The second point: make good use of stop loss orders to reduce risks. While speculating in foreign exchange, we should establish a tolerable loss range, make good use of stop-loss trading and avoid huge losses. The scope of loss should be set at 3%- 10% of the total account according to the funds in the account. When the loss amount has reached your tolerance limit, don't make excuses to try to put all your eggs in one basket and close the account immediately. In foreign exchange trading, stubbornness is a very terrible thing.
The third point: learn to implement the trading strategy thoroughly, and don't make excuses to overturn the original decision. The biggest achilles heel of foreign exchange speculation is when you start to find excuses not to accept the loss of liquidation, thinking that the market may turn around at once. Don't let the risk exceed the initially set tolerable range. Once the loss reaches the initial limit, don't hesitate to close the position immediately. The foreign exchange market is unpredictable. Now that you have incurred losses, don't let it expand.
The fourth point: record the factors that determine the transaction. It's best to record the factors that determine the transaction in detail every day to see if there are any event news or other reasons at that time, so that you can make a trading decision, analyze it after the transaction and record the profit and loss results. Learn the basics and go to the Global Gold Exchange to download the channel.
The fifth point: it is also the most basic and important principle of speculating in foreign exchange, operating with the trend, not against the trend. The lossy part shall be terminated as soon as possible; The profit part can be held as long as it can be held. Another important rule is not to let the loss happen in the original profit position. In the face of the sudden reversal of the market, don't close the position without profit, and don't let the originally profitable position turn into a loss.