The Secret of Forex Trading to Get Consistent Profit and Anti Margin Call

Illustration: JOSS

Why do much foreign exchange (forex) traders still experiencing margin call (MC) or loss of capital run out? Sadly, this not only experienced by novice traders but also a trader already many years jump into forex trading still only there is an MC. 

If asked what cause they experience MC? Certain only because they do error, and mistakes they do it certainly many once. However the most fatal mistake, they don't yet want to understand and apply concept basic from forex trading as a business.  

Yes, only not yet want to understand and apply, instead not know. Because all those who dare to go into the forex trading business certainly already know from earlier that forex trading or forex is high-risk high return business. That is, the forex trading business this promising opportunity high profits, but comparable with the level the risk too high.

If the concept of this high risk, high return understood and applied by right, then not there are brave traders, risk its capital more high from the target profit. Instead, many traders are ambitious to want to gain big profits in a manner instant without measure and consider factor the risk.

Take example only, trader A set a profit target of 50% -100% of capital in a month. With the understanding the concept of high-risk high return, the profit targets dangerous in trading capital, because that means to level the risk too reaching 50%-100% in a month. If trader A does not yet understand and apply to count money management that is secure, then already certainly fast or slow fate account trading will is over with MC.

This different from example other, for example, trader B installs a profit target of only 5%-15% of the capital in a month. With the understanding, the concept of high-risk high return, the profit targets spelled out secure for trading capital because that means to level the risk too comparable only 5% -15% in a month.

With supported the application of strict money management, the level of risk (risk) and return (profit target) created comparable equally: 5% -15% per month, then the trader B can trade with secure and comfortable. Why? Because he has been able to change concept basic forex trading business from high risk, high return to low-risk low return. But this is its concept of true business and not gambling!

Indeed, the concept of the ideal forex trading business is actually low-risk high return, but this not easy. This only can be done by the master traders already have an ability, accurate market analysis at above 80%, so Stop Loss (SL) is small rarely touched. But remember, this can only be done by highly experienced professional traders. If you feel not yet a master trader, I more recommend you understand and apply the concept of low-risk low return in forex trading business. ***

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