an offsetting order that gets you out of a trade if the price moves against you by an amount you specify. Your loss is moderated. Take it and move on to the next trade. In addition, never place your stop loss too close to t