Latest Articles

Dollar gains, stocks teeter as US data suggests rates to stay higher

The dollar rose and a gauge of global equities slid on Thursday after data once again highlighted persistent U.S. labor market strength, suggesting the...
HomeOilWhat are the spot trading skills of refined oil products?

What are the spot trading skills of refined oil products?

In life, most people always think that investment is generally made by luck. In fact, it is not necessarily true. Most successful investors always have their own skills. What are the spot trading skills of refined oil products ?

  1. Make good use of the financial budget and remember not to use the funds necessary for life as capital

If you want to become a successful trader, you must first have sufficient investment capital. If there is a loss, it will not affect your life. Remember not to use your living capital as the capital for trading. Excessive capital pressure will mislead your investment strategy. It increases trading risk and leads to bigger mistakes.

  1. Make good use of the free demo account to learn oil product trading

Beginners should learn patiently, step by step, and do not rush to open a real trading account. Don’t compare yourself with other people, because everyone needs different time to study and get different experience. In the learning process of simulated trading, your main goal is to develop your personal operation strategy and pattern. When your profit probability increases and the monthly profit gradually increases, it means that you can open a real trading account for trading. .

  1. Trading can’t be based on luck alone

When you have more winning trades than losing trades, and your account total is increasing, you have found a knack for making trades. However, if you lose $1,000 on 5 trades and gain $2,000 on another trade, while your account total is increasing, don’t be self-righteous, it may just be your luck or It is you who risked winning with the largest trading volume, you should operate cautiously and adjust your operation strategy in a timely manner.

  1. Trading with intuition and no strategy is a risky act

It is not enough to create profitable results in simulated trading, it is equally important to understand the reasons for the profits and to develop your own profit-making techniques. Trading intuition is important, but trading on intuition alone is not acceptable.

  1. Make good use of stop-loss orders to reduce risk

When you make a transaction, you should establish a tolerable loss range and make good use of stop-loss transactions to avoid huge losses. The loss range depends on the account funds. It is best to set it at 3-10% of the total account. Your tolerance limit has been reached. Don’t look for excuses and try to wait for the market to turn. You should close the position immediately. Even if the market does turn around after 5 minutes, don’t regret it, because you have eliminated the risk that the market will continue to turn bad and the loss will expand indefinitely. You must develop a trading strategy, remember that you control the transaction, not let the transaction control you and hurt yourself.

The trading volume should be measured against the account amount, and do not trade excessively. If the account capital is less than $3000, it is suitable for 0.5 lot trading; if the account capital is between $3000 and $5000, unless you can be sure that the current trend is favorable for you, the trading lot should not exceed 1 lot; if the account amount is $10, 000, and the number of trades should not exceed 2 lots. According to this rule, the risk can be effectively controlled. It is unwise to trade too many lots at one time, and it is easy to cause uncontrolled losses. The total amount of the deposit should not exceed 30%.

  1. Learn to thoroughly implement the trading strategy and do not make excuses to overturn the original decision

The most deadly and destroying mistake in trading is when you ($500 in losses on a single position) start making excuses not to close the position, thinking that the market might turn around all of a sudden? When you continue to have this thought, you will not have the will to close the position where the losses continue to expand, but will only lose your mind and wait for the market to turn around. Market changes are ruthless, and will not turn around because of anyone’s infatuation.

When the loss exceeds 1,000 or more, eventually the trader will be forced to close the position, the trader loses not only the money but also the courage, they will lose their confidence and decision, the reason for this mistake is simple-” greedy. Losing 100 won’t make you lose the opportunity to recover the loss, and it is possible that the next trade will be more profitable, but if you lose 1,000-2,000 in one or two trades, you are completely ruined and earn more The opportunity for money, this loss is difficult to make up for. In order to avoid this fatal mistake, one simple rule must be remembered – do not let the risk exceed the originally set tolerable range, and once the loss has reached the originally set limit, do not hesitate to close the position immediately!

  1. Trading funds should be sufficient

The smaller the account amount, the greater the trading risk. Therefore, it is necessary to avoid making the trading account only 1,000. The account amount of 1,000 yuan is not allowed to make a mistake. However, even experienced traders have mistakes in judgment. time.

  1. Mistakes are inevitable, we must learn lessons, and do not repeat the same mistakes

Mistakes and losses are inevitable. Don’t blame yourself. The important thing is to learn from them and avoid making the same mistakes again. The sooner you learn to accept losses and learn from them, the sooner the day of profit will come.

Also, learn to control your emotions, don’t get excited about making $10, and don’t want to hit a wall with a $20 loss. In trading, the less personal emotions you have, the better you can see what’s going on in the market and make the right decisions. Face gains and losses with a calm mind, and understand that traders do not learn from profits, but grow from losses. When you understand the reason for each loss, it means that you are taking another step towards profit, because you The right direction has been found.

The biggest enemy of a trader is yourself – greed, irritability, out of control emotions, unpreparedness, excessive ego, etc., it is easy for you to ignore the market trend and lead to wrong trading decisions. Don’t trade just because you haven’t entered the market for a long time or you are bored, there is no certain standard to specify how much volume must be traded in a certain period, even if you only open a position in 2-3 days, but the trade is profitable $10-20, it means your decision is right and there is nothing wrong with it.

  1. Document the factors that determine the transaction

Daily detailed records of the factors that determine the transaction, whether there is any event news or other reasons for you to make a transaction decision, analyze and record the profit and loss results after the transaction is made. If it is a profitable trading result, it means that your analysis is correct. When similar or the same factors appear again, your trading records will help you to make correct trading decisions quickly; of course, losing trading records can be Let you avoid making the same mistake again. You can’t keep all your trading experiences in your head, so this record can help you improve your trading skills and find out what went wrong.