Dear Deriv Community,
Every trading journey is personal and some are admittedly more successful than others. Here are a few tips to trade:
Everyone wants to win, no one wants to lose. We need to know when to cut our losses.
it’s a bad idea to keep an unprofitable trade open and let it accumulate losses, which will also make it harder to gain any profit.
It’s important to have an exit strategy and follow it. deciding when to exit a trade is even more critical than deciding when to enter it. Your exit rule to take a profit or loss should be determined before you start trading.
It shouldn’t be some afterthought that you consider while your trade is running.
Diversify your portfolio. While you should diversify by trading on a variety of markets and assets, you can also add diversity to your strategy by trading on the different directions of price movements to lessen your risk.
Successful traders trade according to what they see, not what they think is going to happen. They depend on the numbers to tell them what is happening — if the price of an asset rises from 60 to 65 to 70, it is going up — and they trade accordingly.
Markets don’t usually perform as we would like them to. Whether it’s feeling unsure about your strategy or an attachment to your positions, always follow your trading strategy, and don’t trade emotionally.
Keep things simple. Deriv gives traders access to a variety of trading platforms and various financial markets. You don’t need to spend thousands of dollars on fancy software to become a successful trader.
When it comes to trading, we are dealing with unpredictable elements. What we know and what we can control should help us decide how much we can risk. Build a plan to manage your trade finances, and follow through with it.
These and more can be found in the ebook 7 Traits of Top Traders
Veteran trader and self-made millionaire Vince Stanzione, shares how successful traders plan their trading strategy and what you can learn from their examples.