When you discover the richness of the trading universe and the opportunities for gain that leverage offers, it is tempting to enter the market without strategy and without having defined your objectives beforehand. To start forex trading in the best conditions, your entry to the market must be prepared.
Be clear with its motives: why start forex trading?
This first question is simple, so simple that one could be tempted to skip this step to quickly move orders. It’s a mistake: do not start too quickly and especially not without plan, without strategy, because you will regret it. To start forex trading without having a strategy is to play a game of chance. If you take the trouble to study the techniques of professional traders, it’s a real art (and a great way to make money). With getting started on bybit you can have the best deal now.
Ask yourself, why do you want to start trading? To make money, that we suspect. But how much can you expect to earn reasonably? How often do you want to withdraw your earnings? What is your objective: to live trading, to round off your end of the month? We are not in the simple saying of a wish, we must remain realistic depending on the capital you have and your experience in forex trading. Once you have answered this question, you will be able to move on to the next step: developing a winning trading strategy and consistent with your goals.
While you are about to start forex trading, you want to round off your end of the month by placing orders on CFDs, you have a capital of € 2,000. You do not have real trading experience yet, but you started testing some strategies on a demo account and everything worked well, you could even record some virtual winnings. You do not need the money dedicated to trading, you decide to withdraw money only when your capital has doubled. You cannot know when this goal will be achieved, but you know that safety takes precedence over performance for you. You will therefore choose a low leverage and prefer medium-term swing trading strategies.
Start forex trading with a defined strategy and stick to its goals
No trading without strategy is the rule. Just as you do not start a business without a business plan, just as you do not leave home without knowing why. You do not start any action without knowing where you want to go so why would trading be an exception?
Your strategy is the type of trading you want to put in place but also the way you will do it. For example, if you start scalping, you know that you have to stay in front of your screen to be responsive and dedicate a time each day to follow your orders. You must then choose which indicators you will use for your decision making.