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Best advice I can give a new trader

  • #1
  • First Post: Aug 29, 2012 7:53am Aug 29, 2012 7:53am
Be patient with your trading. Trade as less as possible. Limit yourself to 1 or 2 good trades per day if you are a day trader.

Watch the price. It really does tell you where it's going. Plot pivot points on your charts and learn how to draw trend lines.

These are the basics but it works. Try to only capture 20-25 pips per trade.

Money management is just as vital as your system. In fact, it's probably more important.
  • #2
  • Aug 29, 2012 8:26am Aug 29, 2012 8:26am
Quoting Fxworks
Be patient with your trading. Trade as less as possible.
I never understand this kind of advice. If you have a profitable strategy and you know for a fact that your system produces a positive expectancy, then you should trade as much as you can. Increasing your trading frequency means your strategy will show results much earlier.

And even when your strategy is not profitable (you don't have an edge), you get benefited from increasing your trading frequency, because you will realize very soon that your strategy doesn't work.
  • #3
  • Aug 29, 2012 8:34am Aug 29, 2012 8:34am
I'm reaching out to novice forex traders. I believe that's what this section is for.

Chances are, new forex traders do not have a good system in place already. They should not jump in and out of trades in the early stages of learning how to be a good trader.

As for me, I find that being exposed to the market less frequently works wonders for my trading.

How many accounts have you blown up?
  • #4
  • Aug 29, 2012 8:51am Aug 29, 2012 8:51am
Quoting Fxworks
How many accounts have you blown up?
It's always nice to think that 'seasoned' traders think 'novice' traders need advice like this, even more when they didn't ask for it! And when you comment of course the childish question comes up 'how many account have you blown up?' Lame.

My advice for novice traders: find your own way! Practice, practice, practice and realize that 95% of all the information on this forum and on the internet is total bullshit. Especially the advice for novice traders posts!
Argue for your limitations, and sure enough, they're yours. Richard Bach
  • #5
  • Aug 29, 2012 9:02am Aug 29, 2012 9:02am
Quoting pipsel
It's always nice to think that 'seasoned' traders think 'novice' traders need advice like this, even more when they didn't ask for it! And when you comment of course the childish question comes up 'how many account have you blown up?' Lame.

My advice for novice traders: find your own way! Practice, practice, practice and realize that 95% of all the information on this forum and on the internet is total bullshit. Especially the advice for novice traders posts!
Then why are you here if 95% of it is bs. I'm willing to bet that the novice who overtrades will blow up a few accounts. That is a fact. Why shouldn't new traders be patient? My advice is what it is. It's advice. Take it or leave it.

Browse around this very forum. You'll find both new and veteran traders who are impatient. That's the reason why they lose most of the time. They don't wait for price to indicate where it is going.
  • #6
  • Aug 29, 2012 9:09am Aug 29, 2012 9:09am
Quoting pipsel
It's always nice to think that 'seasoned' traders think 'novice' traders need advice like this, even more when they didn't ask for it! And when you comment of course the childish question comes up 'how many account have you blown up?' Lame.

My advice for novice traders: find your own way! Practice, practice, practice and realize that 95% of all the information on this forum and on the internet is total bullshit. Especially the advice for novice traders posts!
Also, I don't think my post was directed at you are anyone else as an individual trader.

I understand how difficult it is trading in the early stages. I've seen traders rushing to fund accounts, rushing in and out of trades. Just developing tons of bad habits. That's why my advice is here.

I've been trading 7 years. I made mistakes in the beginning and if I can put some advice out there for someone who's possibly making the same mistakes I made then, I don't see any harm.
  • #7
  • Aug 29, 2012 9:25am Aug 29, 2012 9:25am
Quoting Fxworks
How many accounts have you blown up?
Hu? The answer would be zero. Anyway, I'm just saying we've all seen this "trade less-keep it simple-just catch a few pips" kind of advice many times before, and it's just so boring....

Quoting Fxworks
Try to only capture 20-25 pips per trade.
Really? This is your advice after seven years of trading experience? just picking some arbitrary number as a target, draw a few trend lines and "cool it down" by trading less frequently?

My advice for beginners: stop reading this and go buy yourself some books, I'm talking about real books by real authors who know what they are talking about.
  • #8
  • Aug 29, 2012 9:51am Aug 29, 2012 9:51am
Quoting calamardo
Hu? The answer would be zero. Anyway, I'm just saying we've all seen this "trade less-keep it simple-just catch a few pips" kind of advice many times before, and it's just so boring....



Really? This is your advice after seven years of trading experience? just picking some arbitrary number as a target, draw a few trend lines and "cool it down" by trading less frequently?

My advice for beginners: stop reading this and go buy yourself some books, I'm talking about real books by real authors who know what they are talking about.
I'm not here to debate with you guy. I won't entertain another response from you.

Perhaps you're in a very very very small percent of novice traders who aren't losing money or making any common mistakes that newbies make. I really don't know but if that is the case then my post was not directed towards you.

However, for those 95% who are losing trades consistently. My advice to you is to take your time. I don't see anything wrong with that.
  • #9
  • Aug 29, 2012 9:54am Aug 29, 2012 9:54am
Also, if the person responding to the thread really wants to help others then suggest some titles for novice traders to begin.

There's some FREE basic courses online for novice traders. All you have to do is google it.
  • #10
  • Edited 12:09pm Aug 29, 2012 12:04pm | Edited 12:09pm
...
Argue for your limitations, and sure enough, they're yours. Richard Bach
  • #11
  • Aug 29, 2012 3:43pm Aug 29, 2012 3:43pm
Quoting Fxworks
Be patient with your trading. Trade as less as possible. Limit yourself to 1 or 2 good trades per day if you are a day trader.

Watch the price. It really does tell you where it's going. Plot pivot points on your charts and learn how to draw trend lines.

These are the basics but it works. Try to only capture 20-25 pips per trade.

Money management is just as vital as your system. In fact, it's probably more important.
Most important thing is to know when to close a bad trade. A lot of people have a problem letting go and end up losing a lot more than they should have.
  • #12
  • Aug 29, 2012 4:55pm Aug 29, 2012 4:55pm
The boffins figured that whatever the P/L on an open trade, it's not likely to come back after some time. So a loss will get only bigger and a profit too.
Have a look at the MFE and MAE charts - I don't know how these are calculated but who cares anyway.
What MFE shows, if your trade is a winner after some time, you're likely to close it in profit. MAE shows if it's a loser, chances are, you're going to close it at a loss, no matter how long you keep it open. There will be exceptions as always but an average is just an average, a powerful thing.
So in any case, chances of "coming back" after some time are rather small. That's why it's a good idea to get rid of losers quickly.

http://www.fibonaccitrader.com/help4...AE/default.htm

Quoting HRC-Tony
Most important thing is to know when to close a bad trade. A lot of people have a problem letting go and end up losing a lot more than they should have.
forget about tomorrow, just steal away into the night
  • #13
  • Last Post: Oct 29, 2012 5:42am Oct 29, 2012 5:42am
Best advise is trade and learn, and never stop what ever happens
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