What are the top three pieces of advice you would give to a new trader just starting out in the market? And what resources do you recommend for learning more about trading and developing a solid trading plan? Thanks in advance
4 Likes
If you’re just starting out as a new trader, it can be overwhelming to know where to begin. Experienced traders often suggest three key pieces of advice. First, learn the basics of trading, including terminology, market hours, trading platforms, and financial instruments. There are many resources available, such as trading courses, books, and online forums, to help you gain a better understanding of the market. Second, develop a solid trading plan that outlines your goals, risk tolerance, trading strategy, and money management rules. This will help you stay focused and disciplined while trading. Finally, practice on a demo account to test your trading strategy and gain experience. Some popular resources for learning more about trading and developing a solid trading plan include Investopedia, Babypips, TradingView, StockCharts, and online trading communities. Don’t hesitate to seek out experienced traders or mentors for additional guidance and support as you embark on your trading journey.
Wish you a tremendous luck!
4 Likes
Avoid losing money by demo trading until you are competent and profitable. You will get there sooner if you avoid very short intra-day time-frame trades.
Always set a stop-loss.
Focus on set-ups for being long or being short, more than entry signals for going long or going short.
1 Like
1,. Realise that been continuously profitable is going to take time.Involving setbacks ect .
2, Take information from different sources, though you should find your own path what suits you best . meaning usually there no right or wrong way .
3, try and minimalise losses and be aggressive when opportunity arises.( Need experience )
1 Like
Don’t trade more and more because it will get your equity crashed gradually. Trade on demo account more and more to increase your efficiency.
1 Like
Welcoooome! 
Hmm. The main thing I would suggest is take your time and absorb as much knowledge as possible. 
I feel like a lot of newbies are so excited to get into live trading without first familiarizing themselves with the basics. 
2 Likes
That is a great piece of advice
3 Likes
No matter what your account size, trade micro-lots only. I suggest on a live account. Although I did trade on demo for 6 months before live trading myself. Demo helped to get familiar with indicators and trading styles. So it does have value. But it did not help me to be profitable in live trading.
I think I’d have been much further ahead if I just started trading live from the start with 1 micro-lot trades. Even if you are winning or losing pennies per trade, its great experience with very little pain.
Its a race to find what trading style and strategy you prefer. One day, you will think you’ve found the one to settle on. Three days later, you’ll change your mind and decide on a different one. A year later you will have forgotten you used either of those strategies when you were a newbie.
Lessons learned by live trading each count as 5 lessons learned instead of them only counting as 1 in demo.
I’m no great trader. Hopefully somewhere just above competent. But that’s what I learned along the way.
this is a very common mistake that beginners do always , but practically when they trade in practically fall a great trouble and lost most equity from their live trading account.
1 Like
some mistakes are very common and beginner’s do again and again due to emotional activates.
Hi @Jenirogan
Welcome to Babypips!
1. Free Education
Thinking about the four stages of competence when you start out on your trading journey, at the beginning you are at the level of unconscious incompetence. You simply don’t know what you don’t know about profitable trading.
So you need a mental map of the terrain ahead of you. The best way to achieve this is to start out with some free education. The Babypips School of Pipsology is ideal for this.
Completing the course will not only help you understand the principles of profitable trading, it will also help build your level of focus and self-discipline, qualities that are essential to profitable trading.
2. Free Experience
You can learn a lot by reading and studying abstract concepts but nothing makes up for actual experience. You can get free experience from trading a demo account. As your trading plan starts taking shape and becomes more substantial, try it out on a demo account.
People have different opinions about the value of demo trading but, ultimately, it’s free experience and as a new trader you need as much experience as you can get.
3. Free Feedback
Feedback is essential when it comes to learning new skills, especially a skill like profitable trading. Becoming part of a community like Babypips is free and a great way to procure constructive feedback.
Don’t be afraid to put your ideas, thoughts and opinions out there and ask for feedback. The feedback you get will vary in quality but you will soon enough be in a position to discern which of it adds value and which doesn’t.
So, in summary, I recommend keeping things free at the beginning of your trading journey. Don’t splash on expensive courses or waste capital trialling different strategies that may or may not work as well as you anticipate.
If you are going to spend money at the outset of your trading career, spend it on good quality books to further your trading education.
I hope this helps.
2 Likes
This forum can be a great source of knowledge for you. Feel free to ask any question here because you will find all types of traders available on this forum.
1 Like
You can raise any question through this forum and everyone is here to help you out.
1 Like
I ). have a plan
2). Set your daily goal and
3). set your daily lot size to trade so you don’t over leverage and loose your account before you start trading
Hey there! I’m new around here too! So, I was just introduced to this really cool thing called the “School of Pipsology” by BabyPips. I started studying it and I gotta say, it’s pretty awesome! You should totally give it a shot!
Thank you for a thorough explanation.
2 Likes
- Learn the basics.
- Start with a plan and stick to it. What are your goals? How much you are willing to risk? As well as your trading strategy and money management.
- Practice a demo account. Once you are confident enough, start with a small account and trade major currency pairs first.
I think there are a lot of sources out there to learn to trade such as online courses, Youtube videos, books, or articles.
My advice would be to educate themselves, develop a trading plan, and practice on demo. As for resources, there are many online courses, and forums available, including Investopedia, TradingView, Babypips and Forexfactory.
1 Like
Thanks man!
The first and second one are the most important things for being successful even in life.