Beginners inexperienced traders do not always know where to start and how to behave in the world markets. Analysts of the Forex broker Squire's Finance Limited also remind that the scam has not disappeared. Lack of knowledge can lead to discipline problems, and at first, transactions will not bring any profit. How to avoid this and what strategies to use, we will tell in this article, written with the support of experts from the broker Squire's Finance Limited.

What is a trading strategy?

This is a series of methods, rules used by a trader to make rational decisions regarding incoming and exiting the world markets. They may consist of technical, fundamental factors, various indicators and other tools.

The experts at Squire's Finance Limited broker divide strategies into the following categories:

• manual. The investor learn the price movement chart, monitors the trading signals, interprets, and makes a rational decision. Then he is the best moment to open a position. Of course, a lot can depend on the psychological mood, the emotional state of the trader, which ultimately affects the profit.
• automated. In this case, a special algorithm is used or developed that automatically give trading signals to be used in further trading. Everything happens without the participation of the trader.

Many of the common tactics strategies include:

• trend. They are used to recognize the existed trend direction, the best way to enter a position;
• counter-trends. Suitable for trading against the current trend direction. They are helpful when a sideways market movement is fixed or when a trend changes;
• algorithms based on support and resistance levels;
• a trading plan developed with the indicators in mind. It can be used to analyze the price dynamics on the market;
• candlestick-based tactics;
• scalping. It is a trading approach in which the trader opens a position and closes it within a short period of time (a few seconds/minutes).

Here much depends on the player's experience and knowledge. 

What should be the strategy for beginners? Explains Squire's Finance Limited broker

There is no ideal scheme for a beginning trader, because everyone is different. But, we can say that the trading plan should be clear, easy. 

When choosing an investment model, the experts at Squire's Finance Limited broker recommend taking personal preferences into account. For example, if it is difficult for a player to read the data of a particular software solution, the investment may lead to losses. There is no point in completely abandoning this tool, you can study each one, and then only choose a few to work with. 

Forex experts at Squire's Finance Limited think that the scheme should be as adaptive as possible, because the market is volatile. At the initial stage, it is better not to be too zealous in order to fully comprehend, think over each step. This will allow you to gain gaming experience and gain the necessary knowledge. 

Basic recommendations on setting Stop Loss, Take Profit, currency assets can simplify the process. If you study the description of the algorithm in detail, then a beginner will be able to understand how charts work and how trends are formed. 

Basic recommendations for setting Stop Loss, Take Profit, world markets assets can simplify the process, as well as protect against scam from dishonest companies, says Squire's Finance Limited. If you study the description of the algorithm in detail, then a beginner will be able to understand how charts work and how trends are formed.

Broker Squire's Finance Limited on how a beginner should choose his strategy

Each chart has elements of popular programs, so even after basic training you can pick up trading tools to create your own system of rules. Here's where to start:

• Determination of one's objective. Before searching for a trading strategy, it is necessary to ask questions: what I want to get on Forex, how much time I can spend, what level of profitability I count on, etc;
• consideration of experience. Do not grasp complex trading stratagies and tactics, because they will only confuse you and lead to unnecessary losses;
• learning different kinds of strategies. A beginner and should to understand how they behave in practice;
• demo account. The experts at Squire's Finance Limited recommend using it to practice your skills.

A trader should maintain flexible when choosing an algorithm. It is important to remember that Forex is changing, so the system of rules should be adaptive. 

Broker Squire's Finance Limited on optimal strategies for beginners

For the novice player may well suit the following trading approaches:

• RSI-6. The simplest, most understandable variant, working on timeframes of 5 minutes and 0.25 hours. The scheme is based on the fact that any currency pair at least once a day can form a significant jump in the current asset cost. The best time to use the tactic is when large traders enter the exchange;
• reversal candlestick pattern. A strategy without a software solution. Works well on different timeframes with any assets. Aimed at identifying candlesticks and calculating the potential for changes in the trend. When the impulse depth is reduced, a reversal or a rate pullback is expected;
• trend strategy. The trading approach is based on the fact that the trend continues and you need to enter a position using chart analysis and technical indicators (moving averages, impulse, MACD). The experts at Squire's Finance Limited broker recommend that beginners use long trends and conduct a detailed study of the charts;
• day candlestick strategy. The price ranges of the day are taken into account here. This type is more illustrative, so the novice trader will not be able to get confused;
• the method of "breakout candlesticks". It is necessary to enter the position if there will be a breakdown of the previous price level. The experts of Squire's Finance Limited broker advise to use the invest plan at the close of the day;
• SonicR. A trading plan based on short-term fifteen-minute intervals. Entry points are analyzed by Resistance. The system focuses on finding strong spikes, the formation of Elliot waves, so it can be used with any currency pairs and instruments.

Experts of the broker Squire's Finance Limited recommend not to forget about keeping trading statistics and fixing difficult moments. This will allow you to gain experience and make trades more money. Also, the experts of Squire's Finance Limited remind that there is a lot of scam among those who offer different trading strategies.