Trading the critical zone like the pro trader
To trade the Forex market, you must have extensive skills in the support and resistance level. Those who are new to the trading industry often fail to trade the critical level. Most of the time, they lose a big portion of their trading capital because they don’t know the perfect way to place the trade. If you intend to change your life, you must learn to trade the critical support and resistance level. Once you master this skill, you can expect to make a decent profit without losing a big portion of your trading capital. Let’s learn some key steps by which we can trade the critical and resistance level like a pro trader.
Trade the higher time frame
You need to trade the higher time frame to make consistent profit from this market. Choosing a higher time frame is one of the most effective ways to make a profit. Take your time and try to learn about the critical support and resistance level. Once you get the chance to find the perfect signals execute the trade in the higher time frame. Once you learn to trade the higher time frame like the pro trader, you can expect to make a decent profit. But make sure you use the demo account to develop your skills as a currency trader.
Trade with the Fibonacci retracement tools
You need to trade the market with the Fibonacci retracement tools or else it will be hard to make a profit from this market. The naive traders are losing money since they trade against the major trend. To become a skilled trader in the Forex trading industry you must learn to use the Fibonacci retracement tools. It will give you more information regarding the critical support and resistance level. Once you start to understand the key retracement level, making a consistent profit will be easy. Think about the long term goals and try to reduce the risk exposure by decreasing the risk.
Learn about multiple time frame analysis
You need to learn about multiple time frame analysis to trade like the pro-UK traders at Saxo Bank. Trading critical support or resistance is more like dealing with the fire. If you make any mistake, you have to lose money. But always remember, the traders can avoid the losing trades at any cost. Think about the long term goals and try to improve your trading skills by taking conservative steps. Once you become skilled at trading, focus on the risk to reward ratio. Never take too much risk to trade the major levels as it can blow up your trading account.
Trade with discipline
Trading the critical support and resistance level requires strong discipline. If you break the rules, you are going to lose most of the trades. Things might be hard at the initial stage but once you learn to trade this market with discipline, you can expect to make a big profit. You don’t have to take a too huge risk in each trade to earn more profit. Just focus on the long term goals and limit your risk exposure by using the risk management policy. Make sure you are following a trading journal so that you don’t have to break the rules. Sticking to the basic rules is one of the key ways trade the major levels in the market.
Finding the critical support and resistance level is easy. But executing the orders is a very tough task. If you want to make a profit make sure you trade the market with the candlestick pattern. After you learn to trade the market with the candlestick pattern, you can expect to make a big profit without losing too much. Think about the long term goals and trade this market with proper discipline. Never lose hope by losing a few trades. Think like the smart traders and stick to your goals.