Forex Tutorial
December 30, 2017

Money management is the key to forex success

The key to success of a successful trader is its strong and well-mannered money management. Maybe some profits can be misbehave with no money management, but sometimes Forex market can not run long. If you do not accept money management in this market then you will have to face it.
You know very well that 90% of new traders in Forex market zero their account. His only reason is not to accept money management.
Give a little example, think you’re a university student. Your monthly cost is 9000 Taka Your father sends you 9000 rupees a month. Now you have to spend daily 300 rupees 300×30 = 9000 taka. If you are a disciplined person, then you will continue to spend 300 rupees daily. Then you can walk the whole month. Now, if you spend 9000 rupees in the first 10 days of the month, then you must suffer the rest 20 days. The hand will be handed to the friends.
Similarly, you will have to trade as your account balance on forex trading. If you lose or not, your account will not be zero. Because after giving you a trade on forex you can not be sure that your trade will be profitable. Your trade can stop and hit. Now if your account balance is bigger than the balance, then you must read the rosy. So, while trading, you must calculate risk reduction. You have to set how much you will get the risk and how much you take a return from it. A good trader must agree to it.