According to statistics, more than 80% of all investors engaged in foreign exchange transactions are currently engaged in foreign exchange short-term trading operations. Foreign exchange short-term trading, profit is relatively fast, and there is no need to hold positions overnight, which is a more suitable trading method for novices. But in the process of short-term foreign exchange trading, there are also many things that need attention.

Compared with long-term and ultra-long-term trading, foreign exchange short-term trading is more suitable for small capital and novices. Investors need to pay attention to the following points in the process of use:

First, the choice of points. For short-term foreign exchange trading, the choice of points can be said to determine the success or failure of this transaction, the entry point determines the profit of the transaction, and the exit point determines the profit and loss of the transaction, which is very important.

Second, the stop loss setting. For short-term foreign exchange trading, stop loss is very important. Since the amount of funds involved in short-term trading is usually relatively small, if the stop loss is not set, once a loss occurs, the consequences will be unimaginable. Of course, for other trading methods, stop loss is also crucial, but there is no short-term trading, which determines the success or failure of investors’ foreign exchange transactions.

Third, the size of the position. For short-term foreign exchange transactions, the size of the position is also the key to the success or failure of foreign exchange transactions. We know that the most taboo of foreign exchange trading is heavy-duty trading, and the same is true for short-term trading. According to the characteristics of short-term trading, short-term trading is suitable for light trading, through frequent transactions; to obtain profits.

Fourth, the setting of take profit. Stop-profit and stop-loss are important considerations for short-term foreign exchange transactions. Stop-loss can help us effectively reduce losses, while stop-profit is to help us retain profits and prevent profit-taking.

Fifth, the cultivation of mentality. Short-term foreign exchange trading is particularly important for the cultivation of a mentality. For example, a position that could continue to be profitable, investors would close the position prematurely because of fear of loss. This is the case where the typical mentality affects profits in short-term foreign exchange transactions. Investors must pay attention to the cultivation of their mentality during short-term foreign exchange transactions.