A Guide to Being a Trader

 

We cannot hold a torch to light another’s path without brightening our own.”

 

Winpips’philosophy is to provide it’s clients with total transparency of what the financial markets are and what every trader, at some point or another, might face. Winpips sheds a light on the most glamorous, and at the same time, the most trickiest shadows trading brings with it.

  • Speculator V.S. Investors
    Speculators are those that take short term trades, while investors are long term ‘speculators’.
    The bottom line is that markets are unpredictable,  whether you are a speculator or an investor!! If you do not understand this – you are not ready to be a trader.
    Winpips Signals limits the unpredictable factor of the financial markets by providing its users with extensively calculated signals that limit the ‘surprises’ and allow a HIGH success rate.

  • KNOW-HOW
    Understanding the financial markets – macro/micro economics, what moves the markets, how technical and fundamental analysis works, chart reading, etc. are all important factors in trading.

    Winpips offers you trading signals based on years of experience and know-how of the financial markets paired with cutting-edge technology of finding unique arbitrage opportunities.
    Furthermore, we provide educational means to help you become a better trader!

  • The Importance of Money Management
    Money Management is the most important thing in trading. If you are unable to understand the seriousness of it, in the long-term you cannot win. Even if you have an impeccable indicator and follow all the trading rules to perfection, without proper money management you would get nowhere. Predetermine the money you are willing to risk for every trade so that any failure won’t affect you by losing the entire capital. 
    Winpips’ signals already calculate for each trade the right Risk-Reward ratio for the ultimate money management.

  • Confidence
    When you are confident about making money in the Forex market, and only after having acquired the necessary tools and knowledge, and after having proved yourself in micro lots, then you can increase the capital and the volume of your lot sizing which will eventually allow you to make more money. Winpips’ line of APPs provide you with signals that have an accuracy of 82.7%, that will give you that necessary confidence boost.

  • The Need for Patience & Discipline in Trading
    Trading the financial markets requires patience. You need to understand some of the very basic things which are absolutely necessary for the trading process. A loss is just a part of the trading process and it is not something that you can avoid.  A trader is a person married to both wins and losses. With an accuracy of 82.7%, Winpips’ signals will help you have a better trading experience by bettering your average success rate.

  • Fix Your Limits
    As a trader you need a lot of discipline to not make foolish mistakes caused by emotional trading. Be smart and start each trade by setting a certain percentage of your allocated money to trading as an “acceptable loss” in case the trade goes the other way. Work with Stops and Take profits to limit any unexpected outcome. The signals provided by Winpips will always indicate Take Profit targets and Stop Loss levels in order to ensure a correct money management.

  • Trading Strategy
    Unfortunately, not many investors stick to a proper trading strategy. A big part of the trade decisions made are impulsive and based on the present situation of the market, rather than being backed up by a strong strategic reason.
    Forex trading is not different from any other kind of business decision! So it needs to be well examined and thought about using a trading strategy that best suits your needs as a trader. Winpips’ extensive experience allows its users to follow signals that are well thought through, both by revolutionary technology and by a highly experienced team of analysts.

  • Choose the right broker
    Choosing the right broker to work with is essential. Winpips helps you make informed choices about the brokers and brokerage firms – recommending those who have went through extensive due diligence.
    To learn more about choosing the right broker go to Know Your Broker.

  • Leverage

    The general myth: Most of the traders believe that if they lose money in the Forex market once, they are bound to lose every time.

    While many traders have heard of the word “leverage” and know that one of the reasons why it is more tempting to trade in the Forex market, compared to other financial instruments, is that with Forex you can get much higher leverage. Few really have a clue about what leverage is, how it works and how it can directly impact your chances of success.

    Leverage involves ‘borrowing’ an amount of the money necessary to invest in something. In the case of Forex, it is the an investment multiplier received from a broker. This offer seems extremely attractive as it allows the trader to build up and ‘control’ a huge amount of money. 
    Brokers use this as their sales pitch; “I will offer you the best and highest leverage there is in the Forex market if you start trading with us!”

    Did he manage to buy you yet?

    Well, here is something you should know beforehand…
    High leverage has the potential to enlarge your profits or losses by the same magnitude. This means that the greater the applied leverage on your capital is, the higher the risk you are assuming. This “small, insignificant” detail that brokers fail to teach you is the main factor that can influence your experience as a trader and, as they say, break you.

    The bottom line and the naked truth is this – you don’t need high leverage to make good profits on the financial markets!

    Winpips strongly believes that with smaller leverage applied to your trades, you can afford to give your trades more breathing room by setting a wider and reasonable stop and avoid risking too much of your money on just a few trades that can burn your account in a matter of a few days! (Unfortunately this is the case when working with the wrong brokers).

    Learn more about leverage here.