Have you ever thought about making consistent weekly demo profits on Pocket Option? That would certainly be a solid goal for many traders at the beginning of their journey. There is no secret solution for placing stable profitable trades, and some take years to master the skill, but there are definitely a few tips one might consider. Let’s have a look at some of them.
(Disclaimer: Please note that all content is referring to trading on the Demo account of pocket option.)
Many traders do not consider this to be an important factor in successful trading and yet the inability to control emotions is one of the most common reasons for failure.
Patience in trading is extremely important. It’s not a good idea to just rush into placing trades for the sake of it, no matter how tempting it might be. It is essential to wait for the right conditions on the market, spot a trend and determine how to benefit from it, identify the right entry and exit price levels, and put the necessary risk management controls in place. This ensures that you are indeed focusing on trade setups with the highest chance of ending in a profit, especially while you are still in the learning stage.
It is quite easy to lose track of the bigger picture while trading. Every trader makes both losses and profits from time to time. It is the long-term perspective that matters, the accumulation of demo profits over time, discipline, and a consistent approach. It is important to manage your expectations, not aim at making millions within a day but also accept losses and learn from them.
What also helps avoid hasty decisions is developing and following a good trading plan, with clearly established goals, trading rules, and strategies. A trading plan should have rules regarding positions you are placing, money management techniques, and an outline of your trading aims. Some of the things one might consider in their trading plan:
- Trading goals
- Preferred financial instruments and markets
- Technical aspects of the trade, such as the chart type used, time frame, indicators
- Strategy, entry, and exit rules
- Analytical tools
- Time frames
The choice of the right strategy, instruments, and markets is vital. More volatile and complex instruments, intense and leveraged strategies may be quite challenging to deal with at the beginning. As to the last point, short timeframes are often more difficult to trade while longer frames give you more time to analyze the chart and signals. Certain trading styles, like scalping, which focuses on making fast profits from minor price changes, or day-trading, are relatively fast-paced. Others, such as swing or position trading work with longer timeframes. Quick Trading on Pocket Option allows you to manually choose the time when the trading position will be closed:
In Digital Trading, you can set a specific timeframe for expiration, for example, M3 for 3 minutes, M10 for 10 minutes, and up to several hours:
You can also choose a time frame for your chart according to your preferences.
Creating a good trading plan is not easy but it is essential to remember that it is also not a static thing. Following your initial plan is important yet one needs to analyze what works from it and what doesn’t and modify accordingly. Flexibility is important in the trading industry where markets are constantly under change. That is why you might consider looking at the trading history or keeping a trading journal. Pocket Option helps you in this process by allowing you to view and filter your trading history under the “Profile” section:
You might also consider drafting money or capital management plan. That may help avoid losses and make sure you are on your way to making a stable level of desired demo profits. Here are some of the things you might consider:
- Desired amounts of profits for each position
- Profit expected per trade
- Amount of initial capital required to achieve profit goals
- Asset diversification
- Risk management techniques and position sizing
The last point is very important: do not forget about selecting the correct position size. Many traders who just begin their journey make the mistake of placing big proportions of their funds on just a few positions. This exposes you to large potential losses in case markets move in an unfavorable direction. Some of the risk-averse or less experienced traders follow the 1% rule, using no more than 1% of their funds on each trade. Pocket Option allows you to select your position size both in terms of percentage of your funds and in dollar amounts:
The last note on the topic of planning is a checklist you might consider making, a simple outline of steps that need to be completed before a trade is placed. Although this may seem unnecessary and take too much time, it is quite easy to overlook certain conditions and entry rules without a checklist. For example, if you are trying to set a trade based on a bullish trend, you might want to check the support and resistance levels, moving average indicator, have a look at whether there are any upcoming announcements that might impact the asset’s price or any major changes to correlated instruments on the market.
Strategy and Analysis
There are many different trading strategies and techniques of market analysis available. Your trading strategy will outline several rules for placing and executing trades, such as the entry and exit rules, monitoring, suitable technical tools, etc. Some strategies rely on fundamental analysis, others on more technical aspects and technical indicators. Technical analysis tries to anticipate the price movement of an instrument using various indicators, many times by using preceding price history and trading volumes. Pocket Option provides a great variety of tools of technical analysis on the platform to help its users, including trading indicators, drawings, several chart types, and market watch:
It may be a good idea to consider a variety of strategies at the beginning, to understand which one suits your knowledge and personality the best. Once you have chosen the techniques that appear to be most suitable, it is a good idea to learn them in-depth and practice them, for example on the Pocket Option demo account. One thing is certain, this process does require a great degree of patience. For those who do not have the time or expertise, the platform offers the possibility of copying others’ trades under the Social Trading program; remember, however, this still carries risks and does not guarantee profits.
Remember that consistency does not mean every trade you execute ends up in profit. In the end, a consistent strategy is the one that best fits your trading preferences and goals and allows you to make desired levels of profits steadily. Best of luck in making steady demo profits on Pocket Option!
Risk Warning: The trading products offered by the companies listed on this website carry a high level of risk and can result in the loss of all your funds. You should never trade money that you cannot afford to lose.