Sophia Todorova is the host of the live trading room for the London session. She has a background in teaching and psychology, and as such relishes the idea of assisting new traders on their journey to Forex trading success. Technical Analysis is her passion. The charts speak, and she listens.
Learning a trading survival skill…
The most profitable Forex trading strategy that I have at my disposal works like a charm on any account size. Regardless of whether you are a scalper or a swing trader, you will be able to benefit from it. This strategy is called ‘Stand Aside’. This trading strategy works best in messy, non-directional markets. Without meaning to sound flippant, I can say without a doubt, that it is the most absolute, surefire way to guarantee against losing money while trading. On a day like today, I tend to apply this strategy a lot, and I consider it an essential trading survival skill.
I have learned the hard way that trying to force a trade when there are no solid trade setups is very risky, and is the quickest way to lose an account. The charts appear to be filled with mixed signals at the moment. This is a great time to catch up on some reading you have been meaning to get done, or just about anything else, except trading. Still, if you have that itch, and you must trade, try doing it on a practice account instead of a live one. If you happen to find a good setup please trade in appropriate position sizes during this light liquidity period.
The markets offer plenty of trade opportunities most of the time, so it really is pointless trying to force-trade when the markets are resting. The most profitable trading strategy is: a good trader knows when to stand aside.