In the world of Forex Trading, day trading is not always a sure thing. But your success of day trading will actually depend on the knowledge that you have about the basics of day trading. To help you with learning the basics, here are some strategies that you can consider:

Be liquid and volatile - To be liquid, is to be able to enter and exit in the trade with a pretty good price, since a currency pair that is liquid are the ones that most investors would be willing to invest upon. This could also mean that there will be a smaller spread, and that there will be a little difference between the bids to the asking price. On the other hand, be very volatile when it comes to measuring how far the currency pair could fall or rise in a certain day.

Determine where you are going to get in - When it comes to determining the best time to enter in a trade, there are three major things that you need to consider. The first is on identifying the candlestick patterns display as well as the reversal trends in price. And another is to seek out the volume and know whether the buyers are supporting the currency pair on this level, and lastly, know the prior price support, which is the level on where the price usually bottoms before it could reverse back.

Decide for the best strategies - The two most common strategies when it comes to day trading are scalping as well as fading. Scalping is the most common among the two which involves closing your position as soon as it becomes profitable. Fading is simply getting out as soon as the price increases.

Apply the “stop-loss” - Setting up a stop-loss is the best way of avoiding to lose a big amount of money when it comes to the day trading. As soon as the trade takes a turn for the worse, which you are not expecting at all, it is best that you get out while you still can. Practicing the stop-loss would mean that you have to stop trading on a given day, instead of facing the risk just to make up your loss.

Be firm with your strategy - Avoid focusing more on earning profits, but instead, focus more on your strategy. Be open to the idea of tweaking your strategy if something is not right with it. Do not be afraid if something goes wrong, because you will always have a better chance of becoming successful in the days that will follow.

Remember that day trading may not be profitable for most people, and more than half of day traders actually fail. The best thing to do in order to learn the basics of day trading is to do more practice while re-evaluating your strategies at the same time. More importantly, be dedicated and be patient so that all your hardships will pay-off.

Author's Bio: 

Look at general tips to survive in currency trading at forex trading tips. Furthermore, do not make things harder for yourself by using second rate trading platform, find out how to identify the good one on fx trading platform.