Forex day trading tips for beginners

Below is my Forex day trading tips for beginners. Like any business, day trading must begin at the bottom of the ladder. All the greats start out in day trading log and demo.

Day trader's attitude

• If beginners want to forex day trading, there must be a down-to-earth working attitude. 
• Many day trading beginners have failed partly because they are only interested in making quick money
• I think a positive, professional attitude can help you create successful in the trading. 

More reading Jiro dreams of Sushi

Day trading quotes

Jiro Dreams of Sushi quotes can be used in forex day trading. You should read them. 

Once you decide on your occupation... you must immerse yourself in your work. You have to fall in love with your work. Never complain about your job. You must dedicate your life to mastering your skill. That's the secret of success... and is the key to being regarded honorably.

I do the same thing over and over, improving bit by bit. There is always a yearning to achieve more. I'll continue to climb, trying to reach the top, but no one knows where the top is.

These days the first thing people want is an easy job. Then, they want lots of free time. And then, they want lots of money. But they aren't thinking of building their skills. When you work at a place like Jiro's, you are committing to a trade for life.

Forex day trading is a boring job

Successful day traders do repetitive work every day. They will stick to the rules when day trading.

• Write a day trading business plan.
• Write a day trading checklist before every trade.
• keep day trading journals excel.
• Learn to trade forex with a demo account.
• Develop a solid, profitable forex day trading systems that fit your personality.
• Manage risk when trading FX

At last, forex day trading require enough money, at least $100000. You'll likely have to save up money.

Forex day trading strategies

After you have written a forex day trading plan, you must develop solid day trading strategies. Now let's learn together, how to day trade.

Best grid trading strategy

A lot of day traders never used forex grid trading strategies. They believe it can blow up their trading account.

In fact, it is a very profitable strategy. I will mainly discuss the one direction grid trading system.

Forex grid trading strategy setup

First, selecting the best pairs to trade. I want to stick with the major pairs or GBPJPY.

Second, choosing the best chart time frame for day trading. Usually, I will use the one hour chart, 4 hour chart.
.
Third, choosing 3 forex indicators. They are ADX, RSI and moving averages.

Fourth, writing a forex trading checklist before every trade. It can help me find day trading entry and exit points.

Running my day trading strategy

First of all, I will use multiple time frame analysis to find better entry and exit points.

Second, if I have identified the direction of the trend on the 4 hour chart, I will use one direction grid trading system on the 30 minute chart.

Here is my USDJPY example:

Through the 4 hour chart I have found that the price break below the trend line. So I will choose the one direction grid trading on 30 minute chart.

• My grid spacing is 20 pips
• My grid lot size is 0.02 lots
• My take profit is 40 pips and set a static stop of 50 pips on every position.
• I place buy limit orders near support lines 
• I place sell limit orders near resistance
• Every day I will set new forex limit orders.

Forex day trading rules

Only when we follow closely the forex day trading rules, we will make money in trading business. Now let's talk about my basic rules of one direction grid trading.

Explanation of grid trading:

• I will deposit $2,500, starting lot 0.01, Max Open Order 15
• 50:1 is the best leverage that I should use.

Define and trade with trends

I often use the following tricks to determine forex trends. 

• Use my eyes to feel the market.
• Draw a trend line to identify the main trend
• Use moving average crossovers to enter trades
• Use Bollinger bands to gauge trends
• Use ADX indicator to identify trend

Then I will put these FX indicators into a Pre-trade checklist. I think it can help me find day trading entries and exits.

Let me repeat that: I will write a day trading checklist every day. It can help me identify the main trends.

Find entry and exit points

• If I have identified the uptrend on the 4 hour chart, I will only look for buy signals.
• If I see that the pair is clearly in a downtrend on the 4 hour chart, I should only find sell signals.
• If I defined a currency pair is in a range-bound market, I have to be patience.

Use stop-loss and take-profit in grid trading

• Only I have identified the trend reversals on the one hour chart, I will close out all my positions.
• I will use a 50 point trailing stop on every position.