Hello everyone,
I’m new to forex, I guess I didn’t do adequate home work before commencing trading on forex. I lost 500USD today, now I feel so bad. I have so many questions to ask. I need someone who can answer my questions, and tutor me in this trade. I really wish to be a forex expert.
Please, tell me what I didn’t do right.
Thanks all.
For some people $500 is their normal daily drawdown for others its the whole account better to look at percentages than $ it will help your trading lots.
I can’t be a tutor and maybe my trading style is completely different but some advice from someone who has blown up two accounts over the last 10 years and only been back live trading for a month.
All the best
DT
Welcome back DailyTrader!!
Good advices you have given to doctorenomen! All boils down to:
Then you start trading with proper risk% per trade, so you can trade your strategy for much longer than one day. Forex is a number game, your strategy would give you an edge in the long run. So let your strategy proven his worth to you. But for that you have to proper risk management.
Just ask and we will answer ^^
If you want to ask privately because you don’t want to show everybody how much money you have and what mistakes you make, just pick an experienced member and contact him via email or PM. I am sure you will find someone to help you.
As much as bad it is you should try not to feel bad about your loss. You are not the first one and surly not the last one who lost some money. It is all part of the learning process. Try to get the best from it. Learn from your mistakes.
A big thanks to you all.
I got an insight now, and I’m not backing out.
I have commenced the pip school. I shall stay off my account for now until I think I’ve got hold of enough from the pip school.
Thanks once more.
That’s great to hear.
open your demo account the same size as your real account and practice all you learn as you go.
you will be off to a great start in no time.
All the Best
DT
Am so sorry about your loss; it’s a common occurrence in the forex market. The next step you can take is go backing to get more knowledge about the market school of pipsology can help you out there; take note of your flaws and where the mistake was from. After that you can proceed to create a micro account with a good broker, I suggest Profiforex or Oanda because their micro account will help you get a feel of what the real market looks like, and you can start with as low as $1, and a leverage of 500:1
Previous advice is excellent. Let me just add Rome wasn’t built in a day and neither will your trading career. Time and Patience. First crawl (basic understanding) then walk (apply what you learn in a demo (practice account), run, (take what you’ve learned and practiced and go live. Start with a small account so you can practice and expand your trading method and money management strategy, as weel learning to be patience and disciplined),
Have you learn enough about trend analysis, Fibonaci, candles signals… and the most important is to control your feeling in trading. How balance in your acc and how many lots per your trade>
Just learn and practice step by step, should practice on Demo first.
How to have better status for our equity: more lots of orders and lower risk
As my style, when I am wrong I stop all. I just order more when I am right.
I usually use the current profit oder position to be the SL for new order, and next order,…
The reason I bought EURUSD from 10-Sept is the Fibo Expansion of Daily has reach the 161.8 area and it might be reversed a little bit or higher.
In this picture, it seems to be TP soon certainly
I burned out 4 accounts at the first year of fx trading, many years ago. $5000 acc at the first deposit, then $1000 acc more, $500 acc more, and $200 acc more before I can reach the balance in my ttrading system and also in my self.
Just go ahead and shoudnt repeat the same mistakes. 
I can tell you I have lost much much more then that in a single day. So dont feel so bad. But here is my mantra. “Lose the money, but never lose the lesson”
Well said, meihua. You have to learn from the mistakes you made. I am not sure about the reason why you lose this much of money in one single day. Overtrading, or not sticking to your trading rules, or keep adding to your losing position, or keep adjusting your pre-determined stop loss further away/ refusing to cut loss and hope it will come back?
No matter what was your situation, I think you need to review your trades and go back to the basics and build a good foundation before you start trading real money. I can understand that a big loss might affect your trading psychology in a negative way because you might be eager to fight back the losses and might start do revenge trading which is a sure way to a trading disaster.
Hi Doctorenomen!
I know the feeling. Done a trade recently where I bought in and now the currency I bought is depreciating in value even further and I feel like a real sucker and it was a large amount.
