There are many different ways of trading the financial instrument in the world. If you look at the professional trader then you will notice that every single forex expert is trading the live assets based on their own trading strategy. But in order to develop your own trading strategy in the market, you need to have a very clear understanding of the market dynamics.
The forex experts in the Singaporean trading community is doing a great job in the financial industry since most of them are trading with the reputed brokers like Saxo after mastering the basic forex market skills. Unlike the novice traders, all of them have spent a good amount of time to educate themselves so that they can execute high-quality trades in the market. In order to become a profitable trader in the forex market, you need to have a solid trading strategy and follow perfect risk management factors. In this article, we will discuss the top three things that every trader should learn.
Figure: Trading Equities with SaxoTraderGo
Price action trading strategy
Though there are many different types of trading strategy in the exchange traded funds community but price action trading strategy is considered to be one of the most reliable trading systems in the world. Most of the novice traders in the forex market tends to trade the live assets with the indicator based trading system and thus they lose a huge amount of money. But if you truly want to become a profitable trader in the forex market then you need to learn the most reliable candlestick pattern in the forex market and trade them using proper risk management factors. If you are relatively new in the exchange traded funds community then you should learn the most reliable price action signals in the market and trade them in the higher time frame.
Multiple time frame analysis
Multiple time frame analysis is considered to be one of the most advanced form trading strategies in the financial world. Most of the professional traders in the forex market use the multiple time frame analysis to secure high-quality trades from lots of false signals. If you can truly master this art then you can easily filter the best trades in the market in the higher time frame. It’s true that doing the multiple time frame analysis in the very beginning will be a little bit difficult for you but once you master it you can easily trade the best possible trading signals in the market.
Different approach to risk management factors
The forex market is a huge market and it offers an extreme level of profit potential to the traders. If you look at the professional traders in the exchange traded funds community then you will notice that every single one of them have a unique approach in trading the live assets in the market. Statistics suggest that out of every 100 traders’ only 5 of them are making money consistently in this market. So who are these 5 percent people? The answer is simple. These 5 percent traders are the smart traders who trade the market with the extreme level of discipline. So make sure that you are not risking more than 2 percent of account capital in single trade.
Summary: There are many ways of trading the financial instrument in the world. If you truly want to become a professional trader in the financial market then you need to follow the above-mentioned tips in this article very strictly. Try to trade the key support and support and resistance level in the market using price action confirmation signal and never trade with the money that you can’t afford to lose.