4 Simple Techniques to Win Trades

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Everyone wants to win trades, but you’ll inevitably have some losing trades on regular basis. In other words, no matter how hard you try, losing trades will be a part of your trading career. Just have a look at the institutional Singaporean traders. They’re facing losing trades on regular basis, but due to a smart risk management plan, they’re able to make a profit regardless of the conditions of the market.

Do they have a secret to their success? Actually, they’re just following a simple strategy and trading the market with extreme discipline. There are many ways to increase your success, and by following some of these methods, you can dramatically improve your trading performance. Let’s learn some of them.

When you talk about harmonic pattern, new traders might nervous, but due to the recent advancement in technology, things have become much easier. If you do some research, you’ll find many amazing harmonic indicators. Simply by installing the indicators in your trading platform, you’ill be ready to trade the market.

This system is a little bit more advanced technique, but if you can incorporate price action signal, you can easily change your trading career. Some traders often use the most reliable pattern in the lower time frame. In a lower time frame, you’ll have many trading opportunities, but considering the outcome of each trade you’re likely to get frustrated. You have to pick the daily time frame to ensure quality trade execution.

The Fibonacci trading system is extremely popular among advanced long-term traders. It allows them to trade the market with an extreme level of accuracy. As a Fibonacci trader, you’ll have to hold on to your position for a long period of time, so patience is a must. When you draw the key retracement level in your trading platform, make sure you’re using the daily or weekly time frame. Retracement levels drawn on the hourly time frame never give a perfect entry point to the traders.

Just like the harmonic pattern trading system, you should also use price action signals to trade the key retracement levels. Some people might get carried away by seeing the success rate of this strategy, but you should never risk a significant portion in any trade. Always follow the key rules of trade management to protect your investment.

Trading sessions can save a huge amount of time and money. Novice traders never give any importance to the different trading hours. Unlike them, institutional traders always trade specific currency pairs at a specific time. They never trade during the low level of market volatility. If you trade in the sleepy market, it will be extremely hard to secure big profits.

In fact, the highly trained traders only trade during the high impact news release. Since fundamental factors are the most powerful price driving catalyst in the market, a slight variation in the major economy causes huge price movements. Therefore, if you do the proper forecast, you can easily make a profit.

Knowing your mistakes is one of the best ways to improve your winning edge. Those who are new to the market never follow a trading journal, but experienced traders never execute any trades without writing down the details. They know this data will help them find their mistakes.

You might say a digital journal is the best way to track things, but in reality, the old fashioned way is the best. When you manually write down the details of each trade on paper, your brain will reassess the trading condition for a second time. This will help you stop over-trading the market. Most importantly, you’ll be able to trade with discipline. The process can seem extremely boring, but after a few weeks, you’ll understand its importance.