Is forex trading profitable?

Is forex trading profitable? The short answer is YES, Forex trading is profitable. Trading forex profitably takes time and education. You should come up with a winning strategy, stick to it in a disciplined manner. Moreover, you should maintain the right trading mindset and a bit of luck.

The forex market used to be very exclusive. The ability to trade forex was largely accessible to major banks, corporations, fund managers and high net worth individuals who typically dealt in millions of dollars. However, fortunately for smaller retail traders, the rise of online forex broking over the past decade means that virtually anyone with a relatively modern computer or mobile device and access to the internet can now open up an account with an online forex broker. To easily choose your strategies and indicators- use our special services, suggesting you big rentability.

Your Biggest Job As A Forex Trader

If you are risking too much per trade to withstand a string of losing trades, you will be out of trading faster than you imagined.

If you continue to move your stops around to avoid taking a loss, you will eventually lose your account.

Therefore, your broker will be happy because you are probably a retail trader and your broker banks your loss, but You won’t be.

Your second job as a trader is simple: Enter trading orders.

 You have made a trading plan complete with which setups to take, how you will exit, where you will take your loss.

Forex Day Trading Risk Management

Every successful forex day trader manages their risk; it is one of, if not the most, crucial elements of ongoing profitability.

First of all, you must keep your risk on each trade very small, and 1% or less is typical.3 That means that if you have a $3,000 account, you shouldn’t lose more than $30 on a single trade. That may seem small, but losses do add up, and even a good day-trading strategy will see strings of losses. Risk is managed using a stop-loss order, which will be discussed in the Scenario sections below.