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Are you a beginner trader and trying to figure out where to start? Then you’ve found the right place! Here we’ve hand-picked our top educational resources for new traders, including articles, courses and webinars, so just choose your preferred way to learn to get started! Not a beginner trader? Then choose our intermediate or advanced levels for custom-tailored content for you.
Take your trading to the next level
You are already familiar with the trading basics -
you can use our LANCASTER CHAMBER Web Trader, you
have a trading strategy, and your investments are
starting to pay off. But how can you take your
trading to the next level?
Here we’ve collected our best intermediate trading
education content for you, to help you make the leap
from beginner to advanced - almost entirely online,
and 100% free.
Not an intermediate trader? Then choose our beginner
or advanced levels for custom-tailored content for
you.
Advanced education for experienced traders
If you’re on this page, you’re already a profitable
trader. You have a strategy that works, you know how
to get the best out of your trading platform, and
your risk management sees your portfolio growing
steadily.
What’s next? That’s what this page covers. Including
topics such as trading automation and advanced
portfolio management, our advanced education topics
are designed to help you get the best possible
trading results.
Not an advanced trader? Then choose our beginner or
intermediate levels for custom-tailored content for
you.
Available on-demand, to fit your schedule
Learn online, when and where it suits you
100% free, so you have more money to trade
Intermediate Articles
Here are our top 6 articles for intermediate traders,
featuring the best tools and techniques to help you
optimise your trading strategy and manage your time more
effectively.
Looking for something else? Then view all articles.
Education
Top Reasons Why Forex Traders Fail and Lose Money
1- Why Forex Traders Lose Money | Top Reasons
Financial trading, including the currency markets, requires long and detailed planning on multiple levels. Trading cannot commence without a trader's understanding of the market basics, and ongoing analysis of the ever-changing market environment. For those interested in investing and trading, read through the suggestions below and you will learn how to avoid losing money in Forex trading.
2- Poor Risk Management
Improper risk management is a major reason
why Forex traders tend to lose money
quickly. It's not by chance that trading
platforms are equipped with automatic
take-profit and stop-loss mechanisms.
Mastering them will significantly improve a
trader's chances for success. Traders not
only need to know that these mechanisms
exist, but also how to implement them
properly in accordance with the market
volatility levels predicted for the period,
and for the duration of a trade.
Keep in mind that a 'stop-loss to low' could
liquidate what could have otherwise been a
profitable position. At the same time, a
'take-profit to high' might not be reached
due to a lack of volatility. Paying
attention to risk/reward ratios is also an
important part of good risk management.
3- Not Adapting to Market Conditions
Assuming that one proven trading strategy is
going to be enough to produce endless
winning trades is another reason why Forex
traders lose money. Markets are not static.
If they were, trading them would have been
impossible. Because the markets are
ever-changing, a trader has to develop an
ability to track down these changes and
adapt to any situation that may occur.
The good news is that these market changes
present not only new risks but also new
trading opportunities. A skillful trader
values changes, instead of fearing them.
Among other things, a trader needs to
familiarize themselves with tracking average
volatility following financial news releases
and being able to distinguish a trending
market from a ranging market.
Market volatility can have a major impact on
trading performance. Traders should know
that market volatility can spread across
hours, days, months, and even years. Many
trading strategies can be considered
volatility-dependent, with many producing
less effective results in periods of
unpredictability. So a trader must always
make sure that the strategy they use is
consistent with the volatility that exists
in the present market conditions.
Financial news releases are also important
to keep track of, even if a selected
strategy is not based on fundamentals.
Monetary policy decisions, such as a change
in interest rates, or even surprising
economic data concerning unemployment or
consumer confidence can shift market
sentiment within the trading community.
As the market reacts to these events,
there's an inevitable impact on supply and
demand for respective currencies. Lastly,
the inability to distinguish trending
markets from ranging markets often results
in traders applying the wrong trading tools
at the wrong time.
4- What is the Risk Return Ratio?
The Risk/Reward Ratio (or Risk Return Ratio/
RR) is simply a set measurement to help
traders plan how much profit will be made
should a trade progress as anticipated, or
how much will be lost in case it doesn't.
Consider this example. If your 'take-profit'
is set at 100 pips and your stop-loss is at
50 pips, the risk/reward ratio is 2:1. This
also means that you will break even at least
every one out of three trades, providing
that they are profitable. Traders should
always check these two variables in tandem
to ensure they fit with profit goals.
The best way to avoid risks completely in
Forex trading is to use a risk-free demo
trading account. With a demo account, you
can trade without putting your capital at
risk, while still using the latest real-time
trading information and analysis. It's the
best place for traders to learn how to
trade, and for advanced traders to practice
their new strategies. If you are interested
in giving it as go, click the banner below!
Articles
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