How to Start Trading in 2025 ( Complete beginner’s Guide )
How to Start Trading in 2025
Complete beginner's Guide
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Now ! I am going to share with you what exact roadmap.
I would follow if I were in your place today, and most probably guaranteed that if you follow this thing then of course the time it took me six years, it will probably take you three years because you will have a clear cut roadmap. So make sure you read this blog till the very end because I am going to give you a serious roadmap.
So if you are a complete beginner and you don’t know anything about trading then the most important thing is to know ( how many types of markets are there in trading? What all exists? Which financial markets exist? In which markets can you trade? Because trading is a concept ). Trading is an activity which you can execute in every market.
The most important thing is to decide which market you have to jump into? Which market you have to trade?
Now mostly there are three types of markets…
- First is the stock market
- Second is the crypto market
- Third is the forex market
These are the there major markets where you can trade, where you can take trades, where you can become a trader.
After six Years of Trading
In these six years, I traded in the Stock market for two-three years, after that I traded in the crypto market for one-two years and after that for the last three-two years I am trading only in Forex.
So you can see there that I have experienced and traded in many different markets and I have done well. After six years I can tell you that if I was starting from zero today, I would have directly gone to the Forex market. The stock market is positioned in a way to make you lose money. Taxes are high in the stock market, fees are high, brokerage is h.igh. There is no leverage either. There are many things, basically the odds are against you in the stock market
For Example : If I want to open a restaurant today and I have two options.
One is to open the restaurant in a village.
Second, I can open the resturaurant in Mumbai city.
What should be the right choice?
Most likely Mumbai is a city, because Mumbai overall becomes such a big market that the chances of people showing up in my restaurant is very very very high. But if I open a restaurant in a village whose population is only 10,000 people. So, the chances of my restaurant becoming a success is very limited because even if 10,000 out of 10,000 people come and eat in my restaurant, my growth is very limited. Whereas in Mumbai, whose population is in millions, the potential is unlimited. The potential is untapped. And there my chances of growth are very high. And similarly, the stock market is like opening a restaurant in a village. And the forex market is like opening a restaurant in a metro city. And that is why if I was starting out today, I would have gone straight to the forex market. After six years, after almost three-four years of my journey, I realised that the forex market is better than all the other markets. And that is why I shifted to the forex markets.
After that, when you have decided which markets you want to trade in, now comes the second part which is deciding your platform and deciding your broker. What is your broker ?
A broker is basically a body, a company, an organization that facilitates your trading.
Suppose I want to trade in gold today. Now I want to buy gold, then who will sell me the gold? Because if I want to buy, then someone will have to sell me the gold, right? And the broker exactly plays that role. The broker will be between me and the seller. The seller has to sell gold. The seller will go to the broker. I want to buy gold. I will go to the broker.
And the broker will facilitate this transaction for which he will charge a fee. Both from the buyer and the seller. This is what a broker is.Now the broker plays a very important role in your journey. Why? Because if you do not choose the right broker, your journey can be long. Let me explain. Suppose today I started trading in the forex market with Rs:10,000. Now my brokerage charges, the commission that my broker takes, is very high and suppose I lose Rs:5,000 out of Rs:10,000. Now I lost Rs:5,000 but I also lost Rs:1,000 in brokerage and commission fees. This means that my loss which could have been 50% has now become a loss of 60%. Now I will have to recover 10% extra, which means I will have to invest extra time, which means it will take more days to recover, which means your journey, your loss making period will become longer. Second, very important point, a lot of brokers do scams. A lot of brokers run away. A lot of brokers do wrong activities due to which people’s money gets stuck. So that is also a very important role. You can be the best trader in the world but if your broker runs away with your money. Nothing will matter, and that is why the broker plays a very important role. So make sure you do your own research, make sure that you learn everything about your broker, whether it is legal, whether it is regulated, whether it is legitimate and whether it is just some random company that is running and just taking people’s money. As of today, I can open a broker with just Rs: 50 lakh to Rs: 1 Coror. and receive people’s money. That is how easy it is. And that is why there are so many scams going on. So just make sure you are careful on that part.
Which is your trading platform...
