The most important thing is to foreign investment flow, many investors are aware of homeopathy to profitability, momentum trading has always been the core methods of technical analysis. But the real advantage of the opportunity to be able to do its capability and profit from traders are few. ATFX small series will introduce the next grasp of foreign exchange to trade in a few key points.
First, do not "blindness" market trends. Advantage of the opportunity to do a single name suggests is to follow market trends go, the rising trend is bullish, bearish downtrend. But note that if the rise or fall has reached a high point to a lower point, the trend may deflect occur, then the transaction to be very careful that the novice reduce transaction. There is a saying: to understand a small trend make a little money, understand the trend of big money, do not understand the trend to lose money.
Second, do not blindly choose leveraged foreign exchange trading leverage effect that allows investors to buy and sell a small amount of money greater amount. But leverage is a two-way, once you deal with market contrast, losses will follow the leverage together. In addition, in the actual operation of momentum trading, leverage and margin rates are complementary, the greater the leverage, the smaller the footprint margin ratio, which means that you reduce the amount of investment, the investment threshold is lower, can be used for trading losses the more well-funded, but at the same time they need to deal with the actual situation funds in the account, the reasonable control positions.
Third, do not blind admission, even if they can correctly judge the trend, it does not necessarily mean that trading can be profitable. In currency trading, the real winners and losers are decided trading trading operations, that is, when admission, and when to leave. Traders careful not to arbitrarily adding on to do a single homeopathy, because the risk is too big, floating foreign exchange 100 points a day or so are very common. After doing a single trader their hearts must have an idea of the range, the price reached the heart must be open.
Fourth, the refusal defeated, trading mentality is not easy to grasp, which is the biggest obstacle to most traders do homeopathy for. Obviously the recent poor trading, but keep on fighting, frequent trading, trying to save the recent losses, but resulted in greater losses. In this regard, it is best limited number of transactions per day, per transaction limit positions, equity curve retraced to a certain percentage on the suspension of trading for some time, through a series of self-regulatory measures, practicing their own trading mentality, and to develop good trading habits.
Finally, ATFX Xiao Bian want to say, momentum trading requires solid theoretical and technical analysis system, traders need to continue to learn and progress in practice. In order to harvest this market, you need to have the ability and efforts will be far beyond your imagination, not that you'll win homeopathy. In addition to observing the underlying assets, the long and short-term market trends, followed by long-term trend direction when making short-term trading transactions, the success rate will be higher.
