Over the period of ten years, I was lucky to get to know many traders (My students and fellow traders), from different background. It’s amazing, how common their approach towards trading is. I am not an outsider; I had the same approach when I started trading, I had no idea what the trading was about. It is somehow in people’s mind that trading is very easy and anyone can make fortune in this business. Yes, you know the truth now; it is so difficult to make consistent profit in this market, no matter what some people say. If you know it is difficult then your will approach would have been completely different, you will be spend time to learn the business and you will afraid to place your foot in to the market. It is important to be afraid and keep on learning before you put your hard earn money in trading.
To avoid bad trade, you must have specific trading rules that fit your mind set. You must have a strategy that will guide you to entry and exit. You need to allocate the capital that you willing to lose in case something goes wrong.
Try multi time frame approach:
1. A set up in daily
2. A set up in 4h
3. A set up in 1h
4. A set up in 30 min
Try to add a moving average to give you a direction
1. 20 EMA
2. 50 EMA
3. 50 SMA
Try trend line bounce and breakout.
Try Horizontal line bounce and breakout
Try triangle and flag pattern in your trading
Try to be a money manager before a trader
Try 4% risk in every trade never more than that
Give me a call if you still can make money in trading, I will help you out.