Every trader makes their career successful in their own way and by getting plenty of practice and exposure in the markets with a little guidance along the way from those that have started at the bottom as a beginner and climbed their way to the top. A very successful trader, Paul Tudor Jones says:
“Risk control is the most important thing in trading. If you have a losing position that is making you uncomfortable, the solution is simple; get out because you can always get back in.”
I appreciate this quote because I think it is very common for humans to naturally overcomplicate things when the extra mess and work is not necessary.
Trading is always usually two steps forward, one step back. And being comfortable with that concept will save you from failing miserably in the market and making yourself broke. With Paul Tudor Jones’ quote in mind, let's talk about how you can control risk. Having a stop loss order on your trades is one of the simplest ways you can assure yourself you are controlling your risk. Under normal market conditions it will help keep risk limited to a specific amount of capital. With the maximum risk known, you can then allow yourself to decide if the profit is worth the risk. Working under The Apiary Fund and learning all I know about trading from them, I have learned that utilizing the tools you get provided on your trading platform is going to help you maximize your profits. Placing stop loss orders on your trades is utilizing the tools that are available to you to help you perform better.
Bill Lipschutz said you can't be consistently winning and making profits if you’re betting or hoping to be right more than 50% of the time when trading, and should instead focus on trying to aim for being right 20-30% of the time. Hearing this statement, you might think to yourself, “how can I possibly make money if I’m only profitable 20-30% of the time and have this all be worth it?” I can tell you that as long as you have your winning trades bigger than losing trades, you will be successful in the Forex industry. Having a well prepared trading plan set in place is so important to your success, and you want to make sure you test this strategy out and make sure you’re able to stick to it when it matters the most! The Apiary Fund has access to a lot of resources and education when you invest into them teaching you what Forex is all about, and how you can be successful. They teach you all the parts that go into having a strategic plan when in the market and how to stick to it.