Thousands of traders are losing money in the market. The number is rising at an exponential rate since the hundreds of online brokers are offering premium services to the clients. The market is always attracting a large number of clients. People in the United Kingdom are biased about this profession as they know a high-end broker like Saxo can help them with a leverage trading account. But getting a leveraged account is not the start of cash flow. In fact, many traders have blown up the account and made their financial condition much worse. In order to become a skilled trader, you have to follow 4 critical rules. These are –
- Opening a trading account
- Taking a crash course
- Learning to analyze
- Trading the demo account
Opening a trading account
Opening the trading account is not a fancy task. But it plays a vital role in your success. If the trading account is opened with a low-end broker, you are never going to become a successful person at trading. Trading requires special tools and professional support from the brokers. If the broker is busy manipulating the price feed, you can’t trade the market. You might get scammed by trading with an unregulated broker. Learn how to find a good broker by reading a few articles and you will know why it is the most important part of trading.
You can also take professional help since the pro traders know a lot about the great brokers. They can even suggest a good broker to you, like Saxo. Once you have selected the broker, it’s time to move on to the next stage.
Taking a crash course
Taking a crash course is a must for absolute beginners. To get more info you can visit the Saxo broker website and see how they are trying to educate rookies. So, what will learn in the crash course? The crash course usually covers the basics and some of the advanced stuff. If you try to learn it all by yourself it might even take years. But the professional traders have a core module which they teach their students.
Some of the crash courses might be hugely expensive but it doesn’t mean they are the best. You should not spend a huge amount of money on a crash course since you can learn the details by taking some of the basic courses that come with a reasonable price tag.
Learning to analyze
After finishing your crash course, it’s time to analyze the historic price data. Spend a few months analyzing the historic price data since it can help you to know the perfect dynamics of the market. Find the reason why the market behaved in a particular way. It’s a test of your analytical skills. During this stage, you will have many problems but you can solve the problem by using the internet. Thousands of articles are there to answer the basic queries of retail traders. Once you become good at analyzing the basic details, you will have the confidence to trade in the demo account.
Trading the demo account
Trading the demo account is the most vital phase for new traders. It will give them the confidence to trade the real market. During the demo trading, try to know why you are losing most of the trades. In most cases, traders don’t give any importance to the demo account. But if you ignore the demo account, you will never become a confident trader. Try to come up with a unique method by which you can take some real trades in the market. Though it might seem very challenging, you don’t have anything to lose. Unless you are able to demo trade successfully for a few months, you should not think about investing real money. Test your skills and then become an active currency trader.