Is there a future in futures trading? Depending on how you look at it, the answer can be either yes or no. So what is the importance in going to a live futures trading seminar and other forums? There are a lot of mistakes a trader usually commits. The first of that you may say is mistaking a commodity into a profit gain that is actually nothing but a profit loss in the end. No. The most popular misjudgment to avoid for any broker is by turning the gain into a loss. You had your $1000 profit by now. You have doubled your capital. The most sensible thing to do is either to dissolve it so you will have your solid cash or you can double it by investing again.
In this dilemma that a lot of traders lose all their chances of becoming rich for around 30% of the market trend tends to fluctuate. For those who didn't have any exit strategy the broker is left with either a price down or a zero earnings. So, again-what is the significance of going to a LIVE futures trading seminar? Seminars and conventions provide information to traders with not just the efficient strategy of earning profit but the possible way out too in case the market turns out bad. No other text could teach you that because at the end of the day, books are just meager theories and no practical application.
The second common mistake is believing that everything looks so easy and simple. Manuals are printed to invite every person to trade. There is nothing wrong with that, since you can actually make money from investing. However, what texts and manuals tend to disregard is to tell everybody that in each profit gain, there is also the big risk of profit loss. Many traders lose money not even finding out why. This is usually observed in a newbie in the business. Why?
Futures trading involves huge amount of money, thus the profit is also big. Almost every expert advises any trader especially in futures to implement a money management plan. Any broker who began even with paper trading knows how efficient a management plan is. It involves predicting when to buy a commodity, calculating how much money to risk and calculating when to cut losses. Especially with futures, one of the disadvantages here is the leverage (or risk, in simple terms). Big commodity is equal to high risk. In order to cover the losses many traders go for overtrade. Overtrading means buying too many commodities or buying a commodity with high leverage.
A lot of traders in fact profit from overtrading, but they instantly lose money too. Again, it is because purchasing in excess could never work. And again, a strong marketing strategy is the solution. Then the strong discipline to follow it. In every LIVE futures trading seminar you might go to, you may encounter many long-time traders who want to make it profitable next time. Learn from their errors and learn how to discipline yourself.
Article Source: http://EzineArticles.com/?expert=Cleo_E_Duke
In this dilemma that a lot of traders lose all their chances of becoming rich for around 30% of the market trend tends to fluctuate. For those who didn't have any exit strategy the broker is left with either a price down or a zero earnings. So, again-what is the significance of going to a LIVE futures trading seminar? Seminars and conventions provide information to traders with not just the efficient strategy of earning profit but the possible way out too in case the market turns out bad. No other text could teach you that because at the end of the day, books are just meager theories and no practical application.
The second common mistake is believing that everything looks so easy and simple. Manuals are printed to invite every person to trade. There is nothing wrong with that, since you can actually make money from investing. However, what texts and manuals tend to disregard is to tell everybody that in each profit gain, there is also the big risk of profit loss. Many traders lose money not even finding out why. This is usually observed in a newbie in the business. Why?
Futures trading involves huge amount of money, thus the profit is also big. Almost every expert advises any trader especially in futures to implement a money management plan. Any broker who began even with paper trading knows how efficient a management plan is. It involves predicting when to buy a commodity, calculating how much money to risk and calculating when to cut losses. Especially with futures, one of the disadvantages here is the leverage (or risk, in simple terms). Big commodity is equal to high risk. In order to cover the losses many traders go for overtrade. Overtrading means buying too many commodities or buying a commodity with high leverage.
A lot of traders in fact profit from overtrading, but they instantly lose money too. Again, it is because purchasing in excess could never work. And again, a strong marketing strategy is the solution. Then the strong discipline to follow it. In every LIVE futures trading seminar you might go to, you may encounter many long-time traders who want to make it profitable next time. Learn from their errors and learn how to discipline yourself.
Article Source: http://EzineArticles.com/?expert=Cleo_E_Duke
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