Tips to Avoid Losses in Futures Market

One important element in the futures transaction is the psychology of trading. Ie, by building confidence from within your own that you can achieve success. How can by eliminating the negative information that potentially sabotaging your own trading decisions.

Commitment necessary to organize action in trading through preparation. So that you can always reactive face of the strengthening and weakening of the dynamics of the futures market.

Here are some aspects of discipline that should be explored in an effort to develop the character yourself. These values are valuable stock to plunge directly into the futures market, both in product Forex, Index and Commodity.

1. Study
Yes, learn and keep learning! This is the keyword for all the futures market investors. Most of beginner forex traders are reluctant to take the time to study the factors driving the currency. At the very least, a trader must have a willingness to learn fundamental analysis.

2. Avoid Overtrading

Transactions that are too aggressively, performed many times with a distance of Stop-Loss and Take-Profit targets that are too short would benefit only the broker alone. Apart from gains or losses that you received, the broker will still get a commission.

Take-Profit Set targets only a few dollars a day just to lock the profit in small quantities. Do not be forced to take a Take-Profit larger, it was a strategy leads to more harm and gambling.

3. Avoid Over Leveraged
Leverage can be likened to a double-edged sword. Certain broker can force you to use the High Leverage. It must be remembered that not all brokerage recommendations deserve to be obeyed.

Meaning: with high leverage, real estate income derived from the greater spread. Position-size will determine the amount of total income from the spread. So, the bigger positions with High Leveraged, the greater the spread income earned by the broker.

4. Not Rely On Other People
Trader true is a figure who could succeed because of business and its own merits. Every decision does not depend on others. Learn or ask for help to the trader's trading with more experience was good, but it would be wise if all decisions are still born out of ourselves.

5. Couples Watch Currency, Not One Currency
To be able to accurately predict the direction, you should not just look from one currency only. Same way with only half the transaction estimate the movement. To be effective, do also predict the future direction of the currency pair (pair). Because of the success of this transaction depends entirely on the second currency.

6. Preparation Before Trading

Put the horses in the form of trade policy and specific rules, such as: You are ready loss / profit on how many points? Amounted to 30, 50 or 70 points per enter the market? Or 30, 50 or 70 percent of the initial capital? Determine your attitude here! If you do not have specific policies and rules, then you really do not have the preparation in the trades.

We recommend that you do not tend to classify themselves on the statistical 95 percent loss-Trader, which in turn forces you to stop trading. So that left the arena with the blame instruments and market his business.

7. Trend Following
There are substantial differences between; 'buying at a low price', when the graph is the price continues to decline with a 'buy on the cheap'. Low prices will soon become a high price, when you make trades against the trend.

8. Poor Liquidation Transactions
When you're in the position of the transaction and the results are not good, you have to do is; 'pleasing' (liquidation) position with the appropriate levels. Do not drag on so risky position to add the damage.

Conversely if you have a good transaction and profit (a little), do not be too hasty to immediately liquidate positions or simply out of boredom waiting to get out of stress. It takes a little patience to arrive at a convincing profit. Get familiar with the stress, because stress is a natural process that must be passed by a trader.

9. Notice of Technical Condition
Determining whether the market trend has ended or find pri
in reference to: orkut - my profile (view on Google Sidewiki)