What principles should foreign exchange transactions follow?

1. Invest with spare money. Investment is risky. Don't put all your eggs in one basket.

2. Don't over-trade. To be a successful investor in foreign exchange trading, one of the principles is to keep more than three times the capital at any time to cope with price fluctuations. If the funds are insufficient, you should reduce the sales contracts you hold, otherwise, you may be forced to close your position because of insufficient funds to release the funds, even if it turns out to be accurate later.

3. Have a correct understanding of the foreign exchange trading market, and don't expect too much. Don't get emotional.

Don't change your mind easily. Set the price and plan for the day's entry in advance. Don't change your decision easily because of the current price fluctuation. It is very dangerous to make temporary decisions according to the price changes and market news of the day.

5. appropriately suspend trading and relax. Trading day after day will dull your judgment. A short break can help you re-understand the market and yourself, and help you see the direction of future investment.

6. Don't be blind. Successful foreign exchange investors will not blindly follow the wishes of others. All decisions should be based on a reasonable analysis of the market situation.

7. Reject other people's opinions. Once you grasp the direction of the market and have a basic decision, don't change your decision easily because of the influence of others.

8. Set the stop loss position. This is an important investment skill. Due to the high risk of the investment market, in order to avoid losses caused by investment mistakes, we should set a stop loss every time we enter the market and settle the transaction immediately when the exchange rate falls to a predetermined price and may fall. Therefore, this calculation is only an instruction to limit losses, which can limit the further expansion of losses.