They usually come in the form of oscillators placed under the charts. The main indicators used by beginners in trading are the MACD and the RSI. The MACD provides buy-sell signals based on the crossing of two lines, while the RSI identifies times when assets are too high or too low and therefore a reversal is to be expected. All trading platforms, including that of the online broker CTB , offer these indicators.
Learn the basics of risk management
Knowing when to position yourself in the market is not enough to be successful online trading. You also need to know when to exit. This is what risk management is primarily for. The first principle of risk management is the use of stops and limits. A stop is the maximum level of loss you allow yourself on a trade, while the limit is your goal of winning. It is important to define these thresholds in advance so as not to let emotions take precedence over your decisions! There the use of Global CTB comes useful.
Choose the market that suits you best
- As we have seen above, there are different financial markets and financial products (commodities, stocks, etc.), each of which has its own specificities.
- If you want very short term and evening traders, forex will probably be the most suitable market.
- But if you are only available to trade on weekends, you will have to go to crypto-currencies.
Finally, if it is more the medium-long term investment that interests you, it is to invest in the stock market which will be the most suitable market. Note that your preferred financial markets will guide the choice of your broker.
Choose your online broker
Once you have been trained in financial market analysis and risk management, and once you have chosen your favorite markets, the delicate stage of choosing an online broker arrives .