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Mistakes Beginner Traders Should Avoid in Forex

Playing forex sometimes seems easy. Not infrequently those who are new to forex already want to get into this investment business. Yes, logically it is very easy because forex is more about technical analysis. But this is not guesswork or guesswork. Forex is a real market that has a high risk behind promising the same profit.

Therefore, I want to share with you the experience of playing forex both from my own experience and the experience of other traders. Hopefully, with what I have said here, it can provide good benefits for all Indonesian traders, especially those who are still beginners.

Mistakes Beginner Traders Should Avoid in Forex

Too Little Study
When the desire to play forex must be done immediately, many novice traders start with little or no knowledge. Maybe because the demo account facility makes them confident to start trading immediately. Bottom line, don't start quickly, be patient and learn what you should be studying in depth.

Too soon to start
Many traders start too soon, usually because they have had success on a demo account. There's nothing wrong with starting too soon. However, a little experience may not be enough to become a successful trader.

Unreasonable analysis
It's like guessing, scalping. Forex is not a problem you believe in guesses because it's a real market. Maybe for beginners, they don't love money because they are still in the learning stage, what if later they have traded large amounts of money while trading experience is only based on unreasonable analysis.

Uncontrollable emotions
This is still a big problem for traders, especially those who are just starting out in the forex business. Emotions sometimes bring destruction in a short time, loss in just a matter of minutes. This is because emotions are out of control. You lose on a buy order and decide to open a new order to cover the loss on a long-losing buy order. It increases when other orders are also losing money, while profitable orders are only small and cannot cover losses from other orders. And, finally the cut loss occurs when your funds run out.

The solution to prevent some of the points above from happening to you

Keep learning
Forex trading is something that is easy to guess, because it is easily digested by logic. However, you need to know that forex is not something that is enduring, timeless like history lessons. There are no experts in this business because the market is always changing, even someone who is declared an expert is still learning every day.

Keep learning, take advantage of the demo account to test ideas, experiment about forex analysis. Fill your knowledge by constantly looking for news about the ins and outs of the market, the track record of a country's currency. You must have a lot of knowledge about global finance.

Monitor Market Development
Always read market developments such as financial and economic news in various countries. Forex is heavily influenced by financial news or natural disaster events in a country. By reading the news of the global economy or a country, knowledge about the market will continue to grow. You will easily analyze the development of the forex market later.