Forex -- you know what? There's probably something wrong with how you place an order.

We also mentioned some experience in position management in the risk management article before, but many people have done foreign exchange for several years, and it is possible to place an order incorrectly. Today, let's explore the correct one in depthforeign exchange tradingThe way to place an order, strive to enter your heart.

First, no matter how confident the transaction is, don't go full.

In many forums and groups, those who shout every day that the market is very good, I want to work full positions, and these people will basically not be able to find anyone for the next month. So be sure to set aside one or two opportunities to cover the position, and immediately make less money from high-level chasing or low-level selling, which is more reasonable than bottom fishing or top-guessing full positions. If the price still does not improve and exceeds the stop-loss range after covering the position, then cut the meat directly.

Don't take the pyramid method too deified (Martin EA?), if there is no reasonable way to place foreign exchange orders, the pyramid method will only make you liquidate your position faster. There is no bottom and top in the trading market. You plan to cover your position with 0.1 lot, 0.2 lot, and 0.3 lot, and think that the maximum compensation to 0.5 is the bottom. But the market will tell you that there is a negative price for oil prices, even if you make up 10 lots, it is still not the bottom.

The correct way to place an order in foreign exchange: the number of replenishment positions must be controlled, and the total amount must be controlled. If the loss amount exceeds your tolerance, stop the loss immediately.

Don't count on me to make up for it again. As long as the price rises slightly, it will return to the original. This result is often that you can't get back a dime of the principal, and there is a risk of going through the warehouse.

Second, the inefficient use of funds is also an unreasonable way to place orders

For example: the principal 10,000 US dollars, only 0.01 lots of trading. It can be said that your understanding of risk is very good, but the efficiency of the use of this fund is a bit unreasonable. Money deposited in the account, there will be no interest, only $1000 can complete the transaction, why take out 10 times the funds to operate it?

The biggest feature of margin trading is that it has leverage, using small funds to leverage large profits, which is also the most attractive placebrokerObviously giving you the convenience of 100 times leverage, but you still trade 1:1... This is a bit unclear.

Therefore, in order to minimize risk, it is also a waste to let most of the funds not be effectively used. It is better to take them out and deposit them in the bank or buy a wealth management product.

Summary: The correct way to place an order for foreign exchange

• Building positions in batches is to leave a way out for yourself, not to give you the capital to carry orders and not stop losses.
• Improve the efficiency of the use of funds and make good use of the mechanism of foreign exchange leverage.