How to increase monthly Profit up to 50 %: Forex Success Rule part. 2
- Trade in Elastic and Dynamic Markets –we as swing traders, live off of immediate short-term move. Therefore, the markets must be active and liquid to have more opportunity to gain profit. To achieve Forex success, you should capture the short-term fluctuations and accumulate small profits from various trade entries.
- Bet on more chance to win the odds. Simply because there is chance of profit on either strongest or weakest currency, you want to invest in both to see the bigger picture of technical pattern and an opportunity to study the volatility of market.
- Sustain the position size within logical reasoning. In the game of probabilities, you will win some and you are likely to lose some. However, to keep the consistency in profit, you minimize the risk of investing too much in one buy or sell. There will be multiple and complex change in the market, and you do not want to put more than 2% of your account value on any given trade.
- Admit the losing game and move on. If you notice the losing pattern, then you must not be afraid to call it for good. You should never add to a losing position. Ironically, you must learn to lose to get Forex Success.
- Enter the entire position at the same time. —in swing trade, we are not looking for a chance to “build” position over time. In most cases, you need to look into quick profit lock in and chance to tighten stop as the market moves in your favor.
- Maintain the consistency. –Once you find your own formula that works, you must try to keep the consistency. In order to do that, you are accountable to manage position size, to utilize initial protective stop, and to take profits and trailing stops.
- Get out when there is a doubt. –If the market doesn’t move in the way you expected, there is no need to stay in the position. The longer you stay in the entry, the more you are exposing yourself in loss. In most cases, if the market is not making profit within one to two days, you should exit and re-enter when the market seems predictable.
- Know when to stop. As a trader, it is not your job to always make profit. Quite rather, stopping the trade and re-evaluating the market is your duty. When you encounter a series of losses, stop and examine each causes. Do not be afraid to stop, the market will always be there. When you see one to three losses, get out and wait. For your Forex success, recuperate and gain confidence in your strategy.