Develop a basic trading strategy
Have you already set up a trading account, gotten a broker, and made your first few trades? Are you ready to develop a trading strategy now? If you are, this series is for you! In the following articles, we will discuss terms important to market strategy, some common trade strategies, and how to use them.
How to create your trading plan – A trading plan is what guides your day-to-day trading actions. Even before developing your own strategy, a trading plan reduces impulsiveness by creating a set of well-researched and well thought-out instructions.
Long and short trades – Learning what long and short trades are is important to developing your trading strategy. Although they are two very different strategies, they often are used together for trading success.
7 Tips from pro traders: How not to blow your account – In trading, losses are inevitable. However, managing your losses correctly is important so that you don’t blow your account and have to leave the market.
How to use candlestick charts – Candlestick charts are one of the most ubiquitous images of trading. They’re the most common way for traders to get data on market movements, both in real time and for historical data.
What are pips, ticks, and points in trading? – These are three terms you’ve probably heard. They refer to changes in price, but have very units, so it’s important to know what they mean.
Limit orders: The small change that can make a big difference – Limit orders are very important in protecting traders from sudden fluctuations in prices as they’re trying to buy and sell.
Vocab: Stop loss, profit target, and entry price – These are three concepts that are very important for any trader. But it’s not just important to understand what they mean, but also how to use them.
The basic guide to setting your stop-losses – Now that you know what a stop loss is, you have to learn how to set them. Although BetterTrader’s Trade Ideas automatically generate them, it’s best to know how to set a stop loss by hand, too.
Risk vs. reward- It’s not all about winning – Sometimes people think that the key to success is to win as many trades as possible. However, it’s actually more important to focus on minimizing losses when when they happen, rather than focusing on losing as few times as possible.
How to calculate position size based on stop loss – Choosing the right position size is important to make sure you’re not risking too much on any one trade. A stop loss is a good form of risk assessment and management, so it’s a good tool to use to decide a position size.
6 Steps to minimizing losses and maximizing profits – Being profitable depends on several things. This articles discusses five ways to increase profitability, primarily by focusing on decreasing losses.
What do the terms ‘bid’ and ‘ask’ mean in trading? – Bid and ask refer to prices at which market participants are willing to buy and sell assets. They are often used together when referring to the bid-ask spread.
95% Of Traders Are Losing Money? Do You Have The Edge To stay ahead
This article series is a work in progress. Please check back soon for more articles! -The team at BetterTrader.co
