I'm here to give you the top forex trader advice that I use everyday when I do my trades. These are tips to help the trader become better and more efficient at making trades.
When should I trade?
You should trade during peak hours. This is the time when most people trade, so there is the highest volume. I know when it comes to business, people usually suggest to not follow the crowd, but I'll explain in this case. There is such a high volume of trades, the currencies really do follow market forces or "the invisible hand". During the lower volume times (off peak hours) big banks and firms with a lot of money can make trades that affect the direction of the market. The last thing you want to do is trade at this time because they can make a currency go up or down, which is very unstable for you.
I don't seem to be making much on my profitable trades, and I seem to lose more when I make bad trades. Why?
Well, skill could very well be the problem. Assuming you're a good trader, than you probably have poor margins to make profits. Basically your broker needs to be paid for trades, and they take a cut, which is the difference between bid and ask prices. As you know, the broker is going to get paid no matter what, so your losses are often worse and your profits are often small. All you need to do is make larger trades that are for more money. This reduces the percentage taken by the broker and you should notice that your profits will be more and losses should be less(as a percentage).
What do I do when I make a bad trade?
Just cut your losses. This is probably one of the most simple rules you could take in, but most people have a hard time with it. Just sell it and move on.
This is my top forex trader advice and I hope this makes you into a great trader.
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