Everyone wants to master the art of currency trading. But sadly only a few people can actually lead their lives based on income from this profession. According to the latest statistics, almost 90% of the traders are losing money since they don’t have proper trading education. Trading is not a get rich quick scheme. Just like any other business, you will have to do all the hard work and trade this market with managed risk. In this article, we will share how to master the art of trading within a very short period of time.

Learn the basics first

There are three major types of analysis in the Forex market.  The majority of the rookie trader’s focus on the technical factors of the market. But technical analysis will never give you the overall view of the market. You will only get the entry and exit point. You have to understand the fundamental factors of this market as it will help you to ride the market trend. Trading with the trend is one of the easiest ways to become a successful trader. Once you have mastered the first two major types of market analysis, it’s time for you to focus on the sentiment analysis. This is something which you will learn over the period of time through experience.

Learn price action trading

Price action trading is extremely popular among the professional Aussie trader. In fact, the experts at Rakuten often says this is one of the simplest trading systems which allows the traders to make a profit on a regular basis. So what is price action trading? The use of Japanese candlestick pattern to trade the key support and resistance level is known as price action trading. But as a price action trader, you should always trade the higher time frame. Higher time frame trading will save you from lots of false spike and signals.to be precise it will save a huge amount of money in the long run. If you are not sure about your time frame, use the Forex demo account to understand how different time frameworks operate.

Trade with proper risk management

The new traders are always taking a huge risk to trade the live assets. They simply think trading is the best shortcut to become a millionaire. But if you look at the experienced traders at Rakuten you will understand trading is nothing but a business. Even if you deposit a huge sum of money, it won’t take much time to lose all your investment. As a currency trader, your main focus should be on the safety of your investment. So how much money you should risk per trade? To be honest, it totally depends on the traders. But no matter what, you should never risk more than 3% of your account balance in any single trade. Just by following the risk management policy strictly you can easily make a huge profit in this market.

Follow a trading journal

The use of a trading journal seems to be a waste of time but in reality, it will save a huge amount of money. If you develop a habit of writing down the details of each trade setup you will slowly learn to execute the quality trades. It will also stop you from over trading in the market. Overtrading is often considered as the key element which ruins the trader’s career. During the weekend go through your trading journal and you will be able to learn a lot from your past trades. Trading is a dynamic profession. In this market, you will always have to learn new things to become a profitable trader. Focus more on your trading discipline and try to trade this market with confidence. Stop following the herd in the Forex market as it will not help you to better yourself. Start using your trading strategy and ignore any emotions while trading the currency market.