So trading (in a trading market) seems like a great way to make money. But many who have gone before you will be left with less money and more knowledge, while never reaching their full potential. Most people who fail have one thing in common: they fail to master the basic skills needed to control the opportunities. Therefore, it is important that you take enough time to learn these skills. And before you know it, you’ll be making a lot of profit in the short term! So learn to act in the markets with skills and authority, based on the following four basic concepts:
#1 Know yourself
Take a good look at your relationship with money. Do you see life as a struggle, and does it take a lot of effort to earn every single penny? Do you believe that your personal appeal will generate wealth in the marketplace just as easily as in other aspects of your life?
Even more confronting: have you regularly lost money through other activities, and do you hope the market will tackle you more with silk gloves? Whatever you believe, the market is likely to amplify this belief through profits and losses. Hard work and charisma both yield financial success, but losers in other areas of life are also likely to turn out to be losers in trade. But rest assured: learn about the relationship between money and self-worth. And don’t take the next step until you’ve got your head right. Source: www.commoditytradealert.com
#2 Provide knowledge
Read as many books as possible about trading and the market, and browse the web for tutorials. trade6But don’t focus too much on one side of the trade. Instead, study everything that has to do with the market, including ideas and concepts that don’t even seem relevant at the time. Your broad and detailed market background will come in handy again and again. Make monitoring the market and trade a permanent part of your activities. Get up early and read about price changes on (foreign) markets, check the websites. Make sure you keep busy with the market.
#3 Learn how to analyze
Also study the basis of technical analysis, and look at price table after price table, in all kinds of timeframes. Maybe you think fundamental analysis is more profitable because it tracks growth curves and revenue streams. But traders swear by price actions that are sharply shaped by underlying fundamentals. So just read those spreadsheets of your company, this offers a trading advantage over people who ignore them. Check out the following website to discover options in countries with a few brokers in Chile at C-TradeAlert.CL
#4 Learn to predict
Your experience with charts and technical analysis will take you into the magical world of price forecasting. Theoretically, effects can only increase or decrease, and can encourage long term trading or short sales. In reality, prices can still fluctuate a lot, which scares buyers and sellers.
Time becomes an important factor in this. The financial markets produce trends and trading ranges with geometric properties that induce independent price changes at short-term, long-term or interim intervals. This means that an index can simultaneously produce a long-term uptrend, an interim downtrend and a short-term trading range. But instead of making a difficult prediction, most trading opportunities show themselves through interactions between these time intervals. Buying stocks that have just dropped in price is a good example of this. Traders are throwing themselves into a strong uptrend when the product sells during a lower period of time.