COMMANDMENTS for day trading.[/B]
1.) Understand the Risk
The online trading market can be volatile, which creates risk. To
be successful, you must be aware of factors that can influence
prices, such as economic releases, earning reports, and statements by government officials.Staying updated with new developments will allow you to make sounder trading decisions.
2.) Choose a Trading Time
Before entering the online trading market, be sure to choose a
block of time that suits your lifestyle. There is no point in trying
to trade if you cant find a suitable time to do it.
Everyone has commitments in their lives which cannot be ignored, so you have to decide for yourself which regularly scheduled block of time you are most comfortable with.
3.) Develop a Strategy For Your day trading
Every online day trader should have an online trading strategy
which he follows religiously. Most of these strategies will have
common elements, including guidelines for signals, indicators,
and rules regarding entry and exit. Its important to determine
your strategy before you begin to trade.
4.) Trade the Right Market
Different markets have different trading profiles, which vary in
volatility (the online currency market is considered the most
volatile of them all). Some are ideal for intraday trading while
others are favorable for long-term action.
Determine the market you want to invest in based on factors
such as your account size, trading timeframe, personal knowledge, and risk tolerance.
5.) Be Open to Learning
If youre a first-time day trader in the market, there are a number
of risk-free ways for you to gain experience. For example, with a
demo account, you can practice your order execution and trading
systems to check their viability before putting your actual money
at stake.
Take advantage of the ample resources available to learn and
practice the craft of online day trading.
6.) Don't Trade Too Often
Overtrading is one of the most common mistakes of traders. It
occurs mainly when traders try to compensate for their previous
losses with just a few more trades.
Wise traders will allow themselves a pause from trading activity
after a loss, instead of trading frantically in an attempt to recoup
their money.
7.) Start Small
Starting small is a wise choice, especially if youre fairly new to
online day trading. Being conservative in your trading decisions
will help protect you from possible mistakes and failures. Remember, if you trade big, youre risking big money and setting
yourself up for big failure.
Also, consider a few of these effective day trading strategies to stick to:
Believe in the day trading system you follow. Do not question the effectiveness of its rules and methods unless, and until, you have successfully explored all of its trading options.
Trade only twice a day once in the morning and once in the
afternoon. Continue trading this way for at least the first 2 to 3
months. A conservative schedule will save you from the temptation of overtrading.
Make a weekly goal of RS.5000/- TO RS.10,000/-
When you get a successful trade and achieve the weekly target, you should switch off your trading screen and take
a break until the following Monday. This will be good for your
health and itll also help prevent overtrading. Trust me, when
the discipline you have practiced with a small weekly goal is applied to a larger weekly goal (where you will be trading 10-20
TRADES), youll be very glad that you took the time to focus on
the smaller goal first.
If, for some reason, youre not able to meet your set profit goal in a particular week, dont worry. Its happened to everyone. Just focus on consistency in your trading results and you WILL find success.
If you are a beginner, you won't be disappointed visiting the following links:-
http://www.traderji.com/technical-analysis/33046-practice-technical-analysis-beginners.html
http://www.traderji.com/technical-analysis/33021-technical-analysis-beginners.html
VELURI1967
1.) Understand the Risk
The online trading market can be volatile, which creates risk. To
be successful, you must be aware of factors that can influence
prices, such as economic releases, earning reports, and statements by government officials.Staying updated with new developments will allow you to make sounder trading decisions.
2.) Choose a Trading Time
Before entering the online trading market, be sure to choose a
block of time that suits your lifestyle. There is no point in trying
to trade if you cant find a suitable time to do it.
Everyone has commitments in their lives which cannot be ignored, so you have to decide for yourself which regularly scheduled block of time you are most comfortable with.
3.) Develop a Strategy For Your day trading
Every online day trader should have an online trading strategy
which he follows religiously. Most of these strategies will have
common elements, including guidelines for signals, indicators,
and rules regarding entry and exit. Its important to determine
your strategy before you begin to trade.
4.) Trade the Right Market
Different markets have different trading profiles, which vary in
volatility (the online currency market is considered the most
volatile of them all). Some are ideal for intraday trading while
others are favorable for long-term action.
Determine the market you want to invest in based on factors
such as your account size, trading timeframe, personal knowledge, and risk tolerance.
5.) Be Open to Learning
If youre a first-time day trader in the market, there are a number
of risk-free ways for you to gain experience. For example, with a
demo account, you can practice your order execution and trading
systems to check their viability before putting your actual money
at stake.
Take advantage of the ample resources available to learn and
practice the craft of online day trading.
6.) Don't Trade Too Often
Overtrading is one of the most common mistakes of traders. It
occurs mainly when traders try to compensate for their previous
losses with just a few more trades.
Wise traders will allow themselves a pause from trading activity
after a loss, instead of trading frantically in an attempt to recoup
their money.
7.) Start Small
Starting small is a wise choice, especially if youre fairly new to
online day trading. Being conservative in your trading decisions
will help protect you from possible mistakes and failures. Remember, if you trade big, youre risking big money and setting
yourself up for big failure.
Also, consider a few of these effective day trading strategies to stick to:
Believe in the day trading system you follow. Do not question the effectiveness of its rules and methods unless, and until, you have successfully explored all of its trading options.
Trade only twice a day once in the morning and once in the
afternoon. Continue trading this way for at least the first 2 to 3
months. A conservative schedule will save you from the temptation of overtrading.
Make a weekly goal of RS.5000/- TO RS.10,000/-
When you get a successful trade and achieve the weekly target, you should switch off your trading screen and take
a break until the following Monday. This will be good for your
health and itll also help prevent overtrading. Trust me, when
the discipline you have practiced with a small weekly goal is applied to a larger weekly goal (where you will be trading 10-20
TRADES), youll be very glad that you took the time to focus on
the smaller goal first.
If, for some reason, youre not able to meet your set profit goal in a particular week, dont worry. Its happened to everyone. Just focus on consistency in your trading results and you WILL find success.
If you are a beginner, you won't be disappointed visiting the following links:-
http://www.traderji.com/technical-analysis/33046-practice-technical-analysis-beginners.html
http://www.traderji.com/technical-analysis/33021-technical-analysis-beginners.html
VELURI1967
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