Becoming a part-time Forex trader

Many people have a strong interest in the financial market. In fact, novice traders always think trading is the most profitable business in the world. To be honest, this statement is true to a certain extent. If you can learn the proper use of trading tools and trade the market with proper logic, you will never have to think about your financial condition.

In fact, you can easily make a profit even with a small trading account by using a high leverage trading account. Most people want to become a fulltime trader without even knowing the details of this market. They trade the market with emotions and gut feelings and blow up the trading account in a very short period of time. Instead of trying to become a fulltime trader, it’s better to consider trading as your part-time profession for the first few years. Let’s learn the proper way to become a successful part time trader.

Trade with the money that you can afford to lose

Trading is all about managing your risk factors. You can’t make any real progress unless you learn the details to trade the market. Try to create a simple trading strategy by using the demo account. Once you feel comfortable with your demo trading performance, switch to the real trading account. But make sure you trade with the money that you can afford to lose. If you trade the market with the last of your saving the chances are very high that you will end up losing a huge sum of money. As a full time you need to understand the fact, the outcome of any trade is completely random. You need to prepare yourself to lose some trades on a regular basis or else you will blow up the trading account within a very short period of time.

Trade with the high-end broker

If consider trading CFDs as your part-time profession, make sure you chose a broker like Saxo to ensure a premium trading environment. Never trade the market with the low-end broker since you will not be able to do the perfect market analysis. Most importantly, you need to trade the market with a robust trading platform like SaxoTraderGo where you can easily do the advance market analysis. Never think you can do the proper market analysis in the low-end broker. Most of the time the low-end trading platforms freeze in the event of high impact news. So, the chances are very high that you will lose a decent amount of money due to technical problems.

Set realistic goals

Making consistent profit in the retail trading industry is very easy. But you must set realistic goals. The new traders often try to make 100% profit from their trading account within a short period of time. But such an aggressive approach always results in heavy losses. You have to create a conservative trading strategy and trade the market with real goals. Being a part-time trader, you should never expect decent income from your trading profession for the first six months. Try to learn the proper way to protect your trading capital in the long run. Forget about short term gains and try to create a simple strategy which will help you to make a consistent profit.

Control your emotions

Being a part-time trader, you can’t afford to overtrade the market. Overtrading is one of the key reasons why people are losing money in the Forex market. You need to focus on the high-quality trade setups and execute the trade with decent logic. Never think you can change your life without knowing the proper market analysis. Once you learn the three forms of market analysis, trade the market with proper logic. Never execute any trade with aggression as it will always result in heavy losses. Try to minimize the risk exposure in every possible way to become a better trader. Keep learning new things about this market.