Ignore media when trading in Forex
Posted In: Financial News
When you are trading in Forex, you may consider the role of media as a blessing. This market is like a stock market. The only difference between Forex and stock market is that it is many times larger than the stock market. This larger market means the media will try to publish wrong information, deliberately or intentionally, that will affect your trading career. It is very hard to know what is happening in the world and when you are in this trading business like Forex, you should ignore the external media. Doesn’t make sense? Well, here are some ideas that you make you believe that external media is no good when it comes to money making.
Influence of the media on Forex
Information jamming: It is the first problem of Medias. When you are relying on Medias, hundreds of Medias are publishing news and much news is coming to you at once. As a result, you get stuck in the information highway in the middle of your Forex trade. Use your skill and Forex trading knowledge to learn the market better, do not think other people are publishing news to help you and keep informed about the economic world. They will publish news always and some news is not even true. Double check your information before you take any decision based on your information.
False information: As it is very hard to get the real and actual fact of anything, always take your media news with a pinch of salt. Not all information are true. Sometimes, the news is presented aggregately. So if you lack in experience in real life trading then you will be having losing orders while trading the news. So the best way to learn the art of news trading in the market is to trade in your demo trading account.
Only provides partial view: It is not possible for any media publisher to publish news on the overall global economy. All of this news provides only a partial information, and some are not even true. Before you decide to analyze the economic condition of the world and try to figure out the market, remember it will take you an eternity to know the full, integrated picture of the global economy. If you look at the professional traders then you will see that most of them are trading with a high class broker like Saxo since they offer an excellent trading environment to their traders in the market and most importantly you can get a full overview of the market by accessing their Saxo academy.
Trade the plan: As a professional trader you must have a solid trading plan in the market if you truly want to become a profitable trader in the forex market. Most of the novice traders in the financial market fails to develop their trading plan since they don’t use the demo trading account. But if you look at the professional traders then you will notice that every single one of them in the forex market is using their demo trading account in order to develop a solid trading plan in the market. Once you have your initial plan in the market try to test your system with proper risk management factors in your real trading account and see the trading performance.
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