How to Trade Safely?

In general experts recommend that small investors devote no more than a few percentage points of their overall portfolio to forex trading in order to limit any possible damage. What’s your way of safe trading?

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Actually It depends on your trading system. If you have a strong system that works for you and you have tested it for a long time and got better results, so you can risk more because you believe it will work.
But if there is uncertainty so it is better to risk no more than 10% of your account.
just my opinion, everyone has a different approach.
Thanks.

Which System would you recommend?

I recommend this system:

  1. Make pips
  2. Keep pips
  3. Repeat

:24:

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My safety net is to have two accounts. My main trading account and a play (micro) account. I only need to trade once a day to achieve my goals but also have an obsession (near addiction) to trade. Benifit to me well when the fundamentals and technical aspects of the market align then I see a few wins starting to happen in the play account. Thats my market signal to trade from my main account. Result my main a count grows and any damage the markets wish to inflect on me is confined to the play account

Thank you Saeed! but i was more wondering if i should choose Meta Trader or Sirix :wink:

You asked about systems and after the response you now are asking about platforms. There is a difference between those.

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honestly i stopped thinking about “whats safe and whats not” I just go with a state of mind that dictates (everything is a risk) and work on minimizing it. it might not be the best of ideas but it work for me, and makes losing a lot less stressful :slight_smile:

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Well forex trading is a bit risky as you cannot analyze things 100% correctly, you have to take risk.

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I Risk no more than 0.5% per 10 pips.
I use min stop size of 15 with 0.75% risk to a max size of 35 and 1.75% risk

I trade away from multi-day extremes with a small lot size using a small chart; when I hold a stop at a large chart’s extreme I can click to higher charts and my SL will always be in a good position & this helps me maximize my pip gains.

[U] After the initial entry with small size I will look to double my position size and halve my space[/U] (drop the stop to the 50% marker between my stop and the last entry price) [U]cutting my stop to a lower high pivot[/U]

Then I will increase my lot size once more by 50%, halving my space yet again to normalize risk, scalping towards my take profit.

Lastly I will re-position the stop back up at the large chart’s extreme and re-enter for my last lot size when/if price moves up to the box which is my profit from the last trade from the large chart’s extreme.

double, +50%, exit, re-position, repeat.
eventually I am at my maximum lot size riding a large chart.

Naturally I will check the buy/sell premiums to make sure that I am not paying interest hand over fist.

No more than two or three percent but with exp and consistent performance, the trader can afford to increase his risk…though what it should be capped at would vary from one trader to the next…

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You can choose to use 3, 4 or 5% a day and divide accordingly to your risk:reward ratios.

eg. Acc Balance 10k, Risk 4% = $400, Risk 1:Reward 3 = $400/(1+3) = $100 per trade, which means you can input 4 trades a day.

Out of 4 trades, you just need to win 1 (25%) to breakeven.

I normally have 1 or 2 trades doing daytrading, just like to standby more in case.

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Don’t panic. The market is volatile. Accept that. It will keep fluctuating. If the prices of your shares have plummeted, there is no reason to want to get rid of them in a hurry. Stay invested if nothing fundamental about your company has changed. For a day trader, you may want to hold onto a falling stock for a few days to see if rises.

This is my experience. I trade with $100 micro account. Open position buy or sell in EUR/USD pair. I only use 0.01 lot size. I do not set SL but set 30 points of profit. Without any analysis I am sure and this is my experience. I can close profit. Repeatedly I make it. And I am satisfy with this trick to have profit.

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Hello AccentsFX, I understand why some traders opt not to use a stop loss. It is simple sometimes, your trades close prematurely because of the stop loss, only for the trade to rebound back in your favor shortly. Also, if you have a bias on a particular trade, then you are unlikely to use SL. Nonetheless, my point is that sometimes playing the safety switch first could save you money.

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Dear traders I came across this online trading course: Advanced Traders Mindset course and I wanted to hear your opinion on whether it is worth taking. personally, my trading Achilles has nothing to do with technical ability or market awareness, it has always been about the mindset, and so I wanted to know if any one else might have the same problem, so perhaps they could advise on whether or not this course is worth taking. I believe having the right mindset can play a huge role in trading safely. Thank you and Happy Trading!

Yes in such cases you might feel like you can earn more but there are instances where you save a lot of money just by using a stop loss its very necessary for the new traders.

At first we should select secure forex trading sites from online. By using these sites traffic and user reviews, we can understand the range of this trading site. Anyhow, you must properly invest cash in trustworthy forex fund management site. Otherwise, you may get some loss from this trading.

That’s great experience guys, just keep on your ways and your manner gain profit. it can make you success in this challenging business.

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This past week either you changed it up and went long or you got a margin call.

For those that think they do not have a stop loss on every trade, you more certainly do, your broker’s margin call is your stop loss.