Investor Tips

  1. Accept the possibility of losing your money as an inevitable fact. Every beginner investor should be aware that no one is safe from losses in the currency market. The basic rule of online currency investing is to keep the profit above the losses.
  2. Bid only with a carefully thought up out plan. Before you start investing, you should determine how much of your own money you are willing to risk and what profit you expect. This will be your balance of risk and profit. Successful investors never enter investment operations without a clear goal.
  3. Do not be afraid of the foreign exchange market. Many novice investors are afraid of uncertainty and risks of the foreign exchange market. Those who can overcome this are rewarded with a substantial increase in investments.
  4. Take responsibility for your decisions. Successful investors will never disclaim personal responsibility. It is you who enter the market and it is you who assume all responsibility for the transactions, profitable or unprofitable.
  5. Do not let greed take over. When bidding begins successfully, investors often forget about the previously set goals, hoping for the same successful continuation. However, the market is very volatile and trends may quickly end. Once the target price is reached, immediately withdraw the profit or raise the stop-price to avoid losses.
  6. Effect of news on the investment operations. The increase in investment volume caused by a much-publicized event leads to the movement of prices, which is sufficient to ensure that investors use to their advantage short and rapid changes on the market. Inexperienced investors often aim for one investment transaction per day, which would make considerable profit.
  7. Do not have illusions. If an open position is getting worse, do not stay on the market in the hope of the trend turning in the direction that is favorable for you. Immediately leave the market.
  8. Remove emotions. The cause of losses often lies in excessive emotionality. Turn off emotions during transactions. Stick to your plan and do not forget to set stop loss orders.
  9. Trend is your friend. Invest along the direction of the trend and your profits will grow.

Last recommendations before starting:

  1. Do not hurry. Beginner investors often start several investment operations, and then notice that they are not able to monitor them all. You can make profit in Forex when the exchange rate is going up and when it is falling. Successful earning is only possible for one currency pair. Therefore, first focus on one currency pair and get to the others gradually.
  2. Remember the stop order. A frequent cause of losses is wrong money management. To prevent huge losses, you must use a stop order.
  3. Investment system. Every investor has a investment system, which they adjust to their liking. Some investors prefer a system of investing once a day, other are attracted by longer periods. The idea is stick to the original plan of investing. Several unsuccessful investment operations may not always indicate your system is unprofitable.
  4. Take you profit using orders. A common mistake of beginners is early closing of investment operations. Do not step away from your online forex investment plan. This will prevent you losing potential profit.
  5. Do not turn profitable investment operations into losses. Attentively monitor the movement of the market. As soon as positive values are achieved, set the stop order at the level of entrance to the market. This will protect your money. Next, move the stop order after the trend so that investment operations become profitable for you.
  6. Frequent entrances. Frequent entries into the market are not bad, but if you use them inaptly, you can quickly go bankrupt. The strategy is that the investor with a negative position value increases its size, assuming that the market will return to its former condition and all positions will be closed with a profit. However, if the exchange rate goes far away from the previous level, the losses will be huge, so you had better just buy and hold.
  7. Pre-planning. Do not enter the market only because prices are sharply rising or falling. Plan ahead for how you will bid. Have a clear goal of your entry, the exchange rate for profit taking order and the moment to stop.
  8. Do not lose the investments. You should know how to save the money you earned. Quickly close the losing positions and keep open the profitable ones.
  9. Momentum and trend. Beginner investors often do not realize that with the emergence of a new trend,  momentum is growing. New investors create a strong impulse as they join other investment operations on the market when the trend is growing. Invest when the momentum is in your favor. It will push your investment operations in the right direction and you will reach the point of profit taking even faster than you expected.
  10. Do not devote too much time to unprofitable investment operations. If you see that the opened position is loss-making, the best solution would be to close it and move on to another, thus minimizing your losses. The currency market is full of bargains, so there is no use wasting time on unprofitable investment operations.

By following the recommendations above, you will quickly see an improvement in your work on the foreign exchange market. Now you can safely start real investing.