The Forex market is all about risks. By risks, we are not saying to cross the road blindly but only take intelligent steps. For example, never assume the future direction of pairs by simply staring at the chart. Use the formulas, incorporate tools, read the news, and analyze the past trends to depict an overall scenario. After spending a few months, it is time to undertake big decisions such as placing a big order. This is the most important transformation if the life of an investor as he cannot be playing in the same league forever. Sooner or later a person needs to start managing the substantial fund. Many professionals started with micro accounts but gradually developed into a giant investor. Today, they are not only managing individual balance but funds of wealthy customers as well. This day did not turn up magically. They have practiced for months, perfected their technique, know the volatilities, understand the correlations, and only then made a fortune that attracted potential clients.
If you are an intermediate investor and have successfully graduated from managing micro-level capital, this article is particularly for you. This will explain some helpful strategies that need to be followed to reduce the risks. It will also shed light on the adaptation of new environments, how to concentrate, read the charts clearly, and stay on track. Nervous breakdown is a common issue when traders deal with big investments initially. Tackling these complications is essential to continue consistently making a profit.
Keep calm, do not get panicked
Probably it is the hardest thing to do while dealing with a big amount of money. Traders easily get panicked and taking wrong decisions. They begin to observe imaginary things on the chart and take drastic strategies. Every moment the brain is passing down signals deposit is at stake. This subsequently produces anxiousness that distracts from the objectives. This results in poor performance and they begin to underestimate their capacities. They thought it was their mistake not knowing it was the mind that played the tricks. Consider this operation similar to previous trades and do not get hyped. Stick to the strategy and watch what happens at the end.
The top Singaporean traders at Saxo often take the high risk when they find the golden trade setup. Visit the site of Saxo read the post of the pro traders to get an idea about the risk factor. But remember, they never cross their risk tolerance level. By which risk, we are referring to a 4-5% risk. It’s more like they are equivalent risk of two trades in one trade. It’s not a bad idea for the skilled traders as it can significantly improve the win rate. Such an approach is often used in the recovery method. But when you do so, never stay attached to your emotions.
Do not expect similar results
It is not appropriate to have the same expectation when exploring a new level. Although the sector remains the same, the area has changed. Now the deposit is much higher and the dangers increased as well. Most beginners expect to make money like past performance when undertaking such transactions. Expect there will be some volatilities which may unstable the price but stick to the formula. The initial orders will be erratic but after a few weeks, you will understand the situation. Take time to acclimatize with the new environment.
Do not doubt if mistakes occur
This is another important strategy to win consistently. In a new environment, it is common to find some transactions did not go well. Never get sad if such incidents happen as investors gradually learn the process. Trading is a process where learning never ends. Identify every flaw, rectify, and improve the outcome. Despite having previous experience, the stakes are high. Never lower the self-confidence and believe the goal is within reach. Keep telling this to mind and analyze the trends more carefully to avoid errors. Soon this will become a consistent practice that will help to survive even with high deposit.