One of the 1st things I heard with Forex is that you shouldn't risk more then 2-5% of your total amount every time! If I will keep this rule attempt to learn from mistakes made, I ought to be able to perform well? Thanks!
One of the 1st things I heard with Forex is that you shouldn't risk more then 2-5% of your total amount every time! If I will keep this rule attempt to learn from mistakes made, I ought to be able to perform well? Thanks!
2 percent is a lot and will be possibly the biggest mistake new traders make. The complete first rule of investing is:'conserve my cash' never forget this one rule. It is better to use.5percent or less while studying.
2 percent is for when you know what you are doing and are doing it. And only on a trade your experience has led you to believe is a very large probability bet.
Great Trading
I thought about that issue for quite a while but did not find a response.
My attempts have been so far
a) It's due to the spread. 3 pips is a lot, if you simply go for 30 pips.
Most brokers live by the spread - so that there gotta be some cash paid.
B) Maybe, most folks close winnin' trades to premature and depart loosin' transactions
open for a long time. So they cut wins, because they're afraid it may turn
about and let looses run - in the expectation, they'll return.
Don't know, in case there are any other explanations.
Of course, you also can place things like to much religion, no cash managment etc..
Into account - but in the end it is the trades that count, and not why
why you combined them. There gotta be a logical reason people generally need to neglect.
ciao,
t.