Three most common assumptions that always go wrong
Forex trading in India is gaining more and more popularity day by day. With the availability of online trading platforms, people find it a lucrative way of earning money. However, it is equally important that one knows rules of the game before making huge investments. Experienced FOREX traders say that setting expectation is the first and foremost step for budding traders. When one sets expectations right, he or she gets benchmarks and goals to work with a well-defined strategy. You determine the level of failure or success rightly and alter strategies to bring the business back on the track. According to experts, no online FOREX trading for beginners can teach the tricks of it. One has to learn it by practice and experience!
To earn superb profits by doing FOREX trading, people make certain assumptions based on the exposure and knowledge. Most of they do not come true. Here are three top assumptions that always go wrong:
The more trades you do, the higher is the learning curve
Practice makes a person perfect; the cliché is true. However, in the FOREX trading, big money is involved. Therefore, the mindset of overtrading may lead to huge losses. Statistics proves that overtrading is amongst the commonest reasons for failure of newbie traders. They get exposed to huge financial (and in turn emotional) risk unnecessarily.
Instead of quantity, novice traders should concentrate on the quality of trades. Picking up the best setup and making smart trading decisions would be an intelligent strategy. Since the experience of trading doesn’t come unless you complete the trade from start-to-finish, it is always better that burgeoning traders acquire theoretical knowledge first. Nowadays, it is possible to do it by
One can make fortune out of trading
One can do it, but not in the first two years of trading at least. It takes the time to reap profits from FOREX trading. Having said it, you can minimize the standing time by acquiring knowledge attending free online FOREX trading training courses that are incredibly popular nowadays.
Assessing the success on a daily basis is the right way
One should remember that FOREX trading is ultimately a business. There is no point in calculating daily profits and determining the health of your business. It is told very clearly during the foreign exchange currency trading online for beginners that one should have an assessment after six months or one year down the line.
Do not get trapped into these assumptions if you want to make a big name in FOREX trading.