How much should you risk per trade? Great question. Try to limit your risk to 2% per trade. But that might even be a little high. Especially if you’re a newbie forex trader. Here is an important illustration that will show you the difference between risking a small percentage of your capital per trade…
In the previous grade, popular chart indicators were discussed. We’ve already covered a lot of tools that can help you analyze potential trending and range-bound trade opportunities. Still doing great so far? Awesome! Let’s move on. Welcome to Grade 6! In this lesson, we’re going to streamline your use of these chart indicators. We want you…
So we know that risk management will make us money in the long run, but now we’d like to show you the other side of things. What would happen if you didn’t use risk management rules? Consider this example: Let’s say you have $100,000 and you lose $50,000. What percentage of your account have you lost? The…
It takes money to make money. You need trading capital. Everyone knows that, but how much does one need to get started in forex trading? The answer largely depends on how you are going to approach your new start-up business. First, consider how you are going to be educated. There are many different approaches…
Risk management is one of the most important topics you will ever read about trading. Why is it important? Well, we are in the business of making money, and in order to make money, we have to learn how to manage risk (potential losses). Ironically, this is one of the most overlooked areas in trading. Many…
Not all trading platforms are created equal. Heck, even MT4 platforms aren’t all the same! They come with different sets of indicators, depending on your broker. Some come with just the basics, while others come equipped with all sets of tools and advanced studies to help you with your trading decisions. In a way, that’s…
Now that you’ve had a little bit of practice with the indicator tools that the MT4 platform provides, it’s time for you to move on to the next stage of your MT4 training: how to install an expert advisor. An expert advisor, otherwise known in the forex world as an “EA,” is basically a program that you install…
Now that you’ve set up your MT4 account, it’s time to learn how to use it! We know, we know. With so many tabs, windows, and buttons, the MT4 platform can look a little bit intimidating if it’s your first time using it. But don’t worry, it won’t bite! Besides, we’ll be holding your hand…
Congratulations! If you’ve made your way to this lesson, it means that you’re now ready to open a demo or live MetaTrader 4 (MT4) trading account. And because BabyPips.com is the bee’s knees, we’re here to guide you through it. First, you should know that MetaTrader 4 (MT4) is simply a trading platform used by tons of traders and…
Your trade journal is a log of all trading activity. A trading journal provides any serious trader who wishes to make money a tool to help them evaluate themselves objectively. There are three elements for sustained successful trading: Having and executing a good trading PLAN. Having a good trading system as part of that plan. Review…