Posted by: John Peter Nov 28, 2022, 11:41 AM
Traders and investors often fail to see the bigger picture when it comes to maximizing their profit potential. It's easy to forget the preparatory stage, but if you want to see results in the long run, you need to treat trading like a business. Treating trading like a business means implementing some important business-related best practices. For instance, you need to know how to set up a trade, including what timeframe to trade, and what to look for in a setup. Likewise, you need to consider what you're spending on trading, including how much you're paying for broker fees and trading costs. While most brokers will let you trade for up to $10,000, you need to know how much you need to make to cover your costs.<br<brKeeping a daily printout is a good way to keep track of your trades and what you've done. For serious traders, maintaining a daily schedule is a must. This can include pre-trade preparations, journaling, and a solid trade-making plan.Traders should not only keep a daily record of trades, but also record a trade a week. This will help you stay on track and avoid overtrading. If you are trading more during the morning, for example, you may want to adjust your schedule.<br<brCreating a solid mission-vision statement is a must. A mission-vision statement defines your business objectives and guides your actions. The best business plans are a blend of long-term and short-term objectives. For example, a mission-vision statement might read something like, "I will earn consistent profit in the forex market, and spend no more than 10% of my time in the stock market." It's easy to get overwhelmed when you're trying to trade. A good trade-making plan should incorporate a mix of strategies, including market timing, position management, and risk management. It also means knowing when to switch systems and when to stick with the one that works. If you're trading on a computer, for example, it's a good idea to use an alternative to the mouse, like a mousepad or Bluetooth keyboard.<br<brThe best business plans also involve researching and implementing the latest technologies. For instance, a new trader might want to take the time to learn how to use the latest Forex charting tools and indicators. They might also want to consider trading on a demo account before moving on to live accounts. This is not an unreasonable recommendation, and many brokers are more than happy to accommodate a new trader's request. A good trading plan might even incorporate the best way to set up stops. For instance, if you're trading forex, you need to know the differences in spreads and interest rate differentials. You should also be aware of tax conditions and broker fees. Treating trading like a business also means being able to spot the best trades. For example, if you're trading forex on the weekend, it might be a good idea to take a short break and watch TV or play a game. [You have less than 30 posts]
Posted by: Mark Baines Dec 29, 2022, 06:00 PM
Think of it as continuing education. Traders need to remain focused on learning more each day. It is important to remember that understanding the markets, and all of their intricacies, is an ongoing, lifelong process.Hard research allows traders to understand the facts, like what the different economic reports mean. Focus and observation allow traders to sharpen their instincts and learn the nuances.World politics, news events, economic trends