Trading on Forex can be a hobby for some people, a hobby, and for other serious occupations, an important business that brings profit. It is interesting to start working on the market, when it is not necessary to expect the profit from the realized transactions, and time, forces and money are spent as an advance. It's a pity, but not all people later achieve their goals in the market. Many have to accept the losses that have been gained as a result of market interaction. What makes people continue to make attempts to curb the market, achieve a stable inflow of funds?
First, trading often appears in a person in the form of capture, as something of interest, as the process itself. Secondly, the hope that is known to die the last. "Each speculator expects that in the near future he will have new perspectives in his work that will soon become a source of income for Forex. As long as a person has hope, he is strong The trader understands that some action has to be taken to achieve the goal: Hope to become successful in the foreign exchange market, pushing for new trading strategies, advisers, and so on.
Gradually, a person draws all of the medium of the currency market, he seeks not only to enjoy the outcome of trade, but also from the process itself and vice versa. The speculator, taken by his business, will have a much greater chance of success than the one who does everything "from under the stick." His free time is taken by some process, a person will spend on achieving their goals, with pleasure working in a chosen environment. Hobbies gradually grow into work, the work of a beloved person. The trading process is reduced not only to compulsory action for satisfaction but also to financial results.
A worse situation when a person wants to engage in trading only with the desire to earn money in this way, but the process is not interesting to him. In this case, most likely, success will be far from the speculator, relates to trade as a routine work. There will be no desire to learn something new, try yourself in different ways of trading. Involvement plays an important role when it comes to human performance, its efficiency. Only by understanding the situation to the end, the trader can fully understand everything that is happening in his work. Using a trading system does not mean a complete understanding of all its components. To those who are not interested in trading, they will try to limit themselves to knowledge, only by overlaying the parameter in order to identify their optimal values.
Use of monitoring to assess the quality of trade
An assessment of the quality of work in the foreign exchange market may be required in different situations. Firstly, to assess the professionalism of our own work, and secondly, if we plan to buy a trading system or adviser, and third, when the investor chooses a manager to invest in money. Each case occurs on the market rarely, which means that the ability to analyze the trading process will in any case be a useful skill for a participant in the financial market.
As a demonstration of trading results, traders often use trade terminal reports. This e-document is easy to do by logging in to your trading account. The report will show the profitability for the selected time period, the number of transactions, subscription values, and more. This way of evaluating performance is quite common, but there are some weak points in the reports. The fact is that they are easily corrected through the usual application - "Notepad".
Thus, any person, having created a work report with a trading terminal, can adjust it in a way that will arrange a greater degree. The danger of getting on a patched electronic document, formed at the terminal, is quite large. Many corrections can be detected in a detailed study of the report, comparing its value with the opening and closing of transactions with the actual prices of the terminal, but nevertheless, the deception can not be noticed anyway.
A more modern way to study the trading process is to monitor trade accounts. In this case, the data from the terminal is pumped to a special site, which turns into a yield curve, as well as in other statistical indicators, allowing a comprehensive study of trade. There will not be anything to fix or change, as the monitoring service downloads the data directly from the server of the brokerage company where the deposit was opened. The profitability curve and all other data are based solely on the values that were actually present during the process.
Monitoring will be useful not only to evaluate other people's trading, but also to help analyze their own work in the market. You can identify the weaknesses of the strategy, see the maximum size of the subsidence, evaluate the role played by this or that trading instrument. Useful can be the average values of profit, drags, time of the transaction, and so on. At the moment, there are various monitoring services, so that each trader can choose the most convenient and informative for himself.
Forex Long Term Trades
The so-called position trading is aimed at people who do not want to hurry with making decisions, who prefer to carefully study the market situation, forming a forecast for a long period of time ahead. Such work can not do without studying the fundamental factors affecting the world financial market. A person takes into account global trends, examines even those events that must occur in the future. Acting ahead, the speculator seeks to figure out what will happen to the financial market, taking into account those events that should occur.
If we take into account only the current market situation, then only mid-term plans can be built in the best case. To build a longer-term forecast, it's important to understand that even some news, such as unemployment in the US, Greece's lending to the European Union and so on, should appear in the near future. Such measures can not pass without consequences for the currency market. A trader, conducting an analysis of the situation, will try to predict possible solutions of the union, understand the degree of influence of this or that outcome of the vote on the Forex. Thus, a person tries to understand what exactly and to what extent will the market influence to take this data into account for its long-term trade.
If we talk about the excellent features of position trading from scalping, for example, then it will be obvious to account for various events that have not yet happened. In the case of short-term trade, a person will have to take into account only the current situation, and make adjustments to what happened on the market before. The longer-term forecast is planned, the greater the number of factors a person will have to take into account in his analysis of the market situation. Partly because of this, there is a high degree of activity in the study of short-term strategies.
Experienced speculators are often used for position trading, which are well-guided in the complex relationships of market events and phenomena. Having experience in the market, it is easier for traders to foresee further development of the situation, remembering how similar events have evolved before. Of course, this is a rude and simplified example of what's happening on the market, but it should be understood, long-term trading, really takes into account not only the events that have already happened but also future market changes. Traders who prefer to trade in the long run, in need necessarily include a comprehensive comprehensive analysis of factors that can affect Forex.