How To Become A Trader - Page 2
Page 2 of 64 FirstFirst 1234561252 ... LastLast
Results 11 to 20 of 634

Thread: How To Become A Trader

  1. #1
    Trader
    Join Date
    Aug 2013
    Posts
    12,758
    Thumbs Up
    Received: 94
    Given: 1

    How To Become A Trader

    Hello guys! Thanks for coming to my thread!
    Did you ever think why that there are so many traders that keep on failing and loss a lot of money? very few traders can success in here despite everything they have been trying too. Have you ever imagine how would it be to become a boss on your own, success with your own trade, seeing profits rolling by sitting in front of you computer? Surely all traders wish to see all of that are lacking a lot of things in here and they did not realize it or even trying to change them!

    First of all, there are a lot of difference as for types in trading!


    Attachment 20277

    1. Day Trader

    Day trader are the trader that open and close the position within 1 day timeframe. It is almost correct that they will close the position before 24 hour timeframe in the market has passed.

    2. Carry trader


    This type of trader is the one that will hold a position for multiple days. Usually the carry trader might hold a position for 1 week and the longest of it might be 2 weeks. If you want to become a carry trader then you will also need to calculate the cost of carry or it might seem more familiar to think of it as swaps. Swaps will increase and decrease depending on the interest of the currency you are holding versus the one you are selling.

    3. Investor

    There are almost no difference between a trader with this type of trading versus the carry trader but the positions they hold might be unusually long. At least, each position will be hold for 1 - 3 months and there are several ones that might even hold it over 1 year if the carry cost is positive for them.

    Each type of trading style is good! But the real problem will be how you can make the successful trade and make the profit in here!
    What you need to do in here might just be:


    Attachment 20278

    1. Check your own condition HONESTLY.

    A success trade will need a lot of factors such as knowledge, skills, insights, informations and the commitment to your own style. We also need to check whether we are good in mathematical analysis, possess a full knowledge regarding financial markets especially the fundamental views and aware about the psychology of the market and ourselves.
    Actually, trading is not simple at all and they need a lot of things such as long working hours (since you need to keep watching every possible data, changes in politics, policy and the fundamentals of the market), commitment for your own work, little leave from the monitor, continuous learning (some traders will find this harsh since they are not getting any guidance from others while some might just pay for this), risk taking abilities (if you can't take the risk then you will not be able to trade at all).
    if you are unable to prepare yourselves to devote everything only to trade forex, give enough time everyday to learn, mentally prepared to take the risk and suffer loss then YOU CAN'T BE A TRADER.

    2. Prepare the money

    We can't trade if we don't have money in this business. If we want to trade then naturally we will need a certain some of money. We also need to learn that traders always need to prepare a sufficient ammount of money to be traded. No one ever can keep generating profits consistently. There will be loss and gain which is a part of trading. Entering this business with a small ammount of money is a certain way of failure already. Most traders might be making small money but 1 mistake might just make them end up bankrupt since they do not prepare enough money or the market moved with a big jump or gap suddenly and make them bankrupt such as the flash crashes. (You can check a sudden jump from GBP with 1.28 level in 5 sec to 1.14). If you are going pro then at least $100.000 will be needed for you to trade with 1 lot per trade. That means the normal standard risk management is to make your account to hold out for 10000 pips. And i believe most members here will just try 0.01 lot per trade which means they need at least $1000 at minimum. If you are trading bigger than that such as 0.05 lot per trade then you need at least $5000 for that. But surely, this will depend on the trading plan and the selection of the traders themselves but usually novice that try to use their own formula in here ends up losing everything.

    3. Understand the Market

    In order to trade, a trader will need a solid knowledge about how the market functions. The example might be if the data good then a pair will be bullish but sometimes even if the data is good, the pair will be bearish because it is not high enough as for what the market expected. What we can call solid knowledge is that you can become one of the market participants that know that high data is insufficient to make the pair move even higher at this point so it is time to close your trade. So, you need to understand the psychology of the market and what they are thinking and expecting. In order to do this, you will need a wide knowledge base no matter what!

    4. Understand the Products to be Traded.

    You will always be required to get a full understanding of what you will be trading in this business. Whether you want to choose Stocks, Forex, Options or even Commodities, you will require a full understand of the trading requirements and each characteristics of them. If you fail to comply to this, your own trade will be a gamble and fail in the end. Some of the things we might need to know such as the margin required, when the market will be closed, when the contract will be renewed or expired (such as OIL Trading) and the carry cost for each of them.