Which is your trading platform. Now in the forex market things are a little different. In the forex market I have to choose a trading platform as well as a broker. Normally what happens is that there are many trading platforms which are connected with the broker, right? The broker is on the back end which is facilitating your transactions. On the front end is your trading platform where you are executing your trades. So choosing a trading platform is also important. There are many brokers who offer many trading platforms. One of the best trading platforms are MetaTrader 5, Trade Locker and C-Trader. These three trading platforms are very good. I personally use MetaTrader 5 and Trade Locker. These two are very favorites of mine and I only use these two because execution on these is simple. Things are easy to understand.So first of all I have decided the market. I have chosen the broker. I have decided the trading platform. Now I am ready to trade. But now I need a trading strategy. Now what do I have to do for a trading strategy? To make a trading strategy, first of all I will have to learn trading. Now I will learn trading, so what things should I focus on? What things should I not focus on? If you ask me today, after six years of experience in this market, what is the number one concept that actually matters? A part from risk management, the number one concept that actually matters is liquidity. If you know where the liquidity is you will know where the big fishes will take the market. According to me, the most important concept today, in my opinion, is liquidity. If you learn to read liquidity, you learn to read the chart. Nothing else will really matter. But of course there are some key concepts which you need to know: support and resistance, trend lines, chart patterns, candlestick patterns. I personally think that chart patterns and candlestick patterns are not so important. But you need to know support and resistance, trend lines, trend lines to understand liquidity. Then liquidity itself, volume, strength and momentum of the candles. All these technical things are very important for you to know.When many people start their trading journey, they take too much knowledge, they read too much knowledge, they sit after reading too much. I also made this mistake, I read a lot of books, but eventually only these few things will matter. At the end of the day, even if you read 100 things, in the end you will use only three to four things to trade successfully. So make sure you don’t overwhelm yourself with knowledge. These are the three-four concepts that I would personally learn if I was starting again with the same knowledge and with the same experience. And after that, using these three to four things, I would build a trading strategy. But to summarize it for you. ( There are four to five important things in a trading strategy: 2. Time window, 2. Trading setup, 3. clarified trading setup. Which instrument am I going to trade? Instrument, now I have defined the market. It is also very important to define which instrument I am going to trade within the market. Suppose I am trading in the forex market. In the forex market I am trading gold. Specific instrument: I am going to trade gold. After that my risk management will be defined, how much risk am I going to take? How much reward am I going to get? All these things will be defined. If you watch my strategy video in detail, of course you will understand this much better in a much more clarified way.Now, I have a strategy, I have a broker, I have a trading platform, I have decent knowledge about how to read charts. Now what do I do? Now I will go to the old charts and test the strategy that I have built. To see if it works or not. Because a lot of you guys come into this market with your hard earned money for which you have worked so hard, for which you have worked for so many days, have heard so many people abuse you. But all of you come into this market with your hard earned money without knowing whether your strategy works or not. And that is just insane if you think about it. Suppose you are learning to drive and you are learning on someone’s brand new Ferrari. Would you ever consider doing that? Absolutely not. But people come into this market with their hard earned money and they trade without knowing whether the strategy works or not. So this is where I will start testing my strategy, whatever strategy I have built I don’t even know whether it works or not. And that is why it is important for me to test this on the previous chart.So now I will take this data, now I will take the strategy and test it on the data of the last one year, to understand whether this thing works or not. Once I get the data, now I will understand what kind of data it is. If the data is good, well and good. Then I will start trading. But if the data is bad, I see that my win rate is very low. I see that my resort ratio is very low. I will improve the strategy, I will improve it. How will I improve? I will note down which are the days where I am incurring the maximum losses. I will avoid trading on those days. Why am I incurring losses on those days? What is happening exactly on the chart? Which setup is forming due to which I am incurring losses? I will avoid those setups. In which time window am I incurring the maximum losses? On which hours am I incurring the maximum losses? I will then avoid that hour. When I remove all these factors, my win rate will automatically improve. Now always remember one thing that if your win rate is 80% in back testingIf it is 20%, then in the real market it will come down a little, it can come up to 60%. Because of course a lot of variable factors get added on in the live market. So make sure when you are ready after back testing your strategy, your win rate should be around 80%. So and even if it comes down to 20%, it is still going to be 60%. And after I am done back testing, after that I will finally implement my strategies in the live market. And to add a cherry on the cake, suppose I am a complete beginner and I have no experience of how to punch orders, how not to. I will download Meta Trader 5. I will open a demo account in it, trade on the demo account, practice my strategy once again. Because I have back tested results. After that I will finally buy a prop form challenge or open an account with a forex broker. And that is how I will start my trading journey. I hope this gives you clarity. I hope this gives you an idea of ​​exactly what a trading journey should look like. I have tried to explain to you in very simple language what factors should be there. And even if you are not a complete beginner I hope you found a missing piece to your puzzle, missing piece to your journey. And I hope this helps. See you in the next one.
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