The learning cycle for a newbie trader

[TheSundanceKid]

Soul - Great Thread, Man

Sundance

[txtrader]

Originally Posted by Soul-Trader2004

Stage two seems to take forever doesnt it

The only advice i can tell anyone about stage two is to trade small.

My stage two cost me about £3000 - and that was on 10 pence a pip!

I found that my time trading demo was next to useless and in no way prepared me for trading so although demo trading is good for system testing its no use at all in training you to trade.

Open an oanda account with a small amount of capital, say $500 and trade at 5:1 maximum and pref lower until you show consistant profit - dont watch the money, watch the pips. Pips will take care of the money.

You'll be in stage two for ages and ages most likely, there are no shortcuts and no replacement for time.

One day stage 3 will happen - and it really does happen in just one day but you may not recognise it for a week.

Good luck on your journey

SoulTrader - is it just the psychology of using paper money verses the real thing that makes you say demo accounts don't really prepare you for trading? Just curious 'bout that one since my demos expiring and I'm gonna have to jump one way or the other. Thanks

And Bobnat - your scaffolding post was right on target -
Thanks

[RedDuke]

Soul Trader,

I will definitely start small. The way I look at it, if you can not make it on demo or mini account, you will not make on 100k account. They say, “Patience is a virtue”, and I kind of understand it right now.

Regards,
redduke

[Soul-Trader2004]

exactly tx trader - trading on demo does not cost you anything - and no matter what you do to convince yourself your mind knows the difference and acts accordingly.

only a real money account, no matter how small, will give you a true feeling of your abilities.

Demo ac is fine for testing strats - but you could well find that a strat that works for you on demo doesnt work in real money and the only reason for that is your head

hope this helps

[Baruch]

With Oanda you can trade only one dollar. Make it to two - before trading bigger.

[astrosmurf]

Originally Posted by Soul-Trader2004

You have realised in an instant that the trading game is about one thing - consistency of your 'edge' and your discipline to take all the trades no matter what.

If you don't take anything else away from this post, please take this snippet!
When I realised this, I realised how I could make money on the Forex.

[Soul-Trader2004]

i know what mine is - have you found yours yet?

another question, how long do you think it will be before you post a constructive comment on anything in any single one these forums?

[gopipgo]

hello all,

I guess i'm as new as they come. My first question has to do with cutting your loss. I've read much on this topic, that is knowing it is better to take a small loss rather than hanging on and praying while ending up taking a much larger loss. My question is, do you cut the loss once it has passed through the support levels? or is there some other technical aspect
oh yeah, any advice on who to trade with? (web site)
thanks