Tag: risk management

With all this talk of sticking rigidly to a plan, you might be asking whether there are still potential benefits to deviating from your...

Why do you need a trading plan? One of the main benefits of having a trading plan is that it can make your life a...

While it's always a good idea to learn from other traders, it's equally important to be your own trader, rather than blindly following the...

As much as we would all like it to be possible for every trade to be a winner, it just isn't possible. Even the...

One of the most commonly-heard pieces of advice for novice traders is to work out a strategy using demo mode and/or backtesting and only...

As we covered in a previous Golden Rule, wishful thinking can be the undoing of a trader. One of the most common manifestations of...

Wishful thinking can be a great thing in the right context. However, for a forex trader, it's suicide. Yet, many traders indulge in this,...

There's a time and a place for going with your gut instinct. Deciding on whether to accept a marriage proposal is a good one....

Sticking to your strategy is one of the hardest things to do as a forex trader, especially when your emotions are running riot mid-trade....

One of the most common - and most frequently ignored - rules in trading is to never risk more than 2% of your capital...

Risk reversals reflect the expectation of the market in terms of the direction of an exchange rate. When used in the correct context, risk...

In the previous lesson, we talked about the importance of using stop losses, and explained the simplest method for selecting a stop loss level,...

It's a simple fact of life that the forex market is inherently unpredictable. No matter how much you research your trades, it's inevitable that,...

In the previous lesson, we showed you how to use a currency correlations table, and how to calculate these correlations yourself. Today, we're going...

In the previous lesson, we explained what currency correlations are, and why they are useful for forex traders. Today, we're going to show you...

If you've been following the forex market for a while, you'll probably have noticed certain trends emerging. For example, you may have noticed that...

In the final part of our series on scaling in and out of forex trades, we're going to take a look at a way...

In the previous lesson, we looked at how you can scale out of trades to lock in profits and reduce the risk attached to...