A Free Tutorial for Beginners to Forex
I think all newbies in the first year of trading should reduce their lot size substantially. For example, if all you have to trade is one lot, and you use all of it for one position, you are at great risk. Forex is all about pips, not dollars.
For that same one lot size, you could place 10 smaller positions, thereby spreading your risk and diversifying.
If you are inexperienced, open your position with a tester, which is a tiny lot size placed near support/res with a good risk/reward factor. If support/res breaks you get stopped at a small loss. If it holds and reverses, then you get a good pip run. Add to that position when retracements run out of steam.
Major support/res levels should be your entry/exit targets.
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