Step 5: Calculate your expectations.
Expectations is the formula used to determine how the system you're using is reliable or not. Looking for that all offerings are good businesses that benefit (gain) or loss (loss), then compare more profit or loss.
Take a look at your last 10 transactions. If you have not made a transaction, them you can see on a graph where the system detects that you enter and exit the market. Takes note of the amount of all transactions, profit and loss and can count on you ekspektasinya. Here is the formula:
E = [1 + (cached window/levelling)] x P - 1
where:
W = the average profit
L = average losses
P = percentage
Example:
If you do 10 transactions, including the benefit of the transaction and the accident four six, the percentage of your earnings is 6/10 or 60%. If the transaction in six average $2400, while earnings will be $2 400 / $6 = 400. If a loss of $1 200 and the average would be $1 200 / 4 = $300. These results apply to the formula and you get; E = [1 + (400/300)] x 0, 6-1 = 0.40 or 40%. Positive expectations 40% means that the system will generate 40 cents for each dollar in the long term.
Step 6: focus on the trade and learn to love small losses
After your first deposit to your trading account, apart from the thing to remember is the setorkan money at risk. As a result, the money will be capital money for living expenses or the money to pay bills, etc.. You should be able to assume that capital is the money that will probably break pass you. If you have this attitude psychologically prepare you to be able to accept a small loss, which is the key to manage their risks. With emphasis on trade and not accept a small loss, will not continue to calculate net you value so it will be much more successful.
Secondly, use only risk a maximum of 2% of the total funds in all transactions. In other words, if you have $10 000 on your trading account, your maximum loss is only $200. If you use a shorter period or reduce the laveragenya, with the risk of 2% it goes even further.
Step 7: Build the positive feedback.
A positive feedback created from the results of business operations in accordance with your plan. If you have a trading plan and execute it correctly, will form the pattern of positive feedback. Success breeds success that sooner or later will bring confidence - especially if it is for profit. Even when one is lost if you open business plan, it will build a positive feedback also.
Step 8: analyze the weekend.
It's a good thing if you want to prepare everything in advance. On weekends, when markets are closed, you can learn the charts weekly to find model or the news affecting your transaction. It is a reflection of their offerings in a week, and this will help you build a strategy for the next few weeks. When it is not in the pressure of the market, you may be able to design the best plan for your transaction.
If the market reaches point step where the open posts, you can learn to have patience to wait for that chance becomes much more. If you missed the opportunity to take a position, remember that there will always be another chance. If you have the patience and discipline, you will be able to become a good trader.
Step 9: create a note.
Make a record of the transaction is a tool for learning as a Forex trader. Among them are scoring charts and fundamental data to base their decision on the transaction. Select the input table that and had exit that point. Create a relevant description in the table. File that this entry would be useful for a little later. Also keep in mind the emotional reasons that you find when they Transact. Is it already panic time? Are you too greedy? Are you very anxious? Please note all your emotions at the time. When you manage to control the mental attitude and appropriate discipline trades trading system that you use, you will become a successful merchant.
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