A middleman whose job is to execute buys and sells in the market for their clients (traders).They receive a commission/fee for matching buyers and sellers against each other.
Refers to the negative amount your trade is down. By subtracting your balance with your equity, you can see how much drawdown you are in. If your account balance is $100 and your equity is currently $80, you are in drawdown of – $20.
An increase to trade with a value far greater than the capital a trader has in their account. If your leverage is 1:50, that means if you have $1000 in your account, you’ll be able to trade as if you had $50,000 in your account ($1000 x $50,000). With greater leverage comes bigger gains AND bigger losses.
A number of currency units used to place a buy or sell position. View micro, mini, and standard lot. Also view contract size.
A trading platform that allows you to place trades with your broker and view the market.
Properly maintaining discipline within your trading and knowing how to manage your trades with little to no risk to your account overall.
BeginnerEarly Stages for Beginners8 Topics
Forex Terminology11 Topics
- Major and Minor Currency Pairs
- Basic Forex Terminology
- Pips & Ticks
- The Broker & The Spread
- What is a Lot?
- Stop Loss & Take Profit
- Margin & Leverage
- Retracement & Reversal
- When Can I Trade Forex? Sessions - Market Open and Close
- 3 Types of Analysis (Technical, Fundamental, Sentiment)
- 3 Ways a Market Can Go (Up, Down, Sideways)
Margin & Leverage2 Topics
Personal Psychology Questions2 Topics
Psychology for Beginners7 Topics
IntermediateIdentifying Scams2 Topics
Brokers for Beginners5 Topics
Technical Analysis13 Topics
- Types of Charts
- Understanding Japanese Candlesticks
- Candlestick Patterns For Beginners
- Single, Double & Triple Candlestick Patterns
- Support and Resistance
- Confluences w/ Candlesticks & Support & Resistance
- Counter Trend Trading/ Counter Trend Lines
- Moving Average
- Top-Down Analysis
- Consolidation Trading (Breakout, Retest, Continuation)
Market Structure5 Topics
CompletionRisk Management for Beginners8 Topics
Fundamental Analysis9 Topics
AdvancedUsing Indicators6 Topics
Technical Analysis (Part 2)8 Topics
SERIOUS Demo Trading
DD and RR
Demo trading, if done properly, can be very impactful to your trading journey once you switch to a live account. If it is misused, you’ll be filled with false hope and unrealistic expectations. It also can be the place where bad habits are formed.
Beginner traders open up their demo account with anything from $25k-100k. That’s the first mistake, due to the fact that you probably won’t be investing $25k to $100k when starting out, unless you’re already a millionaire. Since demo is risk and reward free, there’s no emotional attachment. I see so many people showing profits with $30k, and I know they’re already on google searching for mansions to buy. Trust me, it’s not that easy my friend. Not only do you have to have the funds to put into your account, you also have to have a strong psychology to be okay with drawdown, a strong trading plan, and proper risk management.
Using a demo account needs to be on par with how you will trade on your live account. It makes no sense to use high lot sizes if you’re not planning to fund your account with thousands of dollars. Make sure you’re using proper risk management and practicing the actual strategy you plan on using in your live account. Demo is meant to be used to hone in on your skills to prepare you for a live account if you ever decide to open one.
To open a demo account, you can head to whatever broker’s website that you plan on starting with and follow their instructions. Most have a demo account platform on their website whereas others allow you to download MetaTrader 4 on their mobile phone/laptop. After registering, you’ll then be directed to choose a broker and your leverage. Check out which broker best suits you by doing your research.