How to become a professional Trader?
First we need to understand what Trader is?
In the financial market, Trader is an individual who makes purchases / sales of financial products such as forex pairs, securities, indices, gold, silver, cryptocurrency, etc. under nominal of myself or representing other organizations / individuals. When it comes to Trader, it is about short-term speculation and seeking profit through price difference, in contrast to the term Investor (investor) who is trading in a longer time frame .
1. Have a right mindset
When starting to become a Trader, traders will face many new factors of this profession. Trading in the financial market so far has never been an easy job. Some statistics show that the number of Traders failed in the financial market ranged from 85 - 95%, which is a relatively small success rate. Some of the right minds about being a Trader are:
Trading in the financial market is not a quick way to get rich. There is no method to ensure 100% victory when investing in financial markets.
In order to successfully trade, Trader must have a strict, specific trading plan, and especially must strictly follow the trading plan. Be patient because the success of a Trader will come for a long time
2. There is an effective trading system: Any Trader who trades on the financial market must have an effective trading system, proven over time. This trading system must help Trader identify some important elements of a trading plan, including
How to determine market trends to determine market status at the present time (uptrend, downtrend or moving sideways)
How to specify the market entry point
How to specify the stop loss of the order
How to specify the key-point of the order.
There is a trading system that helps Trader limit the impact of emotions on the transaction, ensuring the objectivity of the investment
3. There is a strict capital management rule
Investment in the financial market requires investment capital. Strict investment protection and management is a prerequisite for Trader's success. In its capital management rules, Trader needs to clearly identify some points
Order volume for each trading order on the market
Acceptance risk level of each transaction (consultants should only be 1-3%)
Risk level accepted for each trading day, every trading week, each month of transactions, ..
Above is the article: how to become a professional Trader ”hoping to bring you the most useful knowledge. Trader is a simple job. To become a professional trader and earn money from financial markets, especially electronic money, you need time and perseverance to learn more than knowledge and practice, even to consume money. Good luck.