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How to trade forex long term?

1 Trade for a right reason. Do you trade for excitement or due to boredom? These reasons are bad. The reason you would trade is to make money.
2 A broker that matches your needs. This one may take some experimentation and time. It doesn't mean that the job is over after you find the broker that meets your needs. I have rejected brokers in the past and I am always revisiting them to see if they now meet my requirements.
3 You should understand the risks of a position. This is important. I keep the understanding of my risk simple. I know that most of my positions want to risk 2% of my total account balance.
4 Be careful when selecting entries. I want to keep the entry as unambiguous as possible so I have predetermined entry rules because .
5 Mechanics trump everything. You should get to know the market you're trading. Try to become an expert. This will come with experience.
6 You should have a plan before trading.
7 You should have a well-defined exit strategy. If you do not have an exit strategy, how will you ever make money?
8 Do not put all your equity in one trade. As I mentioned inĀ  nr 3, I risk at most, 2% on one trade.

 


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