How to open an FBS account?
Click the ‘Open account’ button on our website and proceed to the Personal Area. Before you can start trading, pass a profile verification. Confirm your email and phone number, get your ID verified. This procedure guarantees the safety of your funds and identity. Once you are done with all the checks, go to the preferred trading platform, and start trading.
How to start trading?
If you are 18+ years old, you can join FBS and begin your FX journey. To trade, you need a brokerage account and sufficient knowledge on how assets behave in the financial markets. Start with studying the basics with our free educational materials and creating an FBS account. You may want to test the environment with virtual money with a Demo account. Once you are ready, enter the real market and trade to succeed.
How to withdraw the money you earned with FBS?
The procedure is very straightforward. Go to the Withdrawal page on the website or the Finances section of the FBS Personal Area and access Withdrawal. You can get the earned money via the same payment system that you used for depositing. In case you funded the account via various methods, withdraw your profit via the same methods in the ratio according to the deposited sums.
How to create your own trading strategy?
Many people believe that markets are random, so they prefer to trade on a hunch entirely relying on their gut feelings. Sometimes it is really possible to scoop a big profit in a single trade inspired by nothing but your intuition. However, this kind of success is a matter of pure chance. There’s no guarantee that you will be able to repeat it.
Experienced traders rely on the thoroughly elaborated trading strategies. They know that although there might be some deviations in the exchange rates, they do follow certain patterns. As a result, it’s necessary to have a strategic approach to trading. That’s why we encourage you to build your own trading strategy.
Benefits of having a trading strategy
- A strategy is a set of rules. It helps a trader to avoid the destructive emotions during trading, but only if the trader follows the strategy without any deviations.
- A strategy can be backtested on the historical data, so you will have a proof that it can really work.
- A strategy reduces the time of market analysis. As soon as the strategy provides the signals, a trader starts acting.
Trading tip: You may find various Forex trading strategies on the Internet. Before using any of them on the live account, test in on the demo account. Have realistic expectations – some trading strategies are better than others, but none will offer you 100% profit.
So, despite the fact that there are hundreds of existing strategies to use, you can try to build your own one. Its undeniable advantage will be that it will take into account your personal approach to Forex trading.
You don’t have to have a multiyear trading experience to create your own strategy. However, you should know such basic things as:
- How and when the exchange rates move. For example, you should know that currencies may rise and fall due to central banks’ meetings and releases of important economic data.
- Where profit opportunities are: what kind of economic events/technical setups will lead to specific moves in the market.
- How to read Forex charts and use technical indicators.
Steps to build your own trading strategy
- Ask yourself who you are: scalper, day trader, medium-term trader or long-term trader and choose a timeframe – M30, hourly, daily, weekly, monthly, etc.
- Decide which market conditions you will focus on. As you know, there three primary conditions: trend, range, and breakout. Each of these conditions exhibits its own market tone. As a result, a strategy that is good for trend trading can show the weak result when the market is in a range.
- Choose your tools: will you use technical indicators and, if so, which ones? There are two types of strategies: indicator and no-indicator. If you prefer an indicator strategy, various technical indicators available in Metatrader will help you to identify a market’s movement. No-indicator strategies can include the analysis of candlestick patterns, chart patterns, trendlines and other elements of price action, as well as news trading.
- Define the setup (required conditions) and trigger (entry rule) of your strategy.The setup is a favorable market condition, significant but not sufficient for opening the trade. It may refer to a particular location of candlesticks or indicators that you apply to a technical chart.The setup shows a favorable time for trading, but it does not point at the exact moment when you should enter it. The setup may consist of one or more filters. Filters are designed to protect traders from receiving false trading signals. However, if you apply too many filters, you risk entirely missing trading signals, so a balance between a small and a large number of filters is necessary.The second important element is a trigger. As opposed to the setup, it is a technical signal that indicates the right moment for entering the market. It is quite important to know your particular trigger to enter the market without any hesitation. It can be candlesticks, bar patterns, indicators, and oscillators.
- Set the strict risk management parameters: risk/reward ratio, position size. The common ratio between potential loss and profit is 1:3. The basic rule of trading is like this: risk no more than 1-2% of deposit for 1 trade.
- Choose exit rules – make a rule for Take Profit and Stop Loss orders.Not only there is an entry trigger, but an exit trigger as well. It is a moment when you understand that it is time to close your trade. The exit trigger is useful not only when you fail, but even if you have a profitable trade because a market will not be by your side forever.
- Write down the rules of your strategy. Even if you are sure that you remember all steps of your strategy, it is important to write them down to not hesitate when it is time to trade.
- Test your strategy on a demo account. Make a good effort: this will create a base for your success. If there are mistakes, you will be able to correct them without losing money.
- Start using your strategy on real account: don’t digress from your rules but keep learning and thinking about how to make your strategy even better.
2023-07-07 • Updated
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- How to Use Fibonacci Retracements
- Reversal candlestick patterns
- Continuation candlestick patterns
- How to deal with market noise?
- How to backtest a trading strategy
- Gator Oscillator
- Market Facilitation Index
- Accelerator Oscillator
- Awesome Oscillator
- Alligator indicator
- Bill Williams theory
- Chart patterns
- Uncovering Gann indicators
- Candlestick patterns
- Trend trading
- Carry trade
- Swing trading
- Position trading
- Day trading
- Fibonacci tools
- Trader's psychology
- How to identify market reversal
- Japanese Candlesticks