How to beat the market like a pro trader

Trading the Stock Market – Why Most Traders Fail | Wealth Within

Everyone thinks beating the market is not possible. But in the trading industry, beating the market is not about going against the trend. It’s more like making a consistent profit. If you trade the market with strong analytical skills, you can beat the market and make a regular profit. Though it might sound a little bit confusing after you finish reading this article, you should be able to make a consistent profit. But if you are new to the futures trading industry, we strongly recommend that you learn the basics first and then think about making a consistent profit.

There are many ways by which you can make a consistent profit in the retail trading industry. But today, we are going to give you some professional tips which will allow you to secure the best results in the market. Without any delay, let’s dive into the details.

Practice in the paper trading account

In order to make a regular profit, you should develop your basic skills. To develop your basic skills, you may rely on a paper trading account. Some novice traders often think that they can develop their skills in real accounts. But when they start trading with real money, they become emotional after losing a few trades. As a result, they fail to learn the true art of trading. That’s why elite traders always encourage rookie traders to learn things in the paper trading account.

As you trade the market in the demo account, you will also learn many new trading techniques. Try to curate a professional trading strategy that will allow you to make a regular profit. Never become biased or confused by seeing the overall market dynamics. Have strong confidence and trade this market with extreme discipline.

Study the price action signal

You should always study the price action confirmation signals to take your trades. Unless you study the price action confirmation signals, it will be a big challenge to overcome the major obstacles at trading. Some of the retail traders often think they have strong analytical skills and they won’t require any price action trading strategy. But the top traders at Saxo Forex broker always take the trades after evaluating the price action signal. So, to protect your trading capital, you should also mimic the successful traders

While learning the price action trading strategy, you might become confused by seeing the critical market dynamics. This is very normal and there is nothing you can do to avoid the losing trades. However, if you keep the risk factor low and trade with the reliable candlestick pattern, soon you will gain back your confidence.

Study the news factors

To beat the market, you must study the news factors. Taking the trades based on the technical data only doesn’t provide enough logic to execute quality trades. But if you blend the technical and the fundamental data, you should be able to execute high-quality trades with strong confidence. Some of you might think learning to evaluate the news data is a tough task. But in reality, it is one of the easiest tasks to do. You need to know about the low, high, and medium impact news. Once you become confident in dealing with low-impact news, you may start evaluating the medium and the high-impact news.

As a novice trader, you might think that by learning to analyze the news, you can avoid losing trades. But no one can avoid losing orders in the retail trading industry. So, be prepared to accept the losing trades as it will make you more confident. Instead of risking more than 2% of your account balance, trade with 1% risk. By doing so, you will reduce the mental pressure, and thus you will be able to execute quality trades. Last but not the least, never lose hope in your trading system no matter how many trades you lose in a row.

  • Partner links