    5. Design a Trading Strategy

    Trading strategies in this business usually only got 2 difference. One is for making money for a longer time which take lesser risk and longer time which is very safe. Other one is gaining money over the short time which can make them fail anytime. It is important for a trader to possess at least 2 trading style since there is no way for us to keep making money from a single strategy in here. But surely, experience will tell the difference in here.

    6. Change the Plan for a Bigger Scale and More Depth

    A trading strategy that is simple will just make too many uncertainities and holes in our own trade later. We might need to know how we will use the strategy for the entry point and the exit point in here. We also need to control the capital we will be using in order to trade, which products we want to trade, how much money we will be risking in each trade and the number of trades we will set as a limit before we stop trading and wait for the result.

    7. Do a good check about our MONEY MANAGEMENT


    This is actually one of the most important thing a trader will need. Many traders can get a high accuracy rate in trading such as gaining money in 5 out of 8 trades. How about that 3 losses in here? If we can control a good money management, that 3 loss should be nothing and we are still in profit for overall of our trades. But the traders without them might loss more with that 3 losses than what they are gaining with 5 trades. That is a bad money management.

    8. Calculate the Swap or the Carry Cost Properly

    Some traders end up in loss even after the position is in profit because the swap is eating away all the profit. It will also be a factor we need to watch out if we want to become a good trader.

    9. Never Start Before Doing A Simulation!

    Many traders did not run a good test on what they will be doing in here and loss as the result. We need to test the strategy in here for a few times at least over 1-2 months to know the consistency of it. I believe 100 trades with the same condition will tell us the accuracy rate of the current strategy and we can run a good calculation of money management and prepare the sufficient money for it. It is the use of the Demo account to begin with in here anyway!

    10. Don't Put In All Your Eggs!


    Even if we got everything in our hands, never try to use all of our money in here! Sometimes we might just got a bad luck and loss everything too. The same as for the trade in here, if we put everything and loss everything then we might end out journey as a trader already. As long we possess a good strategy in here, we can keep getting small stacks of profit and that will be big in the future. The one that can't wait for that usually always destroy the whole trading account in the end with full losses!

    Never think that it is easy to become a trader!

    Not allowed!
    Last edited by sekiryutei; 07-07-2017 at 06:00 PM.

  2. #11
    Trader musiliu's Avatar
    Join Date
    Jan 2017
    Posts
    2,120
    Thumbs Up
    Received: 8
    Given: 3
    Quote Originally Posted by AmrHesham View Post
    [lang=ar]i know about being a day trader it is a lot of fun and pressure in the same time , you should be aware that if you want to be a day trader then you should be experienced and you should know about the most important economic data that released every day as they move the market and you can benefit from this[/lang]
    you are right, day trader is really very fun and exciting to be, but there is a lot of efforts and pressure or even stress in day trading, especially if you are in a region where you have to be day trading at night, when I tried day trading, I focused on Asia markets mainly because my strategy works well on the Asian currencies, but it is very stressful because I have to stay awake every night to trade

    Not allowed!

  3. #12
    Trader
    Join Date
    Aug 2017
    Posts
    245
    Thumbs Up
    Received: 0
    Given: 0
    There are some steps that need to be taken before someone can become trader and they are as follow:: A trader need to take time to acquire knowledge and skill before going into trading. Also the trader must be able to chose the kind of method he want to use to trade forex either long time method or short term method.Also there must be practice on Demo so those strategies could be master very well.After these things ,the trader will now open alive account and make deposit so he can put into use those things he has learnt .

    Not allowed!

  4. #13
    Trader Sixteen's Avatar
    Join Date
    Sep 2015
    Posts
    12,155
    Thumbs Up
    Received: 141
    Given: 68
    Wanting to become a trader, what you need first is the passion and zeal to become a trader, then you can start from the basic lessons of forex to understand what forex is all about and how you can trade them. You can as well develop into practicing with the demo account where you can develop a better skills and come up with a better strategy that will help you to make success. With this you will be on your way to become a full trader.

    Not allowed!

