3 Tips to Super Charge your Profits

Wednesday, June 9, 2010

1. Learn The 80 - 20 RuleIt's a fact that in many areas of business work etc that 80% of your profits come from 20% of your efforts and it's also true in forex trading.

2. Don't DiversifyDiversification is seen as a way to cut risk - that's only true if you diversify into good high odds trades, but most traders think they should trade a spread of positions, take marginal trades but all that does is dilute profit potential.

3. Load up The Risk RewardHow many times do you read that you should only risk 2% per trade well for a small forex account of say $5,000 you wont make much doing that that's $100!No you need to risk up to 20% on the high odds set ups - if you don't take a risk, you won't make big gains, its as simple as that. You are not being rash, you are taking a calculated risk based upon the odds and like a good card player, you are going to load up your trade.