Advice for Beginners....don't Try to Make Money.

[fxpartyguy 10]

Learn basics trading on demo and then jump it to live.

 

I always do demo trade before decide on some brokers platform, as well applied my indicator within their platform. for past 2 years I already use several brokers platform ( all mt4 platform). what I concern is different brokers platform seem giving different indicator reading, for example I currently use Tickmill trading platform and attach my indicator on it, one times it's clearly shown an order confirmation signal, but when I check into other account with ikofx it's shown different reading, as entry signal not yet confirmed. any suggestion what should I do to reduce this confusion, i used different brokers platform in order to clarify market price signal. should I keep use both to compare signal strength, or move only use one of them ( which one should i keep then?)

furthermore, what cause of this reading difference, and which signal confirmation should I follow, need a validation from any expert traders here, i believe any expert already use many brokers platform, at many brokerage service.

thank's in advance.

[gavind 11]

Demo trade should not be skipped out if you want to make it at Forex. This is a must for beginners.

[Ammeo 10]

Learn basics trading on demo and then jump it to live.

 

This is what kind of every newbie does at the start anyways. I havent see any trader yet who didnt try the demo before jumping to the live scene.

[tradelab 10]

We always desire to save some amount of money for investing in places that can provide good returns. An intelligent investment has the reputation of being successful. Money management is a skill and is not a simple process. There are number of considerations in the process that must be paid along with open-ended risks.

 

Whether you are saving for house, child’s education or retirement, you need a plan to make your money grow. Here are 6 rules to follow:

 

1. Investors, don’t listen to financial media

 

If you really want to invest intelligently, ignore the facts you hear from financial media, since many of these facts are meant to distract you towards making expensive mistakes. Even if you hear something and it turns out to be true, don’t get tempted to follow it.

 

Before the news hits the mainstream, it has already been heard by thousands other investors out there and has lost the edge there itself.

 

Don’t let media and trends nurture your bad investing habits.

 

2. An unemotional discipline pays off

 

The ability to manage fear and risk determines the success for the investment. There is no magic formula or short-cuts in the market for successful investment.

 

Avoid impulse buying. You cannot afford to be an optimist or pessimist with the numbers involved here, you need to be a realist, who analyses and evaluates the facts and figures and then arrives at an objective view. He accounts for the possibility of things turning wrong and accepts his mistakes. Yes, it’s tough to be a realist.

 

Don’t let emotions drive your investment decisions.

 

3. Don’t follow the trends, anticipate them

 

If you have some money to invest, the first thing you need to know is that you shouldn’t follow the herd. It’s easy to lean towards the trends as we are easily influenced by public opinion. Going with the crowd would never yield good results.

 

Noise trading is a pitfall many traders fall for. They often get confused by the false signals sent out by the overall market trend and trading pattern. In today’s market going up and down, traders should do the due diligence.

 

You don’t want to be one among the crowd, but stay ahead of it.

 

4. Spend less than you earn

 

If you want to build wealth, all you need to do is spend less than what you earn. This sound obvious, but many people don’t live by this central occupant while dealing with their finances. The wider the gap between earning and spending, the more financial success you get. The formula is composed of two connected ideas:

 

Earn more: You can increase income through strategies like switching jobs, getting an appraisal or starting a small business.

Spend less: You can reduce your spending through different forms of frugality.

The only thing between your wealth and you is the willingness to act on this enduring wisdom.

 

5. Know where the money goes

 

Keeping a track of your spending is important for investment; this is the best way to stay true to your goals and budget. Use your smartphone, old-school spreadsheet or use an app like Quickbooks to keep track of your finances, so that you have a good idea where you are standing. Just write it down!

 

Check if the plan matches your spending reality. There are services that send you email alert when you have exceeded budget to keep you accountable.

 

6. Identify your risk tolerance level

 

You must have heard of the phrase, “no pain, no gain” – these words sum up the relationship between risk and reward. It’s important for you to understand that any investment involves some degree of risk; however, these risks are calculated in relation to potential payout.

 

You need to know your risk tolerance limit, strength and weakness, since the act of investing is an emotional one for many beginners. Don’t just think of the upside, but also consider the prospect of losing all the money.

 

For whatever reason investors lose their tolerance, they begin to take decisions tainted by emotions that are almost never good decisions.

[Dahan 10]

It's ture. For newbies, the first thing we need to conside is learn how it work and try to avoid lost as much as possible. Make money should not be the first thing we care, we have enough time to do in the future.

[flowzen 10]

:haha: I hear you say. But really. I think that this is perhaps the single biggest factor in the high failure rate of new traders. Perhaps it would be better put that you should not expect to make money.

 

Let me put it in a different way. A beginner will come into trading and have had very little experience of anything similar. The market will however look familiar somehow and tease them into thinking small successes are down to skill. After all, humans like certainty and are quite happy to congratulate themselves when they think they are good at something.

 

Would you expect to pick up a guitar and then a month or two later be playing at a rock concert? Would you expect to pick up a paintbrush and shortly after have an exhibition on display at the Louvre? Probably not. The difference is though that poor trading costs you your money. Coming into trading, you will be pitted against seasoned professionals, massive hedge funds, banks and computer systems to name but a few.

 

Losses early on affect more than just your bank balance. They affect your emotions and your ability to learn and develop confidence in your understanding of markets and methods you use to trade. If you don't understand how to 'take a loss' this can be catastrophic.