  5. #14
    Trader
    Join Date
    Aug 2017
    Posts
    100
    Thumbs Up
    Received: 0
    Given: 1
    i believe in a day trading if you want to be successful in forex trading market you must follow all these rules. it is a risky business so always start with a fresh mindset and must make your strategy by following money management do not take any big risk. first learn and then implement it on your trading. proper understand the news analysis and technical analysis to avoid margin call and loss in forex trading.

    Not allowed!

  6. #15
    Banned
    Join Date
    Nov 2013
    Posts
    14,748
    Thumbs Up
    Received: 106
    Given: 14
    Quote Originally Posted by musiliu View Post
    you are right, day trader is really very fun and exciting to be, but there is a lot of efforts and pressure or even stress in day trading, especially if you are in a region where you have to be day trading at night, when I tried day trading, I focused on Asia markets mainly because my strategy works well on the Asian currencies, but it is very stressful because I have to stay awake every night to trade
    I believe that almost all trader has the favourable time zone that favours their trading habits, except few that the time does not favours them. I mean the time the market will be very good in movements, many traders might be sleeping at that time because of their time zone, but mine is good and favourable, like other traders own too.

    Not allowed!

  7. #16
    Registered user
    Join Date
    Aug 2017
    Posts
    39
    Thumbs Up
    Received: 0
    Given: 0
    the trader should have a good plan that has a good strategy for trading that let him to know when to enter to trade and when to exit, and so this will make trading more simple and more easy, but this is not enough for making a successful trader, the trader also should have a good trading skills in analysis of the market as this will help him to know how to choose the good trading positions.

    Not allowed!

  8. #17
    Trader Silhouette's Avatar
    Join Date
    May 2016
    Posts
    2,506
    Thumbs Up
    Received: 40
    Given: 42
    I don't remember my first day when I was starting this business but all I understand now is being a forex trader is very difficult to do. It doesn't like any other business, forex trading has higher risk just to make money and the probabilities aren't stable because we must always make different trades and keep analyzing market to stay updated with ongoing movement otherwise we'll left behind and missed a lot of things.

    Not allowed!

  9. #18
    Trader
    Join Date
    Aug 2017
    Posts
    245
    Thumbs Up
    Received: 0
    Given: 0
    To become trader is simple but to become a successful trader is what is difficult because there is different between a trader and a successful trader. To become a trader , the person must learn how to analysis market , the methods to use . Also the trader must learn how to place and close order with the modification of order.But to become a successful trader is more than that . There are some market tips that traders need to attach to their trading such as emotional control. patience and application of money management . All these and more are needed before traders can become successful .

    Not allowed!

  10. #19
    Trader musiliu's Avatar
    Join Date
    Jan 2017
    Posts
    2,120
    Thumbs Up
    Received: 8
    Given: 3
    Quote Originally Posted by silverlady View Post
    I believe that almost all trader has the favourable time zone that favours their trading habits, except few that the time does not favours them. I mean the time the market will be very good in movements, many traders might be sleeping at that time because of their time zone, but mine is good and favourable, like other traders own too.
    mine is also very favourable for day trading, my timezone is GMT+1, you can trade European session and new York session during the day in my country, but I mainly focus of the Asia market, the Japanese Yen, Australia Dollar, and New Zealand dollar, and all this currency will begin their session when at around the time I am going to bed

    Not allowed!
    Always have realistic DREAMS!

  11. #20
    Banned
    Join Date
    Dec 2016
    Posts
    5,388
    Thumbs Up
    Received: 5
    Given: 19
    Quote Originally Posted by sekiryutei View Post
    2. Carry trader

    This type of trader is the one that will hold a position for multiple days. Usually the carry trader might hold a position for 1 week and the longest of it might be 2 weeks. If you want to become a carry trader then you will also need to calculate the cost of carry or it might seem more familiar to think of it as swaps. Swaps will increase and decrease depending on the interest of the currency you are holding versus the one you are selling.
    Well, I would like to make some correction about this and which is there is no amount of specific days you will have to wait, being a long term trader I have also learned that we can wait for more than a month, I do make use of the monthly time frame as I trade so I understand the market, if you are making use of the daily time frame, all you need to do is take the trade and allow the market do it's best.

    Not allowed!

Page 2 of 64 FirstFirst 1234561252 ... LastLast

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •