How to do I get a career in trading?

One can make a career out of trading, but breaking into this world can feel incredibly daunting. It’s fast-paced and highly risky. The markets are incredibly volatile and prices move opposing directions at the drop of a hat. It’s a profession that requires patience, discipline, education and a robust trading psychology to deal with the whirlwind of emotions that it evokes. So how does on kick-start their journey in a way that it can be turned into a potential career? Let’s discuss.

Gaining a good understanding of what trading actually is 

Sounds obvious, doesn’t it – knowing what you’re getting into. But obvious it isn’t, which is often the reason why inexperienced traders end up with large, unexpected losses. Caught off guard by market movements that they didn’t know to anticipate or react to.

This is because trading is more than just a get-rick-quick scheme as depicted in the movies or the latest Instagram reel. It’s not 100% wins 100% of the time, with a flashy lifestyle to match.

Rather, trading is all about study and practice to maintain consistent enough gains. It’s knowing how to handle losses and controlling greed. Trading isn’t about luck – it’s about skill, discipline, and perseverance.

Knowing what style suits you best in your career

There is more than one way to trade. In fact, there are several styles, all of which are dependent on one’s level of experience, budget, and tolerance for risk.

A scalper for instance is someone that has a good amount of expertise and a stoic temperament to be able to handle some of the highest and quickest volumes of trades than any other style.

A scalper will typically be entering and exiting positions multiple times within the day, holding onto those positions for seconds or minutes. This is because they attempt to profit from small price movements.

A position trader on the other hand is in it for the long-haul. This long-term approach to trading sees the trader holding onto positions for months or even years. It goes without saying then that this form is suited to someone who is unable to manage fast trade executions without panicking, and then resorting to emotional driven trading decisions that lead to losses.

Moral of the story, study the different approaches determine which one aligns with your personality and goals. Swing trading, position trading, trend trading, news, trading, etc. There are many to choose from. But it’s only once you fully understand and experiment with each approach that you’ll be in a position to pick the style for you.

Start study for trading

Yes, like any new skill, getting an education in your field of choice is vital to gaining valuable information, insights, tips, and ideas. While it might be tempting to jump right in without building a strong foundation of knowledge first, focus instead on mastering trading through practice and learning before executing.

So, how to educate my self?

• Read blogs, books, articles, and e-tutorials to discover fundamentals.
• Watch podcasts and videos to learn from the experts.
• Consider attending an in-person seminar or course to engage with other enthusiasts from whom you could gain strategic tips, concepts, and strategieën.
• Consider signing up for a demo trading account to gain practical experience.

What is a demo trading account?

A demo trading account is an excellent tool for both new and professional traders to practice using trading platforms like MT4, and to test strategies in a simulated environment without risking real money. It mimics real conditions, allowing traders to enter and exit positions using virtual funds, assess their decisions, and make adjustments.

This provides a valuable opportunity to learn and gain confidence before transitioning to live trading. Additionally, traders can use the demo account to master technical analysis, utilising MT4’s robust tools and indicators to make informed decisions, which is essential.

Learn everything you can about analysing the markets

One of the most important components of successful trading is knowing how to conduct technical and fundamental analysis. Regardless of which way you lean as far as trading style is concerned, learning both types of analysis is key.

More specifically, technische analyse involves studying price charts (historical data) and using indicators to speculate future price movements. Chart patterns and price action form the basis of most decisions by a professional. As far as fundamentele analyse is concerned, will examine the financial health of a company or the wider economy to establish the intrinsic value of a stock, currency pair, commodities, etc.

Choosing a broker that best caters to your potential career in trading

Another important part of the process of making trading a career is choosing the right broker for you. This step will impact your entire experience so choosing wisely is paramount. But how does one pick a broker?

• Ensure the broker is reputable, and regulated by a recognised authority to ensure a level of safety and transparency.
• Mare sure the broker offers a trading platform that is suited to your needs. For e.g. IronFX offers MetaTrader 4, arguably one of the world’s most popular platforms, favoured by global traders.
• Ensure the broker offers multiple account types suitable to your trading style, flexible leverage, and competitive spreads.
• Check if the broker offers reliable 24/5 customer support, and is reachable via channels like LiveChat and email.
• Make sure the broker offers a wide range of instruments that suit your preference. This includes commodities, stocks, forex, indices, futures, and metals.
• Try and establish whether the broker provides quick and easy withdrawal and deposit options.
• Find out whether the broker offers educational resources to widen your scope of trading knowledge. IronFX’s Academy for instance provides an extensive variety of learning materials for both beginner and more advanced traders to help them become more skilled.

Develop a trading plan

When you are just about ready to start trading, ensure you have a proper plan in place for execution and risk management. This plan should specify your specific goals and the rules. Your goals should be reasonable and achievable. The plan should also be adjustable, as and when the need arises. As far as risk management is concerned, include stop-loss or take-profit orders to limit losses (or to lock in profits). Be mindful about position sizing and your use of leverage.

Remember, the way in which you execute trades should be aligned with your experience, budget and how much risk you’re willing to incur. It also means ensuring your trading psychology is strong so that you don’t fall prey to your feelings of panic or anxiety, which can lead to adverse outcomes.

It’s clear that practically anyone can get a career provided they prepare for it strategically. Investing in education is key, as is choosing the right broker. Picking the right style for yourself, and practicing how to using a demo account is also preferable before moving to a live trading environment. Remember, failing to prepare is preparing to fail. So equip yourself with the relevant skills and expertise before kickstarting your trading career.

Trading with IronFX

Becoming an IronFX trader means gaining access to a high-quality, flexible trading experience, multiple asset classes, an extensive range of account types, and fast trade execution. Through this international broker with clients across the globe, you’ll also be able to enjoy seamless withdrawals and deposits, and market access via the MetaTrader 4 (MT4) platform, arguably one of the world’s most popular trading systems amongst global traders. The IronFX Academy also offers an abundant source of educational resources to boost one’s skills and acquire fundamental trading insights.

Disclaimer: This information is not considered as investment advice or an investment recommendation, but instead a marketing communication. IronFX is not responsible for any data or information provided by third parties referenced, or hyperlinked, in this communication.