Forex Trading: Before examining the 7 rules of Forex Trading, approved by a number of successful operators full time, I decided to tell this story.
There was a lion, a donkey and a fox, who wanted to go out together to hunt rabbits. After a very productive day of hunting, the three sat around the pile of rabbits and the lion asked the Donkey, “Mr Donkey, can you divide the stack into 3 equal parts for us”? The donkey did, he formed three equal for each lots. Leon immediately began to roar and jumped on the donkey. Then she piled all the rabbits donkey and asked the Fox “Sir Fox, please divide the rabbits between us”? Fox pulled a rabbit skinny stack and put it in his own stack and then said, “Here you are You, Lord Leon, is your pile” pointing to the pile of rabbits. The Lion sesonrió and asked “Sir Fox, where he learned to divide so”? And Zorro him “Lord Donkey taught me” he replied.
The moral of the story is to learn from the mistakes of others. And now for the 7 rules. These are to benefit as mentioned before, and written by experienced operators successful.
Rule # 1 Never risk more than you can afford to lose, you lose money, it happens with all operators, make sure that does not sacrifice anything important in the process.
Rule # 2 Never risk more than 2% of your margin account by a simple operation. For mini account holders, 2% of $ 300 would be $ 6, which is suitable, you would need about $ 15 so you can do this by 5%. As soon as your account size is big enough, you can convert 2%.
Rule # 3 Always use a stop loss order. If you have not clarified where your stop loss order and limit should be when starting their operation, then you can not operate.
Rule # 4 Know your exit point before entering a trade.
Rule # 5 Opere First With Demo Account: Before opening a real account to be successful with paper trading where no real money is lost.
Rule # 6 Take a breather when their capital was depleted.
Rule # 7 Do not let your emotions be your guide: Keep calm and be quiet. Patience and clearheaded win the game.