How can we minimize the loss?

<p>How do you deal with losses? EXPECT them. The same way that a boxer expects to be punched in the face, it’s all part of the game.</p>

<p><br>About loss, he said that if we all want to grow we will have to take the big risks, and sometimes even suffer loss. Long term investments are always more beneficial than short term.</p>

<p><br>There is always Loss and Profit in any business . It’s all about Risk &amp; Reward in every business. Same way in stock market there will always be loss and profit both in short term investment and Long term investment as well.</p>

<p>Risk and return are very important concepts to understand. We aim to earn superior returns over other safer instruments. As returns increase, so does risk. To minimize risk, diversification of instruments is essential. By using the egg basket analogy, we can easily understand the importance of diversification. Let's say you have a dozen eggs. You're carrying them to the market to sell them off and buy other groceries you need. On your way, you stumble upon a rock and the basket falls. Due to the lack of eggs to sell, you are now in a difficult position. What would you do if you had the option to distribute eggs in three baskets and have them delivered separately at the beginning of your journey? Exactly this is what risk management is all about. In order to reduce the overall risk associated with your portfolio, it is advisable to include a variety of stocks. In this way, a portfolio provides returns that are risk-adjusted.</p>

<p id="isPasted">Try as much as possible to simplify the entire Forex trading process.</p><p>Don’t overcomplicate everything or see&nbsp;indicators&nbsp;everywhere you look. Too many traders overcomplicate things.</p><p>Keep to the basics, I’m not saying don’t look at&nbsp;indicators&nbsp;or don’t use&nbsp;charts. Just don’t get so caught up in the data that you cannot see what’s happening in front of you in the market.</p><p>Having a&nbsp;Forex trading plan&nbsp;eliminates many factors of stress and gives you a&nbsp;step-by-step&nbsp;structure on what to do in a Forex trade.</p><p>The less space you give for emotion to creep in and take over, the better. &nbsp;Having a trading plan also increases your chances of success.</p><p>Your plan should be based around this strategy, your goals, available capital, trading style, time frame, and the risk you are willing and able to take.</p>