How not to lose on Forex.

Reviews of forex trading suggest an interesting conclusion: most newbies come to the online exchange looking for easy money, but only 5% of new traders actually manage to make money.

Therefore, the most pressing question in the current situation is not "How can I make money?" but "How can I avoid losing on forex?"

Finding the answer to the latter question should be the key for any beginning trader, as preserving their existing funds is crucial in the beginning.

So, here are the basic steps to avoid losing money on forex:

• Leverage is evil - it is thanks to leverage that opportunities for obtaining super profits appear, but at the same time, the risk of trading increases; in some countries, margin trading is even prohibited or there are strict restrictions on this type of dealing.

Indeed, it is simply unrealistic to lose a deposit if you trade only your own money; there is a one in a million chance that the currency you are working with will lose more than a couple of percent.

At the same time, when using leverage of 1:10, this couple of percent turns into tens of percent, not to mention more significant leverage sizes.

At the same time, no one is talking about completely abandoning the use of leverage; it can be used, but only after you have gained sufficient experience.

• Work only with the best - for Forex trading, you should use only the best dealing centers , first of all, pay attention to the company itself, and only then to trading conditions, bonuses and various promotions.

• Don't use advisors - as a rule, most automated trading programs require careful refinement, so you shouldn't rely on a trading robot to do all the work for you; rather, you'll be left without a deposit.

• Never forget about stop loss - setting it should be the main point when opening any order, especially pending orders.

• Trust management is questionable - many beginners decide to invest money in trust management while studying, forgetting that this is also a risk; the managing trader can also drain the deposit, albeit with a lower probability than you. If you nevertheless decide to use trust management, then it's better to use the option described in the article " Forex Investments ."

How not to lose on Forex is not such a difficult question; you just need to listen to the four recommendations given above.