A guide by Professionals – hands on strategy
What is Forex Trading and what it is not, as discussed in Part 1 and Part 2
Forex Trading is extremely rewarding. You should have a Forex Trading system and strategy in place. Learn, not only to increase your winning chances, but how to limit your losses.
Hands on strategy
In this part, we will provide the first steps that you need to take for being a successful Forex Trader. These steps may seem obvious and straightforward to some. Others may feel they are superficial. For decades professional Forex traders have followed these steps successfully.
Find a mentor
The absolute first thing to do is to find a mentor. There is no replacement or substitute for a good mentor. Here are some immediate benefits:
- A mentor will share tips and tricks
- A mentor will warn you of the pitfalls
- You can copy a mentor’strading strategy and modify it for your use
- You have at least a few established models of success
- A mentor will help you in managing your losses
- A mentor will be able to give you feedback on your limits
Your mentor is may not be perfect
While we absolutely stress the need of a mentor, you should accept that there will be many mentors in your journey to success. No one mentor is a perfect guru. There are many gurus in the field though. Each successful guru has at least one good thing to impart. Learn it. Do not get stuck to a single mentor. You can seek multiple mentors at the same time.
The idea is that you are able to recognize and avoid the pitfalls of your strategy before you execute it. You will also get a fair feedback on its possible success.
Beware of the wolves
As is normal in any trade with high income potential, there are wolves out there. Beware of the wolves. They often pose as Forex trainers imparting damaging knowledge. Here are some things they will do:
- Set inaccurate expectations
- Provide wrong figures
- Talk about trades that never really happened
- Excite beginners and cause them to be reckless
There is a quick way to eliminate such wolves in Forex Professional’s clothing:
- Verify the results that are presented to you. You can choose a reputed body to do so.www.myFXbook.com is an extremely reliable source.
- Find out the reputation of the person from other professionals.
- Ensure that the person is in-demand as a speaker at various expos and well respected.
- Excellent mentors have video testimonials from traders that they have assisted
- Finally they have to be successful themselves in Forex Trading
Pick a good fit
Forex trading has many areas of specialization. Make sure you pick mentors who have synergy with your aims and fit your personal plans. While good advice is appreciated, you need specific direction to excel.
Summary
When you start Forex Trading, find a mentor. No mentor is perfect. You will need multiple mentors and at different times. Check the reputation of the mentors to ensure they are genuine.