a micro thread on what I have learnt after taking my first set of forex trades in preparations
for #ftmo :
for #ftmo :
1 - even though forex is a 24h market unlike stocks, it doesn't mean I can trade whenever I want, I need to target specific time zones like the London and New York hours
2 - my returns have could have 3-10% higher per trade if I did not account for spreads and commissions. it might seem like a small thing so we forget to account for them but they could mean the difference between you and your dreams
3 - because of commission and spreads my actual RRR for 4/5 trades was at 1, when my wanted RRR was 3-6, so a tighter SL plus a trailing exit system needs to be implemented
4 - the price action of forex and stocks has a different rhythm to them, bigger wicks, more consolidation, absence of small or big bodies and a tendency to shoot up very quicky before my entry, so I cant have the same enter and trading style as I did with stocks.
5 - one way to solve my problems of commissions and spread could be to trader bigger so my expenses are lower compared to my gains but this is not possible as I only have 10k and I am risking a decent 2% per trade, so my only solution will be to go on a higher time frame
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