First, you need an advantageous trading system that can only create the following types of trades: big win, small win, small lose, break even. If your orders are of the above types (there is no big losing order), you will likely survive long enough to make a profit. That is the most important thing to consider first.

That system has to be past-tested and heavily trained to create mastery and confidence in commanding with it. Traders must have faith in it so that orders can be executed as confidently and naturally as possible, without being forced and not affected by biases or subjective opinions. It is imperative to use stop-loss orders to keep losses low, and trailing stops should be used for large wins.

In the order-entry process, it is the trader that is the weakest link and the most vulnerable to change. Ego, stress, and emotions can cause traders to deviate from the system and lose discipline, thereby losing the advantage of the system.

Order size is an important part of keeping your losses small. The order size must be calculated based on the amount that will be lost if the position is lost. It is fine to keep that level of risk between 1-2%. A 10% risk level on the account for unleveraged positions is justified.

The profit (the potential reward received per trade) should be worth the risk. Right at the entry point, the potential profit should be at least twice the stop loss distance. That is the most important key to profitable trading. The larger the reward/risk ratio is, the lower the win rate required for a profitable trade.

You also have to know the number of positive expectations your sibling system has, which is essentially the average amount of return you expect to make for every $ 1 you risk.

Step by step to get profitable in trading:
  1. Perform past checks and study past charts of a system
  2. Develop or learn an advantageous trading system
  3. Determine the exact entry and exit points
  4. Determine the order size based on the volatility and the acceptable level of risk
  5. Enter orders according to the signal
  6. Cut your losses quickly
  7. Saying words
  8. Control the total risk
  9. Trading with strict discipline.