Posted by: joetradingplace | May 14, 2015

Who is prepared to do this???????

The reason why most new traders and unexperienced traders fail is because they focus on how many pips i can make per day. All their effort is on finding a good strategy, and to build small account from a few hundreds to millions. Firstly you should try to focus on the basics of trading, know how much you are prepared to lose before you enter any trade. Your initial risk on the trade should not be increased because you feel that the market will stop you and move back in your direction. Thats part of trading, sometimes you get stopped out to the pip and price moves thousands of pips in your direction. You don’t have to dwell on that, you have thousand of trades to take as a trader, so result on one trade must not affect you emotionally. As new traders, lets focus on risking as little as possible, we are still learning and we want to have an account by the time you figure out the art of trading. I always tell new traders to risk even as small as 0.1%, that means it takes 1000 trades for you to lose your account. 1000 trades is quite a lot of trades, especially when yu are trading on longer time frames. If you trade this way, you won’t blow an account. But i know most new traders will just read this and go back to their old habits of high risks. How many people are prepared to risk very small whilst they learn…post in the comments.

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