Forex Money Management

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Money management basic themes for beginners. Risk and reward, How to compute risk and reward, how to define a trade size based on this information. How to define the trading goals, and from there determine the needed risk to achieve these goals. We will deal with the term Ma drawdown and what it means in term of overall risk, and also explain how drawdown can be controlled and reduced.

How Much Money Should I Risk On Forex Trading?

Novice traders are often surprised to learn that when it comes to being profitable in the long run, controlling risk is as fundamental as...

When Professionals Run Into Problems With Trading, This Is What They...

If somebody told you at the beginning of a professional forex career that you will have to bust many accounts and work for a...

How to Save Money on Broker-Related Fees

When it comes to trading forex, from the outside it looks like it is a fantastic and quite straightforward way to make money. In...

Beware of the Liquidity Trap!

At present, triggering this wage-price spiral is not within the reach of the Central Banks. The Keynesians, who have not understood a word of...

How Much Should You Be Spending on Forex Trading?

There’s a lot to figure out once you make the decision to become a forex trader. What broker to use, when and how to...

What Are SWAPS in Forex?

I see many people, even those who already invest in the foreign exchange market, who don’t know what forex swap is. Also known as...

Effective Strategies For Financial Leverage That You Can Use Starting Today

We’ve already talked about leverage in other articles, and we’ve given a very precise explanation of what it is and how it works. Today...

Three Vitally Important Money-Management Tips

It simply isn't possible to become a successful Forex trading without implementing a solid money management plan. Fund management and market analysis are indeed...

The Top 5 Reasons Why Forex Traders Lose Money

It’s no secret that becoming a successful forex trader can be an uphill battle. After all, we are speaking about a field where reported numbers suggest that 70-90% of those who try fail. While the statistics can seem bleak, the truth is that anyone can profit as a forex trader, but most of those who give up do so because they are making one of these mistakes: 

Financial Leverage and Its Importance in Trading

I’m sure you’ve heard of financial leverage, but knowing how important this concept is in trading and what it implies. Let’s get on with...

Tips for Trading Forex with Larger Positions

Thinking of increasing your position sizes to bring in more profits? It’s true that this can help put more money in your pocket but...

The Ultimate Guide to Forex Swaps

The Forex Swap can represent (and most of the time does represent) a cost for the trader. As such, you must know what it...

Trader’s Guide to Choosing a Leverage Option

Leverage is one of the main benefits of Forex trading. Leverage is applied as borrowed funds from one’s brokerage, which allows one to increase their trading position. Your deposited amount (margin) would then be multiplied by the chosen leverage in order to make larger profits than what would originally be possible with one’s account balance.

Losing Money at the Beginning of your Forex Trading Career? Read...

If you've recently started trading forex and you've found yourself losing money, you're probably feeling discouraged and you might even feel like quitting. After...

Seven Trading Secrets that Most Successful Traders Won’t Share

1. Keep an Open Mind In the world of forex trading, nothing is ever guaranteed. Successful traders don't think in terms of absolutes or in...

Tips To Help You Trade Consistently & Profitably

Consistency, one of the main roads that you see thrown about as something that you want to be, you need to be consistent if...

Three Key Reasons for NOT Taking A Trade

We all love trading and having time to analyze the charts can become a little tiresome if you have been at it for hours...

Plan to Scalp Or Day Trade? Here’s What You Should Know…

The majority of new traders that are now starting out in trading are looking towards using either a scalping or day trading strategy. These sorts of strategies have been published a lot more than any others have and so people come in with the impression that they are the two go-to strategies to try out, after all, putting on multiple trades a day will increase your chances of winning rather than once every few days or one per week.

What Exactly are Leverage and Margin?

If you plan to trade Forex, it is vitally important that you fully understand what leverage and margin are, as well as what impact...

Reasons Why Your Trade Sizes Matter

When it comes to risk management, there are a number of different aspects that make it up, one of those things is the size...

Why Compounding is such a Powerful Tool

Novice traders put their focus on how much leverage brokers are offering as a crucial part of their decision process to choose the right brokerage account. But in fact, as

Things you should Know about Leverage, Drawdown and Risk

Novice traders usually prefer to focus on trade ideas and strategies, believing that the path to success is the knowledge about entries and exits. But in a trading environment with