NEVER Stop Practice Trading
It is a well known fact that if you take time away from your skill, it takes a bit of concentration and practice to get back on top of your game. Professional athletes have to work hard on their skills to get back to peak levels of performance after the off season. The same thing holds true for Forex traders. It may be different amounts of time and different levels of effort to get back into trading shape but it does take time and effort.
Learning doesn’t stop once trading with real money begins. In fact, it is the exact opposite; the learning curve actually accelerates. I know of many traders that will trade with a live and a demo account in tandem. They place the same trade on each account and find themselves trading the two accounts differently.
When the demo starts to make more money than their live account it is easy for them to see what they are doing different and correct the difference. The wise traders will learn from tandem trading and those traders that should not have started trading live are still wondering what is happening to them.
Other traders say “it is no fun to demo trade” and other traders say “I don’t learn when trading a demo account”. One suggestion is to trade with a mini account and only place micro mini lots i.e. 0.01 lots. This is trading with a penny. If they do lose 100 pips they have only lost one dollar. If this is what it takes, you still need to practice. Remember perfect practice makes perfect results. Another way to practice is to use the Jump Start trading strategy. Using the Jump Start strategy you will get in and out and not expose the trading account to much risk. Use the 5 and 15 minutes time frames, and signals to get in and out of the market. Using the smaller time frames over many currency pairs you will get a lot of practice in a short amount of time.
Practice, have fun, and trade well.
Tagged With
Comments
Leave a Reply
Social Links
