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Forex Trading Tips To Become A Successful Trader From Forex Expert Carmelo Cerrelli

November 19, 2014
Over the years, forex trading has caused large losses to many inexperienced and undisciplined traders.
In order to avoid the disasters, here are few forex trading tips from forex expert Carmelo Cerrelli, that you can use to maximize your potential in the currency exchange market.
  • Know yourself and define your risk tolerance carefully. This means that you must carefully study and analyze your own financial goals in engaging forex trading.
  • You must plan your goals and stick to your plan. So once you know what you want from trading, you must systematically define a timeframe and a working plan for your trading career.
  • Choose your broker carefully. A fake or unreliable broker invalidates all the gains acquired through your hard work.
  • Pick your account type, and leverage ratio in accordance with your needs and expectations.
  • Begin with small sums, increase the size of your account through organic gains, not by greater deposits.
  • The world of currency trading is deep and complicated, due to the chaotic nature of the markets, which makes it hard to master all the different kinds of financial activity that goes on in this world, so it is a great idea to restrict our trading activity to a currency pair which we understand, and with which we are familiar.
  • Restrain your emotions as greed, excitement, panic or fear should have no place in traders’ calculations.
  • Its important that you take notes and study your success and failure. A successful trader will keep a diary, a journal of his trading activity where he carefully scrutinizes his mistakes and successes to find out what works and what does not. Also this is one of the most importance forex trading tips that you will get from a good mentor.
  • Don’t go against the markets, unless you have enough patience and financial resilience to stick to a long term plan.
  • Understand that forex is all about risk analysis and probability. There is no single method or style that will generate profits all the time. Always remember, that the key to success is positioning ourselves in such a way that the losses are harmless, while the profits are multiplied.
  • Share your experiences but follow your own judgment. Consider the opinions of others, but make your own choices. It is your money after all.
  • Study money management, as its about the minimization of losses, and maximization of profits.
  • Finally, don’t give up. As long as the learning process is painless, as long as the amounts that you risk do not derail your plans about the future and your life in general, the pains of the learning process will be harmless.
Conclusion
According to forex expert Carmelo Cerrelli, forex trading is relatively easy, but developing the skills and discipline necessary to trade currencies and show consistent profits over time can take a novice trader many years to accomplish, that is if they ever manage to succeed at all. So make sure you know these forex trading tips in order to become a successful trader.