 

Do yourself a favour, when you start trading, trade to trade well, not to make money!

 

HUH? >.<' Profitable since day 2. Running scared in front of death bots, institutional traders with tanks and quicksand brokerage dark pools. Having the time of my life. :P

[spareappeal 10]

i am also a beginner here and i am considering your advice that in the beginning when we dont have any experience we should not try to make money but give it time to gain some knowledge and some experience!!!

[leverager 10]

:haha: I hear you say. But really. I think that this is perhaps the single biggest factor in the high failure rate of new traders. Perhaps it would be better put that you should not expect to make money.

 

Let me put it in a different way. A beginner will come into trading and have had very little experience of anything similar. The market will however look familiar somehow and tease them into thinking small successes are down to skill. After all, humans like certainty and are quite happy to congratulate themselves when they think they are good at something.

 

Would you expect to pick up a guitar and then a month or two later be playing at a rock concert? Would you expect to pick up a paintbrush and shortly after have an exhibition on display at the Louvre? Probably not. The difference is though that poor trading costs you your money. Coming into trading, you will be pitted against seasoned professionals, massive hedge funds, banks and computer systems to name but a few.

 

Losses early on affect more than just your bank balance. They affect your emotions and your ability to learn and develop confidence in your understanding of markets and methods you use to trade. If you don't understand how to 'take a loss' this can be catastrophic.

 

Do yourself a favour, when you start trading, trade to trade well, not to make money!

 

got your point mate.

A friend of mine tell this to me

do your homework with demo account with $1000 deposit and trade with fixed SL TP , so you can measure your statistic., and do not ever change your TP or SL level. Let market decide

after the 1000th trade, finally you will have data is your system good or bad

 

well i think all brokers provide demo account, myself using armada markets ( now tickmill)demo account for a year when i study under a "guru"

[markjacks 10]

Additionally, it's always a good idea to stick to the golden rule, which is to only invest on money where you can afford to lose.

[Tradingtips_4 10]

I agree to the Negotiators point of view..that one should not focus on money at first but learn to make good trades. Perhaps try the demo account for learning first. Slowly as you get the statistics right, one can start with the real account with small amounts.

[zdo 20]

" ... Perhaps try the demo account for learning first..." Tradingtips_4

 

Guess what percentage of the ‘ industry to produce losing traders’ agrees with that.

Guess what percentage of the ‘voice of trading’ aka sycophants for the ‘ industry to produce traders at the cusp of winning and losing’ agrees with that.

 

Noobs - it’s best to start real... then when you really know what you need to work on set up deliberative practice on sim...

 

Guess what percentage of noobs will listen and take that advice.

 

 

 

 

"It's not whether you're right or wrong that's important, but how much money you make when you're right and how much you lose when you're wrong." ~ George Soros

[Lark 10]

got your point mate.

A friend of mine tell this to me

do your homework with demo account with $1000 deposit and trade with fixed SL TP , so you can measure your statistic., and do not ever change your TP or SL level. Let market decide

after the 1000th trade, finally you will have data is your system good or bad

 

well i think all brokers provide demo account, myself using armada markets ( now tickmill)demo account for a year when i study under a "guru"

 

I would like to trade with demo account before trading with real money. thank you for advice

[Emily291 10]

Do yourself a favour, when you start trading, trade to trade well, not to make money!

 

I think maybe some of the investment banks maybe took your advice judging by last week's earnings reports. Some of their desks had only made around 8% before costs.

[Lark 10]

I think maybe some of the investment banks maybe took your advice judging by last week's earnings reports. Some of their desks had only made around 8% before costs.

 

Do you trade by yourself or you prefer to invest?

[AndikaAnjani 10]

Most of the newbie traders come with their greediness to make an instant money without learning about forex trading and understanding the risk of it. No doubt you made this thread to warn newbies about their greediness.

[Lark 10]

i think that newbies should read tutorials about forex trading before start to trade

[Dahan 10]

Yeah, too many trading opportunities in the future, the top objective of forex trading should be learning basic knowledge and how it works.

[tommyho 10]

Excellent wise advice. Thank you Negotiator.

[Lark 10]

Yeah, too many trading opportunities in the future, the top objective of forex trading should be learning basic knowledge and how it works.

 

i like to check new strategies by using demo account

[SephirothxCloud 10]

I think patience is the most important quality to have when beginning and then discipline!

[Dahan 10]

For beginner, top important thing should be keep learning and lower your risk, too many newones quit because of lost in the begining.

[timlisten 10]

very good advice, beginners should learn to trade and not focus on make money. When you trade well, money will come naturally.

[CrazyCzarina 17]

As beginner, i have learned that newbie must learn well before getting into real trading. Also work on demo for more experience and well knowledge about trading work.

[aimhi 10]

Learning never ends, traders should focus on building appropriate strategy for investing their money while keeping the associated risks in mind. I still trade demo account in my free time to test any strategy and it helps me a lot while trading with the tested strategy on live account.

[CrazyCzarina 17]

As traders, we don’t need to aim to be “professional” right out of the gate, in fact, having such unrealistic expectations is often what causes beginning traders to over-trade and over-leverage their accounts. Your goal as a Forex trader should initially be to turn a profit each month.