I reckon you need to learn from the pro traders so I signed up for a course with Traders Training Institute in London and they really helped me to understand the FX process and what strategies you need to adopt. I particularly liked watching their traders actually making live trades and talking to the guys about their trading methods. Check 'em out.
Hallo friend,
On the journey to profitability, it’s bound to happen
Actually, the sooner it happens, the better
[ The 5 Steps to becoming a trader @ Forex Factory ]
You see, the holy grail is not a method or system, it’s the mind(set)
The process to becoming profitable is actually one of the mind MELDING in order to produce a trader’s mindset
Stay with it; you’ll hate it MANY times, but keep coming back and don’t quit. Like the eyes adapting to moonlight on a dark night, eventually, you’ll start SEEING – patterns, behaviours, tracks printed by price — stuff that before was just clothed in a haze of dark mist…
All the best to you
Cheers!
That’s great to hear! I was going to recommend a review of the School of Pipsology to help you bounce back. Might I suggest practicing on a demo account first also?
Have you get your proper training on demo account? Before entering the real market I’ve driven my Hotforex demo hard, trying almost all strategies that traders there are talking around. I would advice you to try once more but with lower lot size (0.1 or 0.01), there will be less profits but more capability for heavy drawdowns.
Other members already gave you great advice so I will only add one…
Know yourself first. Failure to do this will keep you wandering the forex land forever. Literally. Some people came out of the rat race quicker than others because of this one fatal information. Let’s keep it short…
Questions you need to ask yourself are:
Why do you enter forex?
Regardless of the reason they can all be categorized into 2 major groups: those who need money and those who want money. The first group comprised of desperate people… remind yourself that this is a business and not a get-rich-quick path. Get a job or anything else that will give you money for your effort. If you are in the second group then you must work your way up the ladder (beware the slippery edges…)
What is your daily routine like?
Someone who works in the field will obviously have less time than someone who works in an office. This will determine what your trading strategy would look like. Scalping is a no-no if your job is physical. Intra-day might or might not be good depending on the methodology used. Generally, a trading strategy that uses H4 time frame upward is great for just every kind of people as it only require less time to monitor and much less stress too (forex is a stressful business so there’s no need to increase the stress level).
What is your risk appetite?
Remember that high risk high reward. Regardless of your trading strategy or risk to reward ratio the higher your risk is the higher the potential reward will be.
After knowing yourself the next step would be to seek the trading strategy that best suit you. This was mentioned several times in the previous posts. I just must remind you that the exact same trading strategy with exactly the same settings will yield different result for 2 traders. This is because each trader is different. Test and test and test. This is how you will find the trading strategy that will suit you. A trader might be profitable using a strategy that is referred to by someone else but he will make a lot more profit is he use the strategy that really suit him. There are 2 ways to achieve this:
Manually testing each trading strategy. This is really time consuming…some traders take years to find one and finally making it “easy” in this market.
Use a trading strategy that you think is good for you and after mastering that strategy adjust it. Tweak, tweak, tweak until it fits you perfectly. There is however, a danger in tweaking too much if you don’t really master the strategy because you might mistakenly mess the whole concept. “A little knowledge is a dangerous thing…”
When choosing a trading strategy you will find out that there are 3 things out there… high probability setup and high RR ratio setup. High probability requires more data, more waiting time, appear less on your chart but is more accurate. On the other hand high RR ratio requires less data, less waiting time, appear more frequently but is more prone to fakeys. And then there is another thing in between those two… this is something that can only be achieved when you already have lots of screen time and experience.
After knowing yourself and getting a trading strategy the last element is the market. Remember that the market is dynamic…it’s filled with millions of orders flying through the network and you can’t always beat them. There will be winning streak and there will be losing streak. When losing streak hit you don’t panic…stick to your gun. Every trading strategy will encounter something like this, the only thing to lessen the losing streak is by getting the experience (lessons) from every possible market condition. By the time you can’t find anything that can surprise you in the market you will realize that your winning streak is longer than before (and your losing steak lessen).
I’m not trading with millions or billions of dollars but I think these things that I shared will be valuable to someone new to this great business. And of course… these aren’t perfect.
regards,
Arnold.
