5 Tips for Part-Time Forex Trading

Forex Trading is an activity that requires commitment, not only in terms of knowledge, cognitive resources, and economic resources, but also in terms of time. If you intend to trade in a certain way, that is, to make money and do it in the shortest possible time (while following a prudent approach), it is necessary to dedicate a lot of time to this activity. However, this does not imply the impossibility of operating with another approach, namely in "part time". This means, however, riding other dynamics and adopting different behaviors. Moving from a full-time perspective to a part-time perspective is not simple, unless some practical advice is followed.

Why trade part time

There are plenty of good reasons to choose part time, especially if you haven't yet reached the status of a "Forex Trading expert". Here are some of them. Reduces exposure. Unless you use the wrong approach (we will discuss this in the next paragraph), doing Forex Trading part time means reducing exposure. You trade less, so you invest less. A detail not to be underestimated, especially if you are still inexperienced and each lost euro weighs heavily on your morale and wallet. Allows you to continue practicing your job. It is certainly difficult, but with a bit of commitment and organization, it is possible to square not so much the accounts, but the commitments. In any case, it is only thanks to the part-time approach that a trader, while waiting to become a professional, can continue to work. It's less stressful. The possibility of continuing to work, and in general of having a good social and professional life beyond trading, helps to slow down the pressure. With part time, you have the feeling that not everything depends on the trader, in fact, you consider it as a secondary activity (even if in reality it is not one hundred percent), therefore, if things go wrong, it can be sacrificed. Does not cause addiction. It seems strange to talk about independence from trading, and yet it is a serious problem, at least at certain levels. The cognitive mechanisms involved are the same as gambling, so we are in a field of absolute danger. However, doing part-time trading means operating in a more rarefied way, and the opportunities to become addicted are fewer. A bit like smoking: if you always and only smoke two/three cigarettes a day, and do not go beyond these, it is difficult to "get hooked", or at least become heavy smokers.

Tips for a good part time

After having examined the reasons for part-time Forex Trading, we can proceed with some advice (at least on paper) that is easy to follow. Organize your time. Doing Forex part time means engaging in at least two heavy activities. On the one hand, work, on the other - precisely - trading. It is not at all simple to put the two things together. However, with a bit of organization it is possible to do it without great worries. The important thing is to know exactly what to do and when to do it. The advice is to never go by arm, but to keep a memo or to compile an agenda in a precise way. Don't neglect extra-trading activities. Work and trading can be reconciled, as with a bit of organization. However, it is not enough. Your life should not be reduced to these activities, also because the impact on trading, and therefore on the hopes of earning, would be negative. So, make an extra effort and try to reserve time for yourself, for your loved ones, for your favorite activities. You don't live by work alone, and not even by trading alone. Don't try to make up for lost time. If you trade in a rarefied way, the risk is to give in to a psychological drift which, unfortunately, is very simple to reach: that is, the one that leads to making up for the time spent "doing something else" by increasing exposure disproportionately. It is a wrong attitude, firstly because it is objectively dangerous, and secondly because, in case of defeat, it causes significant psychological repercussions. Don't neglect analysis. The lack of time could push you to use a hasty approach, that is, to put in the background some "boring" activities, as well as those that take up the most time. Among these, analysis. Whether it is technical or fundamental, analysis must always be done. It is not possible to derogate from this obligation, under penalty of a loss of effectiveness (and therefore of money). Give automated trading a chance. A solution to the lack of time resulting from the part-time approach is to use tools such as robots, EAs, etc. That is, to embrace the complex world of automated trading. It allows you to manage operations without worries and not to neglect analysis, which remains the fulcrum of the trader's action even in this context. Obviously, it is not simple to make the transition from discretionary trading to automated trading, it is necessary to undertake an ad hoc training path, albeit self-taught. The results, however, are potentially very good.