Trader’s way based on my experience
Do you remember your first acquaintance with the market? Those small details such asfrom which market did you start your way, on which platform and at which fix apiforex brokerdid you open an account, the feeling of closing the first profitable transaction and so on. If you had the strength to resist in the fight against the market, then all these details can be viewed as an effective training.
However, we know that not everyone who comes to the market remains on it until the end. Statistics do not lie, and here, in fact, almost 90% of all players who have ever started to conduct fix apitrading, remained either without an investment capital or with a small balance.
Therefore, there is no need to build the initial illusions that this market is very simple. This is the same as learning a different language: it is possible to learn it and freely speak, but for some reason I do not know many polyglots. Or it can be compared with programming – there are many online courses and books that can teach you write your own programs. But for some reason, competent IT professionals are not so many. The thing is that the fix api tradingas well as programming or learning another language needs a thorough approach and focus and sooner or later you will begin to understand what you are doing wrong and stop making basic mistakes.
In order you to avoid these mistakes, I decided to draw a chain of becoming a professional trader from a beginner, since I myself was such once.
- First acquaintance. For me, this stage was connected with acquainting with a brokerage company. When I began to disassemble in more details the mechanism of its functioning, so that the process was more understandable, I downloaded and installed the trading terminal. This is how it all began. The first terminal was fixapi MT4. Due to its simplicity, in a few days I understood what analysis tool should be applied, where the quotes window and so on. The problem was one – knowing where to find the button with the analysis does not mean to conduct an analysis. Therefore, I made about 90% per month on virtual money. Of course, I was not familiar with the concept of possible risks in trading, as well as their control. After all, what kind of psychology can there be in a demo account? That is why, the first placement of a small capital was unprofitable and I had to return to the demo account
- Unsuccessful formation of the first strategy. After the loss of capital, of course, the demo did not cause those emotions as before, and I wanted to get it back as soon as possible. But this time, I gave myself the task to start acting on the already created algorithms. From this,the build up a huge number of technical indicators and their search among themselves began. The test at this stage continued for more than six months, but I still had a slight outline of the strategy. But my mistake was that I took into account the fact of the movement, which my indicators confirmed to me instead of the trading signals. Thus, I entered the market after the formed movement, and this approach was doomed to another loss. I think it is after this stage that most people cease trading in the financial market.
- Formation of the second strategy, as well as the risk and money management (http://forexrobotshub.com/2017/11/08/risk-management/). I continued my journey and started again with where I began. However, I began to act correctly. After reading somebooks, I realized that I need rules of money management, as well as to directly choose the right entry moment. It took a few more months. I want to say there was a result, although far from the forecast.
- Realization of the internal process of the market or the first steps in the right direction. It is after you see a more or less stable result that you begin to understand how the market works and what basic rules are repeated from candle to candle. It was after reading a few wonderful books that I decided that it’s time to invest again.
- One trade price in full profitability. This time everything was wonderful, because the yield curve grew for several months and this made me happy. It seemed to me that I already conquered the market and I can do everything. However, self-confidence is a huge sin of the fix api trader in the market. In view of this, I went over my own risk threshold. I remember this deal on silver. It seems that the signals indicated to growth, as well as the fundamental data contributed to this, but the asset continued its downward trend, and my losses grew more and more. At a certain point, I closed all transactions and withdrew the funds. After this stage, I decided to move away from the market for a while, and to come back after the psychological stress is decreased.
- Optimization and automation of the trading strategy. I understood that my strategy is correct, and the last loss happened only because of me and my psychology. Therefore, I optimized my trading and added some scripts that do not allow me to enter into the described risk. Also, to enter the market more accurately, I have slightly automated my analysis elements to get trading signals based on the current data. Since then, I have been trading based on these rules for several years, and there were no changes in my strategy for this time.
- Trading diversification by connecting algorithmic strategies. When the world around you is full of automation, which every year is developing more and more, you begin to understand its advantages. I also decided to automate my algorithm creating a trading panel that greatly simplifies my analysis process. However, I also decided to place a part of the earned funds under a third-party algorithm. I took this decision in view of the fact that for diversification I need another and speculative technique in the form of a trading robot. I found such an algorithm and I am using it to this day http://forexzzz.com/product/forex-zzz-lock-arbitrage/. Fix api arbitration software allows you to control risks and increase the profitability. Well, most importantly, it trades without my participation.
That’s the way I made it. If you are just starting to trade in the market, try to start in the right direction and do not give up.