The forex market is a super-competitive, fast-moving market that will eat you alive if you aren’t careful. Bid-ask spreads for many currency pairs are in the hundredths of a cent, so even minor trading errors can be quite costly when aggregated. These tips will help you avoid common pitfalls when trading on the Forex market.
Decide how much money to risk at once on the Forex. It is important not to overextend and end up spending too much without having a backup. Carefully plan out how much is safe to risk so that even a loss can quickly be made up. Start out with small investments instead of risking everything at once.
Start small when you enter the forex market. Big accounts do not necessarily bring you big profits. It is better to make conservative, small trades with a modest account than to risk large sums with an expensive high-dollar …