They say, those who wish to achieve something look for opportunities not an excuse. However, it so happens that sometimes opportunities find you instead. This is especially true when it comes to the trading contests.
Lack of capital or investors who are ready to invest in a young trader are the major roadblocks to consistent gains in the financial markets. Luckily, Gerchik & Co brokerage company addressed both of these problems. Now there are simply no reasons not to make money with trading!
September marks the beginning of the sixth season of the Demo Account Contest hosted by Gerchik & C. Its key advantage is that it has not just one, or three prizing-winning places but fifty-five! This means that 55 contestants, who demonstrated the best profitability results when trading in the demo account in the course of three months, will get their hands on $1,000 in investment in the TIMA account.
Those who are able to trade profitably and manage money efficiently have every chance of starting a trading career without any financial investments. All they need to do is show their skills and knowledge. If you already have a successful trading experience, this is your perfect chance.
However, there are still two months left before the contest launch. What this means is that the newbie traders who are only testing the waters will have enough time to get prepared and gain their foot in the door with the trading contest.
Below we are going to discuss what steps the newbies should take in order to get prepared for the contest participation as best as possible. Meanwhile, pro traders can use this handy list to check how well they are prepared too.
The coronavirus pandemic and the global lockdowns revealed that we all needed to change our scope of activities and switch to online mode of work. This is the best time and environment to master a new profession and get started as a trader.
There are about two months to get prepped for it. You can gain the knowledge and skills that you need so that you are ahead of the game when the contest begins.
It is not a hard task to make money in financial markets. All you need to do is buy assets when they are cheap, sell them when they go up in price, and vice versa. For this, you need to be able to pick the right trading instruments, predict where the price is going to head next and make trades correctly. Below we are going to take a closer look at the step-by-step plan for mastering these skills.
So, the first thing you need to do is figure out the way financial markets work, what types there are, who their players are and what factors affect the price movement.
There are international exchange markets, stock markets (e.g. American stock exchange market), and commodity markets where oil, gold and other commodity assets are traded.
Cryptocurrency market is another relatively young market that should be mentioned. Each one has its own features that make it attractive for traders and investors. For instance, the exchange market is open 24 hours a day 5 days a week.
Using the trading terminal at Gerchik & Co, you can trade assets that are traded in all of the above markets i.e. currency pairs, stock, commodity and cryptocurrency CFDs. This is why your next preparation step is to understand the inner workings of this trading platform.
The third step is to learn the market analysis methods. To be able to predict the price movement direction, you need to know how to use technical, indicator and fundamental analysis the right way. It will take a while to figure them out but once you do, you can proceed to exploring trading strategies and techniques.
It stands to mention that there are a ton of trading strategies based on one of the three analysis approaches mentioned above or combination thereof. You don’t have to learn all of them. Two or three strategies would be enough. Test them out and pick the one that you find to be the most convenient and straightforward. We recommend that you start with support and resistance trading strategy. Technical analysis is what forms its backbone, and it’s relatively easy to understand.
Aside from knowing how to identify the entry point based on the trading strategy, the traders need to be able to manage capital and risks efficiently. To achieve that, be sure to study risk and money management rules carefully, learn how to place accurate stop-loss and take-profit orders and calculate trading volume to enter a position with. Last but not least, the acquired knowledge must be properly systematized.
According to the rules of the trading contest, the drawdown must not exceed 20%, and the contestant must demonstrate the best results in terms of trading profitability. A trading system developed on the basis of knowledge acquired during previous preparation stages is going to help you with it.
It should include your market analysis approach, entry point determination techniques, risk and money management strategy, as well as principles for managing emotions in the course of trading.
To get prepped for the trading contest from scratch, you need to complete the following steps:
1. Learn the ropes of the financial markets and how they work, and pick the one you wish to trade in (currency, stock, cryptocurrency, and commodity markets or all of them).
2. Get the hang of the trading terminal.
3. Learn to analyze the market and predict the price movement direction.
4. Pick the strategy you will be trading with.
5. Learn the risk and money management rules and work out your own money management strategy.
6. Develop a trading system and stick to it at all times.
And then, it’s all about practice. Start putting your knowledge to use in the demo account. Keep a trading diary, work on removing your mistakes and keep track of your progress.
Yes, you would have to work hard for two months. But in return the gained knowledge will help you participate in the trading contest and make it to the top 55.
As a result, you will master a new profession which is going to let you make money from anywhere in the world and at any time regardless of the crises. Plus, you will get your hands on the initial capital to proceed further.
It must be noted that the prize money is basically Gerchik & Co’s investment in traders. It will be credited to the TIMA account. This means that potential investors will be able to see your trading performance. If they like it, they will invest their money in your strategy. This will maximize your trading capital and help you to earn even more.
In a nutshell, the trading contest offers a chance to start a career without having to invest own capital. Use it and may it become your launchpad for a better financial future.