Forex Trading Challenges for Beginners
There are many forex trading challenges for beginners that will be discuss in this blog Daily Trading Tips at InvestmentTotal.com. One of the most talked challenges for currency traders are “being not disciplined” during the trading. Discipline in forex trading pays off. But what is “discipline” in forex trading?
Let us find out. For every beginner in forex trading. They usually think about profits. And since traders only thinks to make money in this endeavors, they usually become emotional when things comes to worst.
Aside from being disciplined, a trader’s challenge is the skill. If a trader have enough skills, he will surely earn. But, not all traders have the winning skill. Most traders read charts, candlesticks, patterns, and analyze those charts. Yes, that is a skill. But what makes a trader to become profitable is a “winning skill”.
Forex Trading Challenges for Beginners
Self disciplined is a must fore every person chasing success whether it is in forex, business, education, etc. And a winning skill will surely be the most challenging part.
A. Finding Forex Brokers
One of the most challenging part is that a beginner forex trader will surely can’t find easily a good and reputable forex broker. What to do? Ask other professional traders which forex brokers do they use. Don’t read reviews because most reviews are affiliated with forex broker companies and they will only tell the good sides of a forex broker.
Related: How to Find Good Forex Brokers Online?
B. Funding Forex Trading Account
There are many beginner in forex trading that are having hard time to fund their trading account and want to start live. Good thing, most forex brokers use funding options such as;
- debit card/credit card
- paypal
- bankwire
- bitcoin
- netteller
- skrill
- etc..
C. Developing Trading Strategies
Not all trading strategies found on youtube are fitted to the personally of the trader. Some strategies will work for me, for traders, but for beginners, nope. So. What should you do?
You must practice trading on demo account. Master all necessary thing in your trading platform. Things such as pairs, spreads, inserting indicators in MT4 and how do they work.
D. Money Management is the Key to Success
Not just the skill, the disciplined, the knolwedge but “money management” is the key here in forex trading. Some professional traders advice to risk not more than 2% of your balance. Read more on money management here.
Start Trading Forex
Don’t just start trading forex because you know how to execute trades. There are many platforms nowadays that are user friendly. Only a mouse click away, you can trade. However, you need to have a self disciplined, a winning skill, a good emotion (master your emotions), find a good forex broker, fund your account,trade using demo account and develop a forex trading strategy that works for you before you go live.
Some traders just use other people’s (other professional traders’ skill) to trade forex. They copy other trader’s trade. You can find expert advise about trading currencies if in PAFTI (Philippine Association of Forex Traders Inc.)
Thoughts for the day: ”
“Trading doesn’t just reveal your character, it also builds it if you stay in the game long enough.”
― Yvan Byeajee, Paradigm Shift: How to cultivate equanimity in the face of market uncertainty
“Confidence is not “I will profit on this trade.” Confidence is “I will be fine if I don’t profit from this trade.”
― The essence of trading psychology in one skill
I hope you enjoy this short article about forex trading. Stay tuned to Daily Trading Tips at www.InvestmentTotal.com for more forex trading articles, forex trading signals, and soon to share a good and easy to follow forex trading strategies.