Once you do your homework and learn everything about trading, it’s time to get some experience. This company can help you with both, by the way.
Nevertheless, it’s important to remember starting slow when going live. You can give a try to the practice account to avoid major losses. However, you can only get the real experience when your money is at stake. So, start with the money you can afford to lose and don’t even think about using the money for mortgage or children’s education.
Emotions and slippage can be understood only when you start trading live. Stick to your trading plan to eliminate the most of those. Surely, you’ll earn when you start with a relatively small sum of money. However, you’ll earn more in the long run.
When you choose a company or a trader, pay attention to the leverage they offer. Even with $50 investment, there is a chance you score high because of the leverage. On the other hand, when you lose, your losses are also bigger.
It’s very important to keep the good records. There is such a thing as a trading journal. Here you can see all your transactions and their results. It’s convenient for estimation of your wins and fails. You can look at it as a feedback and see what can be improved. The record contains all the dates, tools, profits, losses, and performance.
Another thing, a very important one, is the tax implications and treatment. You need to be prepared at tax time, so consult with a specialist beforehand. No one wants an unpleasant surprise when filing the forms.
People can choose whether to treat it as a hobby or as a profession. The ones who want to be successful and rich choose the latter. The moment you see it as a business, you’ll realize that the long-term planning is the key to being rich. It does not matter if you win or lose. You take it as it is and keep going. Just like with any other business, there good and bad days. Only persistence and planning will get you to the top.
The worldwide market is appealing and inspiring. It is rewarding when you treat it as a business and try to avoid at least the most common mistakes. Be well-prepared, have patience, and manage money reasonably.