Hey everyone, I wanted to share some info on an article that I wrote that I will make a huge impact on your Forex trading. I have been trading for 7 years, full-time for 5. I have dealt with the trained countless traders in that time frame. And what I have found is that the #1 reason why most traders loss money in FX...is EQUITY AND RISK MANAGEMENT
The reality is that unless you remove the mindset of "gambling
" in Forex and understand Forex for what it is...a business of probabilities
you will start seeing better results in your trading. And once you see that, that it is about numbers and consistency, you will see the results improve.
So, part of setting up the "probabilities" to sway in your favor is to follow a sound and SOLID equity and risk management plan. That means you control the exact amount of risk on each trade, you do not move your stop away from your open (but we move our stop closer to and beyond our open price to put our trade in the money and remove risk from the trade), and you stick to your equity management plan.
I am not going to post everything here because I already have a long article and several videos on the subject. But you can check them out here:http://tradeadvisorpro.com/forex-articles/developing-risk-management-plan/
I am going to follow this post. If anyone has any questions please post questions, screenshots, etc and I will be glad to help.