Advice on Long , Medium and Short term trading in FX question

Will it be advisable to trade in FX medium term ? I.E 2-3 days?

For example

Taking the risk of not closing a trade till it goes up in a few days (LONG) or goes down (SHORT)

I assume profits arent going to be that great but it could be of some help for someone starting out? Am I wrong to say that?

In my country (Singapore) , the min commission for a trade is $10 (USD$7.40)

I’m sure I might be missing out something about keeping a trade open for days.

Do give me your input :slight_smile:

Thank you

Write a plan first. Although we like to think each trade is unique and our individual input is vital, remember that prices either go up or they go down. So you can plan what you will do in each case before it happens.

Then try it in demo account.

Thanks for the advice Tommor

I have been using a demo account and I usually only close the deal when a profit is made. Nothing crazy, I try to place trades as realistically as possible with the capital I intend to start with. Monitoring the charts as I go. I usually close a trade after watching the charts for 30 mins - 1 hour.

So I’m just wondering what happens when I leave a trade open till the next day.

My first thought about your question would be your carried interest and other fees required by your broker. You need to find out first if there are those things that are going to be assessed after you close your trades- besides of course, your commission.

With that said, I leave my trades open as long as they are profitable, or my stop loss has not been hit. The one difference between us is your ability to hedge. You must do this if you are going to hold a position open during a weekend. Here in the land of the free, we are told by our government we are not allowed to do that. We are not allowed to protect ourselves form massive weekend gaps like you are. As a consequence, although I can have a position open overnight, holding over the weekend is suicide.

Again, you must hedge your positions if you are going to keep them open over a weekend.

Why close a trade when a profit is made? If trading is like your own business, then each trade is like a local branch of your company. Would you close a successful branch of your company just because its manager has been making a profit? No, you would close the losing branch.

Why not increase your enlarge your successful branches and give them more resources? i.e. increase your winning trades.