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If you're new to trading or just started and maybe feeling lost after losses, you should definitely read this. This might help you. Don't forget to drop your views and like and share this post!
There are a few factors involved when you trade. We will talk about them one by one, and you should keep them in mind if you're a trader. First of all, there are different types of traders: swing traders, day traders, and those who trade on higher time frames, or long-term investors.
First of all, if you're a trader of any type, you should have your own rules and stick to them. Discipline and patience are among the most important aspects of trading. If you lack them, you will end up in loss even if your plan is working out properly, as psychology plays an important role in trading. Journaling yourself during trading is considered good, as analyzing yourself before analyzing the chart is always beneficial. If the charts are wrong, we check where it went wrong, but what happens if you're wrong and you don't correct yourself?
The next important thing a trader should keep in mind is the risk-reward ratio. It means how much money you are risking for what reward. This is the first thing I do after planning a trade. If you're following us, you should have seen us talking about the risk-reward ratio, as you should know your risk limits. If you don't plan the risk-reward ratio, you should definitely consider doing it, as it plays an important role in money and risk management.