4 Things to Always Do Before You Start Trading

Jump right in and make a profit immediately? That's what most people think will happen when they enter the world of trading. But there are several things that experienced traders like David Jones always do before they open a new trade.
He goes over every one of them in detail here, from picking which markets to focus on, selecting a time frame and setting a Stop Loss to determining the level of risk.
Each of these four components is as important as the others and together they form a cycle of decisions that should be part of every trade you make. Being disciplined and prepared in advance for different scenarios is the only way to go about trading.
At Trading 212 we provide an execution only service. This video should not be construed as investment advice. Investments can fall and rise. Capital at risk. CFDs are higher risk because of leverage.

[@versatilecontent4244]

4 Things to Always Do Before You Start Trading: 1- What market should you trade in? 2- Time Frame. 3- plan your Stop loss. 4- think about the financial risk percentage...

[@realloreal]

Hosam Elgendy thanks for these tips. They turn into a plan.

[@markburton9712]

I'm furious that I never saw these videos when I started! Mr Jones, thank you for helping understand the charts. God bless & all the best. M

[@ernestgty1442]

I'm eager to learn about stocks and I've been watching a bunch of random videos. I watched a couple of yours and now I'm a subscriber. Love how you structure your videos. Your explanations are focused without entering into a breadth of topics and terms, which really help beginners like me. Thank you!

[@emekaodikanekwu8769]

You are an amazing teacher. I don't think I have ever come across a collection of videos on trading so holistic, complete and easy to comprehend as the trading 212 playlist. My mind is blown. Trading 212 is a one stop shop for getting the right software and you tube video guide for any beginner in trading. What I especially love about the app is the invest option. Awesome services, awesome teachers and an awesome customer service so far. Thank you so much.

[@neilbickerdike]

seriously glad i have found this channel as so many site etc over complicate the market, Trading 212 do it simple and easy to learn, I would like to see a good video on back testing if you do one if now, can we have one please....

[@tharathan66]

I really love this channel, I've learns so much and i getting better and better and your platform is cool!

[@zainulabideen5716]

One thing to check before trading: 1. Look into your pocket

[@ericntirampeba7078]

I like the way you get strait with important points without killing time. Thanks for the valuable lessons !

[@sandswan]

Just found your channel. Great stuff, David. Thanks.

[@GoatOfTheWoods]

thank you for existing! you really helped me make gains, and kill my greed

[@chivalryrevival3213]

David, for some time now I’ve been wanting a stock market mentor. I feel as though I’ve found that in your videos and I just wanted to say I’m so grateful. May you and your family be abundantly healthy and prosperous.

[@nebaakonwi695]

love your show sir. , u inspire me so much, I'm new into the market watching ur video is like learning from u in person

[@smash7777-]

Thank you! I learned 4 things from this video! I will carry all 4 with me from now on! 👍

[@TheARTY50]

Awesome vids bro - been marathoning afew and I'm keen to to approach my previous loss with more info

[@malcolmtaylor745]

Very clear and well delivered, awesome video, thank you.

[@Ruddster6]

This video is one that had some of the most important down to earth advice. I am planning my first trade in a few weeks. I thank you for keeping it realistic and not pie in the sky crazy like some of those Forex "gurus" who claim that you can make millions a year if you take my course.

[@francismwila639]

I discovered your videos very late and I feel I missed out on so much information. This is great knowledge and I have subscribed.

[@BrUSomania]

I just saved myself from falling victim to the Norwegian Air Shuttle stock going down 21-ish% today. My stop-loss got me out at the -2-ish% mark. That's the "best" loss of money I've ever had - I was so happy!

[@sekytwo]

loving these vides! thanks David.

[@jazzyjay514]

Wish i had seen this video months ago. You've just helped a few key points click. Thank you!

[@BURGATRON]

Thank you sir. This video could have saved me a lot of money had I watched it 3 years ago. Keep up the good work!

[@ILKBNS]

New to trading, I learned that risk should be half of the potential gain (2 to 1) as a type of risk management. I checked the 3% of my investment size rule you mentioned to a current holding I have were I set a stop using the 2 to 1 rule and considered technical support. I found that the 3% rule gave me a stop price at $147.20 and I had set a stop at $147.50 using the 2 to 1 rule. This is great for confirming my predictions and managing risk, Thanks.

[@yunus148]

Thank you David Jones for clear explaining of terms.

[@akhtarbutt66]

well explained. Thanks

[@yachtdeliverysolutions]

These videos are brilliant. (But he makes me think of David Brent). I am very impressed with the app, videos, and the in app chat help.

