Forex Strategy Trading Tips: 7 Tips to Help You Get going in the Forex Market

Here are some tricks to get you started. Entire books have been written about each one of these subjects, no joke. Hopefully this post will get you thinking in the right direction. I'll try to go into more detail on each subject in the coming weeks. Be sure you check back frequently - we are adding additional information and new Forex strategy trading tips continuously.

Become a Smart Trader

I can’t overstate the necessity of educating yourself about the markets. There are literally countless different books on markets, methods, basically everything you will need to know to get started in the Forex market. Unclear how to start? I recommend Trading for a Living by Dr. Alexander Elder, and The Disciplined Trader by Mark Douglas. We'll also do our best to keep up to date and relevant information available here, at your fingertips, ready for you to use.

Become a Student, Always

Just like you wouldn't commit to buy a car without having a test drive - doesn’t start putting your hard earned dollars out there without taking some time to learn the ins and outs of the markets. Take the time to study the markets, different strategies, and study the intricacies of trading before risking real capital. Trust me, if you don't - you are likely to have a really, really bad day.

Almost all brokers offer some form of demo account that will let you practice exactly like it was a real account. Practice, practice, and practice some more. Not only are you going to acquire a feel for the markets, but you will also get a feel for the trading platform of that broker, and how to quickly and accurately navigate it. Use these demo accounts as long as you need so that you can gain confidence prior to deciding to put your hard earned money at risk.

Get to know your limits

Like the saying goes - you can't have champagne on a beer budget. You must develop a risk to reward ratio that suits your money situation. Know your limits, and how much you are willing to risk on each trade. Never risk more than you can afford to lose. And never, ever go "all in". You will lose some of the battles, but you'll live to fight another day.

Plan your trade and trade your plan

How can you get to your destination if you veer away from your path? Create a plan to guide your trading. It should include your profit goals, risk-tolerance level, methodology, and evaluation criteria. Once you have a plan in place, make sure that each trade you consider falls within your plan’s parameters because you’re most rational before you place your trade and most irrational once your trade is live.

And remember, although consistency is important; don’t be scared to re-evaluate your forex strategy trading plan if it’s not working for you. As your experience grows, your needs may change. Your plan should be an expression of your goals. If your goals or financial situation changes, so should your plan.I'll be back soon with the more trading tips.

Sincerely,

Jay Molina
Pro Forex Trader & Educator