If you want to trade technical analysis it is the only way.
What would you do if you would want to read music scores?
You would take thousands of sheets with music scores and study them until you know how to read it.
For trading is the same, you know that you can earn by buying before price rises or selling before price descends.
Then you need to learn to identify patterns allowing you to do it.
I would say more, you need to study your charts until you find ONE pattern. Then you only need to find more if you are bored of it.
Otherwise what would you trade?
How would you set your stop loss level if your pattern is not telling you where you should enter to maximize your chances of profit and minimizing your likelihood of losing?
How would you plan your take profit levels or level?
How will you know where is going to end the current momentum and you should get out from your trade?
For all this you need to study support and resistance basically.
There is no fix or defined duration for which you should de demo trading. It takes normally about months to get the hang of things. You should atleast do it for two months to see if you have the potential to do real life trading. Just donāt rush things in it.
Demo trading should be continued until you get a stable profit in your trade. Stable profit for example throughout the year. It will be a mistake to test the system for six months, and then trade on a real account. The phase of the market will change, and most likely what gave a profit the first six months, in the second half of the year will bring losses.
Forex is not about making the money. Develop the passion with a clear mindset. Let it flow through you and you will see yourself floating in success. Itās not always a WIN WIN. In life we loose to learnā¦ Stay live and feel the psychology play through youā¦
Bro, back to demo, that is what I did, until i found my best indicator , read learn strategies, if you found something great, stick on it, then try to make a goal, after the learning, for example how can I make $1000 if I started in $100ā¦ make a list, I believe that you are a sentimental trader. Iāve been there, level upā¦ good luckā¦
Hello Jorge, I just want to chime in with my experience on my forex journey so far. I agree with the responses above to use a live micro account instead of a demo account. I did use a demo account for 2 months, and went on live trading June of this year with the smallest position size available, which was .01/micropip. It does help to feel a little sting when you lose, helps you work on the emotion aspect of trading. Also, in my experience, a trading journal is a MUST HAVE. It has helped me control my emotions a lot (compared to before when I started), which I think is the biggest issue for me. I have a section on my journal that shows how I opened, managed and closed my trades, and a separate section which shows how the trade should look like if I followed the strategy. In my experience, the more I messed with the execution of the strategy, the less the strategy worked.
For me, removing emotion is (and still working on it) the hardest aspect in trading. I would suggest reading āTrading in the zoneā by Mark Douglas if you are having difficulty on this department as well.
I didnāt do much of demo. Started almost straight off on a very small live account. This gives me the emotional tests which matters when it comes to making decisions especially those 50/50 trades.
For me, trading is ultimately about making money but I donāt think about that when Iām making decisions. I think about making the right decisions. I think about my entry and exit strategies. I ask if Iām buying low, selling high and if Iām buying high, whatās the probability of selling higher.
@jorgemontero, keep trading and keep improving because it is worth it.
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