How often should you execute a trade

The new traders don’t have any clear idea about a trade execution policy. They simply execute random trades and lose a big portion of their investment. Unlike them, the pro traders follow a proper trading strategy and make a decent profit from this market. In order to survive in the trading industry, you must learn to trade the market with proper risk exposure. Though there are many ways you can master the art of trading but the pro traders always prefer quality trade executions.

Making consistent profit in the Forex market is really easy. You need to follow a proper trading strategy and focus on quality trade execution. Some of you might ask how often you should execute a trade but there is no exact answer. However, there are some important parameters which you can follow to improve your trading edge.

Focus on the trade setup

The experienced traders in Singapore are extremely concerned about their trade execution. Even after having a decent amount of money they never trade a low-quality trade setup. On the contrary, the rookie traders jump into the retail trading business without even knowing the quality of the trade setup. Being a new trader you should analyze the higher time frame data since it will help you to find great trades. Though higher time frame trading is extremely boring the pro traders always consider the conservative trading technique to protect their trading capital. Always remember, it’s hard to find one good trade, so never expect to execute more than two trades in a single day.

Analyze the market condition

Being a full-time trader, you must have the best CFD trading account to ensure premium trading account. The elite traders prefer brokers like Saxo because it allows them to make a profit in the long run. Once you have access to a high-quality trading environment, you need to analyze the market variables. Never try to execute any trade based on emotions or gut feelings. Some of the retail traders often trade the market by using the signals offered by the experienced traders. Though such an approach might help you to make some quick profit in the long run, you will have to lose more trades. Learn to analyze the market conditions so that you can easily find the best trades.

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Selection of the currency pairs

The professional traders never trade more than eight pairs. On the contrary, novice traders are always trying their best to find more trades. They analyze more than ten pairs and make things overly complex. At the initial stage, you should never analyze more than four currency pairs and make sure you trade the major pairs. High-frequency trade execution always increases the risk factors in trading. As a trader, your main duty is to reduce the risk factors. So, chose the selection of your currency pairs plays a great role in your trading success.

Depends on your trading strategy

No one can say the exact number of trade you should execute per day. If you scalp the market, chances are very high you will be placing more than two trades. If you become a position trader, you will have a tough time to find one good trade setups. So, it’s very obvious, trading strategy plays a great role when it comes to the frequency of trades executed per day. As a new trader, it’s better to avoid using a lower time frame trading strategy since it increases the risk factors to a great extent. Try to focus on long term goals and learn a position trading strategy. Regardless of the quality of the trade setup, you should never execute any trade with more than 3% risk. Follow a proper money management plan so that you don’t have to blow up the trading account. If possible, try to learn from the experienced trader since it will make trading much easier.