In the forex market, three things are very important, like the sides of a triangle:
1. Technical and Fundamental Knowledge
This is how you analyze the market and understand its movements. Without this knowledge, you cannot make proper trading decisions.
2. Money Management
This is extremely important. Always start with the minimum lot size. Don’t open two or three trades at the same time—just open one trade and wait for the result. After closing that trade, then look for another opportunity.
3. Trading Psychology
You should not trade with stress or fear. Stay calm, analyze the market, place your order, and wait for the result.
All three of these are connected. For example, if you don’t understand technical and fundamental analysis, you cannot trade correctly. If you don’t use money management and trade with big lot sizes, your psychology will break down.
But if you combine these three—knowledge, money management, and psychology—and keep practicing, then after one or two years, when you have more experience and trades, you will become successful.
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