How do you put it all together? The easy answer is, of course, just by doing. Once you pick your broker, pick an asset and a trading strategy, and then start easing yourself into your new trading life, you just keep doing it. The repetition of trading, studying, and more trading on a daily basis will reaffirm your skills, help you to create solid practices, and start seeing the rewards of your efforts.
That’s a very prolonged way of saying that you need to keep practicing. Like anything in life that is worthwhile, you won’t have this mastered right away. You might even be really bad at it for a while. That’s okay. Trading profitably is tough, but with the right tools and the right mindset, you can get past the first stages and start making money. Practice is the only way to do this. Many brokers have demo trading accounts where you can use their software in real time with actual assets, but never risk any real money. This is a great tool to use, especially if you’ve never used trading software before. It teaches you how things can change very quickly, and it teaches you what to do about it. Some types of brokers only let you keep demo accounts open for a short while. Forex brokers usually only let you demo trade for two weeks, while binary options brokers vary, but most are at about three days. It’s not enough time to master a method, but it is more than enough to learn the software and figure out how to effectively manage the assets you will be working with. At the very least, it eliminates some of the trial and error that would naturally occur if you didn’t have a free money account to even out the bumps.
You also will need to create a schedule for yourself. Spending too much time doing this will lead to burnout. And if you keep going after that point, your results will be lackluster at best. In fact, you’ll probably lose all of the money that you had earned. One way to do this, besides not spending every waking hour obsessing about it, is to track your growth. It doesn’t matter how you do this as long as it’s something that works for you. A lot of newbies will use a trading journal. In the old days, back before everything was easier on the computer, a lot of people just used a pen and notepad next to their computer. Today, this is a big hassle simply because you’re already on your computer and most of these things are being tracked for you. You can use an app to track any notes or thoughts that you have about a trade and what factors made you consider the trade, and then, once you have enough data to be worthwhile, you can go back over it. Try to plot this out on a spreadsheet, if at all possible. This allows you to see what’s worked for you and what hasn’t. You will see just how far you’ve come since you started, and you will be able to visually identify which strategies are a waste of your resources.
Finally, be open to new ideas. You will never master this, no matter how good you get. There’s always something out there that will work a little bit better. Don’t spend all of your time looking for it, but be right to evaluate it if you find something that might be better. This goes for trading robots, signals services, and news feeds, too, in addition to actual trading strategies. There’s a lot of things out there that can help you, you just have to find them. Communicating with other traders, reading blogs, and just staying up with current trends will all get you there.