by Forex Trader Gregor Anton – http://www.ForexCurrencyDayTrader.com

Last week I had some good trades and some bad. You will have losses. How you manage your money and minimize risk, and minimize losses will play a key role in becoming a successful Forex Trader.

Rather than looking at how to get the most pips and make successful trades, lets focus on minimizing your Forex Trading Losses:

* No Trade = Good Trade – It’s tempting to jump in and make a trade. Be patient. Create a demo account and practice. Only trade when you’re 100% sure your trading system works.

* Don’t Babysit Your Trade – Follow your trading plan, system, and strategy, and don’t change it mid-stream. Know your entry and exit condition and don’t babysit that trade. Everyone loves watching that green positive number get bigger and bigger, but don’t stress yourself out and watch it fluctuate or worse, go into negative red numbers. Follow your plan, set your stop losses and take profits. Set your alerts. Walk away or do something else.

* Don’t Get Greedy – No matter how many pips and profit you make, you’ll always want to make more. Sometimes less is more and that extra 10 pips can cost you the 200 you just made earlier. Emotional and impulse Trading is Gambling.

* Save Your Emotions – Relax and you’ll trade better. Even with the best of trading plans, systems, and strategies. And in my experience, especially with Forex Robots, Signals, and Alerts. Let your profits run, cut your losses, and be sure to stick to your system and strategy. Save the emotions for when you celebrate a good week!

* Measure Profit in Pips – I find focusing on pips rather than profit in $s is far better. $’s make it emotional, pips keep it strategic. If you’re not comfortable trading bigger lot sizes, don’t. The right money management and risk reward ratio is key too and surprise surprise will usually align nicely with your comfort zone.

* The Trend is Your Fairweather Friend – It will change and according to some the Forex Market is Trending only 20% of the time. Don’t get me wrong, identifying the trend or lack of a trend, is important, you want to do so across multiple time frames. You’ll also want to use trend lines, horizontal and angular. Lets face it the market doesn’t just move up and down and side to side. It moves in all directions. Pivot Points are important too.

* Set Goals – Know exactly how many pips you are targeting. How many good trades you’re going to stop at. How many bad trades you’re going to take before walking away. Everyone has bad days and what I do is go for a walk, eat some Ritter Sport chocolate, grab a Mocha at Waves Coffee, or change my scenery in some way that gets me away from Forex. Bottom line, have a plan, follow it, make sure it’s a Smart Plan. Specific, Measurable, Attainable, Realistic, and Timelined.

* Set Conditions – When are you going to enter a trade? Exit? What is your Stop Loss and Take Profit? What are the market conditions? Market hours? Will you carry over? Trade around news times?

* Economic Calendar – The Forex Market tends to become volatile around important economic news. This “noise” can really throw off your trades. Or it can help your trading. Either way, you need to stay on top of Forex News by checking the Economic Calendar at least daily.

* Manage Your Money – Only Risk 5% at most. Combined. If you have multiple trades, the sum should be 5% or less. Some people like 3%. Any more and you will have a tougher time rebuilding your portfolio after a bad trade.

* Know Your Risk / Reward – How many pips are you willing to risk? Are you going to risk 200 pips to make 20? You want to risk less than you are bound to make.

* Take a Forex Trading Course – Education is key. Education can be expensive, the alternative is far more costly. That one tip or strategy you learn can be the distinction that’ll change everything. There are many great trading courses out there, and there are many scams and hack-job courses too. Visit my site to find out who I swear by.

* Take a Forex Trading Course – Education is key. Education can be expensive, the alternative is far more costly. That one tip or strategy you learn can be the distinction that’ll change everything. There are many great trading courses out there, and there are many scams and hack-job courses too. Visit my site to find out who I swear by.

* Walking Away is the most important part of your day – A great trading day, week, or hour. x amount of successful trades and you decide to stay just a little longer, go for that extra pip and before you know it the market changes and your profits are gone. Be sure to plan your “Walk Away” strategy.

Looking to Minimize your Forex Trading Losses, then visit www.forexcurrencydaytrader.com to find the best advice on Forex Online Trading.

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