[@degenviking6068]

Thank you David, this is wonderful stuff.

[@JoliArtist]

Very helpful, David. Thank you!

[@chijiokedaniel8262]

Good stuff here, insightful video. It is very encouraging to Possess a thirst for knowledge. Never stop reading and learning about this stuff. Learn to love it. This isn’t something you’re going to read for a couple seconds and just master randomly.

[@Readsami]

Thanks for good education

[@footballnfun9598]

thank you man ... i am just starting to trade and those advise mean a lot

[@overthrow4984]

thanks for the reminder! love these tips!

[@joceylingranada9115]

I got into the market to earn profit and I’m doing so. I can’t stop investing on the online market.

[@Stormfox93]

Very useful video! Thanks a lot

[@BC-uu6iz]

tks David once again, you're giving us incredibly valuable info, which trading platform do you suggest for beginners?

[@joshuablanchette878]

great video, I am getting into trading for the first time and I have been really impressed at your videos.

[@JayanthUkwaththa]

good stuff, thank you.

[@andyvaldez212]

This is a really great channel

[@M3driver34]

Amazing thx for this video great job

[@martinscully2749]

Great Video! Thanks :)

[@StevesStuffHere]

I would like you to cover my trades. In all seriousness, I wish I would have found your videos a month ago. Probably would have saved me a few dollars....

[@mikem3814]

Very good tutorial, very helpful. Please put out a video for trading with the Bat and Cypher patterns.

[@Trading212]

Thanks for your request.

[@riccardotosatto3264]

Nice Video David! Some wbsites to be informed about the markets, to get a better trading result? Thank you, have a nice day!

[@Trading212]

Hello, Riccardo. You can take advantage of Trading 212's Economic Calendar: www.trading212.com/en/financial-calendar. You can also use the Tradebird feed in the mobile and web apps.

[@hop9920]

Excellent. Can you do a video about mt4 lot sizing and how to calculate it, especially when the quote currency isn't the same as your account currency.

[@ashaaribloodgood3048]

great explaination.

[@msindisimtengwane9456]

Hi David I've been following your videos for a few days and I love them. Very concise and easy to understand. Not using too much stock market jargon really helps. Could you please do a video on how to trade option and the most efficient strategies for it.

[@Trading212]

Hi Msindisi, thanks for your suggestion. The topics covered in the videos are related to the services offered by Trading 212. Binary options trading is not among them.

[@msindisimtengwane9456]

Got it...thank you so much...but I realized that the strategies are interchangeable mostly between forex and options, so I'll stay tuned in if you don't mind.

[@Trading212]

Great to have you around. Watch this space for more from Trading 212.

[@NachoYapur]

Very useful. Thank you

[@viktor6772]

A question: How can man avoid a negative effect of a big weekend gap on D1, W1 timeframes? Good videos by the way!

[@zek3359]

Hello David Jones im really happy to watch your you tube channel I would like to learn more from you . do you have group class in UK london to join

[@AshraJewels]

Great video again. Thanks all at T212. I don't know if I've missed it, but is there a video on calculating risk? It's briefly mentioned here but it would be great to know how to manage risk no matter how much you have in your account. Cheers!

[@Trading212]

Hello Hiren, you may watch the following videos covering the topic of risk in trading and investing: Risk & Reward - kzbin.info/www/bejne/moHVaJp6i5alnNE How Much to Risk on Each Trade - kzbin.info/www/bejne/f3zJXpqqZ7uno5Y When to Apply Risk and Reward Ratios? - kzbin.info/www/bejne/d2GZlqNrfpycbK8 How to Manage Risk Through Diversification - kzbin.info/www/bejne/mZfSqoOKnJumb8k

[@aaronsmith8416]

What would you choose to start trading with (practice) to get used to the platorm and using stop losses, how charts move etc.? Also maybe a video/article on bid and asking rates to understand 'spread' and how these are shown on the platform so i know exactly how much will be given up on each trade to get true figures after these 'deductions'. Grouping videos into sections/skill levels on the website may possibly be beneficial. I am seeing videos on limit/stop OCO orders which I'm not familiar with yet. Or maybe even a selection of the videos you guys reccomend watching first and progressing through? Either way its all free and the content to learn from is great so thank you loads and keep it up!

[@aaronsmith8416]

Just some feedback from a very interested beginner!

[@af6056]

Thank you for all the good trading info. Would like if possible that you expand a little on the time frames topic. Do you trade using different time frames? Is the daily more effective than the 1 or 4 Hrs? Thank you.

