I was so happy when knowing that my uncle wanted to teach me about forex trading last week. To be honest, I want to learn forex trading in detail because I want to be a success forex trader. I know that it is not easy and I need a long process to realize it. That is why I need any helps from experts. I decide to ask for help from my uncle because he is an experienced trader. He started trading when he resigned from his office in 2010. He ever told me that he often visit some related forex sites to get related information and learn about this trade.
When he knew that I was keen on trading, he was happy and willing to teach me anytime. Anyway, there were many things that he shared to me. One of them is the answer of this question: when should you stop trading forex? This question is simple, but there are many traders who don’t know what the answer is exactly. Therefore, there are still many traders who deal with loss at this moment. Are you a trader? If you are, do you know what the answer is? If you don’t, find the answer below:
Get targeted profit
You might be curious about this point and want to ask WHY? Most traders think that stopping trading when getting targeted profit is a mistake because it means that they throw their opportunity to get huge profit. This makes them continue trading when getting profit without paying attention to market trend and exchange rate movement that can happen anytime. Imagine if they decide to open sell position and exchange rate goes down drastically, of course they will deal with huge loss.
Thus, when getting targeted profit, you should stop trading although you assume that you can get more profit. By doing this, you can enjoy profit and avoid the risks of getting stress. In other hand, if you really want to continue trading after getting targeted profit, you should use stop-loss feature so you can maintain your first profit.
Deal with loss
This sounds trivial, but you need to know that there are many traders continuing trading after dealing with loss. They want to revenge and get their initial capital back. Unfortunately, they continue dealing with loss so they don’t have money anymore. If you face this problem, you will deal with financial problem and stress at last. For this, control emotion when getting this problem. You must think positively and start trading another day. Make sure that desire and emotion don’t take over your mind so you don’t do overtrading which only makes you waste much money.
Hopefully, by reading this information, you can enjoy trading and minimize the risks of getting loss.