FX.co ★ Five Important Tips for a Beginner Trader

Experts believe that anyone can earn money in financial markets. However, in the long run, no more than 90% of traders succeed. Experienced market players offer to learn a number of rules that will help a trader make a profit and not be disappointed in trading.

It is necessary to develop a trading strategy and build a work plan

Most traders, especially beginners, do not seek to choose a suitable trading strategy and follow it. Often they constantly change the work plan. With this approach, it is useless to count on a positive result. It is necessary to develop the most detailed algorithm of actions and strictly adhere to it. You have to detail all the components of the algorithm, including the conditions for opening transactions, the method of selecting instruments for investment, possible risks and rules for managing capital.

Regular trading practice will be invaluable

Like a professional sportsman, a trader should carefully master each point of his plan, so that the sequence of correct actions reaches automaticity. On the trading account with the starting capital, it is necessary to master each element of trading, such as the moment of opening of the transaction, holding the open position and closing it. You can experiment with different types of orders and financial instruments.

The choice of a reliable company with suitable conditions is an important part of success

The key rule of every successful trader is cooperation with reliable and trustworthy brokers. Trading in financial markets requires a full return, so diverting to solve technical and organizational problems is a waste of time. The issue of reliability and regulation of companies is very important. Choosing a broker, it is worth paying attention to ways of solving the company's disputed points. A number of brokers provide their clients with additional protection.

Seed capital is required to work in the financial market

With a competent approach to the risks arising in the global financial market, an experienced trader can earn 10-15% of the amount of his capital in a month. The profit may be higher, but the likelihood of risks increases. In order to make profits noticeable, you need to start with capital, which is equal to the monthly salary of the trader-beginner.

A novice trader needs a mentor

Drawing a parallel with professional sportsmen, we note that they often owe their success not only to regular work but also to their mentor-coach. The same mechanism operates in the financial market: at the initial stage, a trader needs a mentor who receives the basic income in this area. Experts note that today brokers offer a lot of services to support traders. The list of them is huge, and anyone can find what most suits him.