The Authority’ on Price Action Trading. In 2016, Nial won the Million Dollar Trader Competition. I know that most how much is a mini lot in forex you are coming into the Forex markets with relatively small trading accounts.
I also know that you want to grow your trading accounts while losing as little money as possible. While this is not an easy goal to achieve, it can be done if you are willing to be disciplined and change the way you think about trading the markets. Before we dive into the details of today’s lesson, it’s worth noting that you are not experiencing difficulty in your trading because you have a small trading account. To be honest with you, the size of your trading account has no bearing on whether or not you are a successful Forex trader. A successful Forex trader is not necessarily a full-time professional trader, this is a myth you need to forget about right now. You need to view success in the markets as a function of what is possible given the size of your trading account. 200 a month, more on this later.
100,000 account and lose all their money in a short period of time. 1,000 and parlay that small amount into a substantial trading account over time. The determining factor of success lies not in the size of the trader’s account but in their beliefs about what successful trading consists of and what they need to do to achieve it. It is not a profound statement to say that making money in the markets is a result of successfully trading them, but it’s worth examining this statement further to see just where most traders with small accounts go wrong. A trader needs to be good at trading a small account before they can move on to a larger account. I would even say that even if you do have a large sum of money to trade with, you should not fund your account with all of it until you have proved to yourself that you can make money on a smaller sum of money.
Your focus should not be on turning a small account into lots and lots of money extremely quickly, this is simply not possible if you are managing your risk properly. 1,000 a month’, or any number of other similar questions that just totally miss the point of what successful trading is all about. But, traders need to understand that in order to make consistent money in the markets they must first master a trading strategy like price action, build a trading plan around it, manage risk effectively and with discipline, and not stray from these primary tenants of successful trading, if you can do these things you will see your trading account will grow slow but consistently. If you had a 1 million dollar trading account and had one or two big winners per month, you would be making substantial money, and you would have an impressively consistent track record. You need to think about your current trading account as if it is a 1 million dollar account, because the principles that lead to consistently successful trading are the same. You are only feeling the emotion and urgency to trade now because your account is small and you want to make a lot of money really fast.