Paradoxical as it sounds, but one of the most common and easiest methods is the lack of money management techniques as such. This is the method preferred to use the majority of small traders and self-employed private investors in Forex.
These market participants tend to buy and sell just one contract. That is why the calculation of the percentage of risk per trade, given the size of the deposit and analysis of previous gains (losses) are not appropriate. This method of controlling their own means is universal, its use is built into the functionality of most commercial automated systems with the settings "by default."
A key factor in determining the strategy and tactics of the trader on this method is the size of a real account. Depending on its size action may be directed to enter into risky transactions in order to obtain large profits. In some cases, the deposit broker requires extremely careful and considered steps. This tactic is used by market participants, the disposal of which initially or as a result of a number of failures deposit was small. Such an account can not withstand even a few minor losers and requires working with a special care and forethought.
The above method has several disadvantages:
• method is intended only for small private investors;
• lack of opportunities to earn a decent amount;
• lack of technology risk management;
• does not provide a method of classification of income.
Multiple contracts
This way of working has a lot to do with money management system described above. The significant difference for the practitioner will be the only broker to acquire and purchase additional contracts in one of best entry point (output) in the market based on a trade signal or indicator.
Increase the amount of money that a trader be added risks, increases the probability of bankruptcy and increases the number of other factors adversely affecting the exchange activity. While working on this system, the trader's own profit increases in a linear fashion and can easily control it. Along with that is directly proportional to the increase of loss may lead to irreparable consequences as to control them in the current situation is extremely problematic.
A market participant with time counting to join the ranks of professional currency traders forced eventually to abandon this technique in favor of the possibility of minimizing their own losses. However, the delivery system of multiple contracts is a normal stage of development for the beginner, because no matter what, is a system of predetermining the order in Forex. In the search for financial independence and high-paying jobs in finance will help you site finstaff , where a great variety of jobs in the banking sector, and even in companies dillingovyh Forex.