[@davidjones2452]

Hi really good question. Yes, I think it is always advisable to start with the daily time frame - it is more effective. You need wider stop-losses but I think it helps in not getting too caught up in the short-term noise. Glad you are enjoying the videos.

[@tomwest_uk]

Hey cool video! I’m looking to give this trading idea a go in the next few days, but I don’t know anything at all about trading and even what button does what. Have you got any simple videos on how to use a trading app and simply what actions do what? Kind regards - Tom

[@eugeneawimbo6976]

THANKS DAVID

[@nebaakonwi695]

a million love from Cameroon

[@DRIVEJA876]

Awesome video!!!!

[@realFriedrichHayek]

Trading 212 > Every other trading platform

[@JulianCachaca]

The UI of T212 is awesome and also usability features for orders and TP ect. but the charts are horrible in my opinion :D

[@Trading212]

Hi, Julian. Your comment regarding the advanced charts is quite surprising, given the fact the majority of traders are really pleased with them. It would be much appreciated in case you share details to the customer care team. The contacts are listed at www.trading212.com/en/Contact.

[@eddnufc93]

In some ways, yes. In others, lot of improvement needed.

[@armandoferreira1346]

@@eddnufc93 Can you please tell what you think should be improved?

[@sidind2641]

@@Trading212 do you have your own trading platform?

[@DavidOMalleyArt]

is there a 212 tutotial on how to actually implement a stop loss wihin the app? Just cold hard facts. Showing us how it works in the platform, in action. Step by step. I'm sure it could be done in 1minute max. e.g 1. open 212 Invest, 2) click on this click on that etc.

[@Satishkuswah]

Like all your videos

[@anellejournal]

thank you david

[@stephengibbs5437]

Thanks good video

[@thebandit1853]

Point 4 is very important and I’ve leadned that the hard way but I’d like to ask; is there a way to put in a max/min % risk on a trade once you’ve bought shares in a company rather than having to figure the % out yourself?

[@Satishkuswah]

Hey this is Satish Kumar from India, what should be time frame for intraday equity cash for technical chart

[@hakuinz4226]

Are 3 day trade per five b. Days allowed for each broker an individual has? I have read this. Thank you.

[@only1baller]

Very good video

[@Joenasr]

What platforms are truthful and legal to play clean CFDs? Is IQOPTION one of them?

[@achraf7581]

whats the best frame to trade with in bittrex 1 day 15 min 30 min what do you think guys help me

[@brewsonventura5361]

Sir am new to trading.....so can u please tell us how to use trading 212 for beginners....am really confuse

[@muhammednihad4455]

Sir what is the size of that monitor your using? 24 or 27 inches?

[@globalcitizen7]

Dear sir am new trader. I like to trade in option. But i face some problems during day trading. 1 when i change candle time 10 to 15 MACD and other indicator change their trend. So which time frame is best 10 min or 15min 2nd i cant maintain my stop loss. And get emotional to the trend which i suppose to believe. When it get revers i believe it will get back as i believe. Plz help. Am from india.

[@halo5gamer745]

very good

[@iSudo187]

odd question. not about the market. but what monitor stand are you using that has corner grabs like that ?

[@davidjones2452]

If you search for "non vesa monitor mount", you will find lots.

[@petermorris9334]

What program would you recommend for a beginner to look at stocks?

[@Trading212]

Hi Peter, you can open a free Practice Account with virtual money on Trading 212 - www.trading212.com/en/Free-FOREX-Practice-Account-GBP. You have a web trading app and native mobile apps for iOS and Android at your disposal.

[@Jonasofzo]

So basically your stop loss is the lowest point in the graph before you place a trade. If the graph goes under it when you bought that stock you sell it right?

[@quercarienmclynne]

Can you please make video on scalping trading 212

[@mypapaya590]

I feel guilty after I start learning about the stock market. I think the reason why is that everyone is motivated by greed, including myself. In my opinion we should have a balance of greed and empathy to everyone in this world today!

[@MPlain]

Learn all you can about trading. The market is driven by us the traders. If you know what the herd is going to do....you will run with it and win. Pretty simple really.

[@ezechukwuazuike4407]

Nice videos. You don't seem to talk much about binary options as an investments vehicle. Why is that??? Secondly I would like to see a video on strategies of trading in a ranging market. Thank you.

[@Trading212]

Hi, Ezechukwu. The videos in the channel are focusing on trading equities, cryptos, Forex and CFDs. Your suggestion is appreciated.

[@md.sohelrana9780]

nice.....

