Trading the Financial Markets is a High Risk Strategy. Under normal circumstances, the probability of a winning trade would clearly be 50:50. However, by learning the art of reading the trading charts, we can use historic data and technical analysis, to increase the odds of placing winning trades in our favour, to maybe 60:40, 70:30 or even 80:20 or more. With a leveraged trading account, these winning trades can be very profitable, but losing trades will also need financial control too. For this reason, you will learn the importance of including a Stop Loss on all your trades. This will have the effect of minimising any losing trades to a manageable level.
DEVELOPING YOUR SKILLS
Developing trading skills will take time and effort and for this reason, we recommend that during your 30 Day Trial, you practice these methods and strategies on a Demo Account.
On a Demo Account, you will have £10,000 or €10,000 of Virtual Currency and a completely 100% Risk Free experience.
If during the 30 days, you have made the effort to develop your skills and your trading experience has been positive, then of course, you can upgrade your Demo Account to a LIVE Account at anytime, by uploading the necessary funds.
Below, is a chart showing examples of Risk Management.
Provided you restrict your Lot Sizes as shown below, this will help to manage the risk element and allow for a margin to cover any negative trades and trend reversals. Equally, you will learn about Trailing Stops and these have the effect of maximising your profits from any winning trades.
If you aim to grow your account by between 1% and 3% daily and do this consistently, then over a period of 12-18 months, you will see your trading account grow to at least 6 figures or more. Focusing on consistency and modest daily gains, will help create financial stability in your account and avoid the tendency to want to create substantial profit too quickly.