How not to lose money on Forex.

The stories of losses on the Forex exchange are basically like two peas in a pod, so there are a lot of standard recommendations on how to reduce the likelihood of critical losses.

By following a few simple rules, you will be almost one hundred percent insured against losing your deposit and large drawdowns.

In essence, this is a whole range of measures, including trading recommendations, capital management and risk insurance.

The reasons for losing money on Forex are usually technical failures of trading equipment, incorrect distribution of capital, lack of stops and attempts to earn a lot at once. Based on this, the main components of the anti-loss complex are:

• Reduce the importance of one transaction - Forex is not a casino game, so it is quite difficult to hit the Jackpot; attempts to make a big profit from just one transaction usually end in failure.

There is the so-called “Rule of Ten”, according to which one transaction should bring profits or losses in the amount of no more than 10% of 10 transactions. In this case, having 6 profitable and even 4 losing trades, you will still remain in profit. • Insurance is a whole range of measures to preserve the deposit, from setting a stop loss to installing a duplicate trader terminal and uninterruptible power supplies.

You must be insured against both technical failures and Forex crashes. • Proper distribution of funds - professional traders do not use all their available capital in one transaction, even if they are 100 percent confident in its success.

You should always leave yourself a chance to regain your strength, so the deposit should contain no more than 50% of your capital. In addition, you need to carefully select a dealing center; reliable dealing centers guarantee the absence of problems with the withdrawal of funds and the reliability of the quotes provided. Forex trading is already a complex process, so you should minimize the impact of any third-party factors on it.