[@nebaakonwi695]

sir, plz can you make a withdrawal video, how how to buy a share

[@janae1able]

I'm new to trading and I've watched a few videos. This is all overwhelming. Where do I start?

[@Trading212]

If you've already checked most of our videos, the next step would be to put everything learned into action by opening a Practice account and testing your strategies, free of risk. You can even check out our video on the importance of utilizing the practice mode here: kzbin.info/www/bejne/homvdXiInrSWfLM

[@YouFixTube]

How is this CFD different from Binary Option? And how much is needed to deposit before you start trading?

[@Trading212]

Hi there. Binary options are not available with Trading 212. Take a look at this page for information about CFDs: www.trading212.com/en/CFDs. Currently, the minimum deposit amount in a Real Account is GBP 100, EUR 100 or USD 150. Local currencies are available in certain countries. The full trading terms are listed at www.trading212.com/en/Terms-and-Commissions.

[@Stepzgie]

What platform do u use its so clean

[@Trading212]

It is Trading 212. Try out the free Practice Money Mode at www.trading212.com/en/Open-Practice-Account-GBP.

[@toddgilbey3979]

Where's his Flying Dutchman...? He clearly finally made it to port 😉

[@miguelschickaneder2806]

Thanks David for this information of high worth.

[@thomasstevens577]

Am I right in think FX changes for F,foreign X,exchange?

[@toddgilbey3979]

Britpop Brony Correct 👍

[@Nnamdis4]

Please my tradingview is not showing me any drawing tools like trend line and co, please where should I go. Or is it because I haven't upgraded to pro

[@Trading212]

Hey Nnamdi, you may check Trading 212's advanced charts and technical analysis tools for free with virtual money at www.trading212.com/en/Open-Practice-Account-GBP.

[@PONM123]

What about leveraging? That’s attached to risk

[@johnathanhung6988]

You should be aware that investment management is very important. Even if you dedicate your time and effort to research, your understanding still won’t equal the knowledge of experts.

[@zombvida]

David i downloaded your application. Unfortunately you have us stocks to trade only cfd. When are you going to upgrade the app?

[@Trading212]

Hello. Currently, equity trading via a Real Account is available for residents of the United Kingdom, Germany and the Netherlands. You can take a look at the stocks portfolio at www.trading212.com/en/Trade-Equities. You can open a Practice Account with the equity trading enabled at www.trading212.com/en/Free-FOREX-Practice-Account-GBP.

[@BC-uu6iz]

excuse me just noted the platform tks

[@MelroyvandenBerg]

I do miss David @ T212

[@XLpacman805]

God damn I've been risking too much smh

[@johndeacon888]

What is the best trading platform for a beginner .

[@Trading212]

Hi, John. You can open a free Practice Account on Trading 212 and test your trading strategy at www.trading212.com/en/Free-FOREX-Practice-Account-GBP.

[@unlockanyforexrobot4272]

how can i contact you? great stuff

[@Trading212]

Hello. The contact information is listed at www.trading212.com/en/Contact.

[@jajabobbin7993]

For 1 item use ,

[@jeffersonsantiago5567]

What software are you using?

[@Trading212]

Hi Jefferson, the trading app displayed in all videos is Trading 212. Check out the Practice Money Mode with virtual funds at www.trading212.com/en/Free-FOREX-Practice-Account-GBP.

[@adamdittrichone]

Thanks for sharing. Any Demo Trading sites you can recommend? Thanks in advance

[@Trading212]

Hey Adam, feel free to try out Trading 212 for free - www.trading212.com/en/Open-Practice-Account-GBP.

[@GoodtogoGTG]

what trading platform you use?

[@Trading212]

The trading app is Trading 212. Check it out at www.trading212.com/en/Free-FOREX-Practice-Account-GBP.

[@syafiqramli658]

Very nice and informative vids, I am just curious and need clarification.. You mention in financial risk, to only risk 1-3% of the total capital for each trade. Wouldn't it make each profitable trade earn very small? I.e 1000usd, 10usd-30 USD per trade, so if we profit 10%, it's only 1-3usd..? I don't get it..

[@davidjones2452]

Hi - this keeps coming up so let's see if I can give an easier to understand answer. I mean to only risk LOSING e.g. 3% of capital. So, you have a $10,000 account and decide to risk losing 3%, which is $300. You decide to buy e.g. Microsoft with a 10% stop loss. So, your risk of loss if you got stopped out is $300 but you still have a $3,000 position in Microsoft. If it falls 10% you are out. I hope this makes sense.