Frequently Asked Questions

Everything about trading, the book, signals and your access. Use the search to quickly find the right answer.

Getting Started

I'm a complete beginner. Where should I start?

The best approach is in this order:

  1. Understand the fundamentals: read the book The Trading Code.
  2. Open an account: set up a free account with our broker FxPro. To practise, you can start with a free demo account.
  3. Trade alongside the pros: with our Trading Signals you receive ready-made setups via Telegram and can trade alongside experienced traders from the very start, instead of feeling your way in the dark alone. The first 30 days are free.

That way you combine theory, practice and real setups from day one.

How long does it take to open a trading account?

Usually just 5 to 10 minutes. You fill in the form online and verify your identity. After that you can practise straight away with a demo account. For trading with real money, your account is activated once verification is complete. You will find a step-by-step guide on our broker page.

How much starting capital do I really need?

You can get started with a small account of as little as 100 to 500 euros. To apply the strategy from the Trading Code properly, we recommend 500 to 1,000 euros. That is an amount for learning and getting a feel for it, not an amount that will make you rich.

Important: only trade with money whose loss would not cost you any sleep, and adjust the account size to your personal means.

Can I trade alongside experienced traders as a beginner?

Yes. That is exactly what our Trading Signals are for. You receive concrete setups with entry, stop-loss and take-profit via Telegram, and so trade together with experienced traders from the very beginning, instead of having to make every decision alone. The first 30 days are free and without obligation.

How important is trading psychology?

Very important. The strategies themselves are easy to learn. Whether you apply them consistently is ultimately decided by your psychology, in other words how you deal with greed, fear and losses. That is why you should start working on it as early as possible.

For an in-depth treatment, our book Trading Psychology by Richard Cohen is probably the best summary on this topic.

Can I trade alongside my job?

Yes. Most of our readers and members trade part-time. At the start, about 1 hour a day is enough. Our signals mostly arise during the London and New York sessions and can be applied flexibly, as a setup can stay valid for several hours or even days. So you do not have to sit in front of the screen all the time.

How much should I risk per trade?

A proven rule of thumb is: risk only about 1 to 2 per cent of your trading capital per trade. That way no single loss can throw you off course, and you stay able to act even after a losing streak.

This is exactly what we base our Trading Signals on. Your long-term success is not decided by your hit rate, but by consistent risk management with a good ratio of risk to reward.

Trading Basics

What is Trading?

Trading refers to the mostly short-term trading of things in order to profit from price changes. Things is first a very general word, but strictly speaking you can also “trade” with everything.

Trading is the oldest business model in the world, where you simply buy cheap and sell expensive.

On this website and in the book, however, we trade exclusively on the stock market with shares or derivatives. Derivatives are securities whose value is derived from another financial instrument such as a stock. This has a few advantages in trading, which we will look at in more detail in the book.

Trading: how does it work?

In practice, it is very simple. You click on “Buy” when you believe the price of a share will go up, and you click on “Sell” when you think the price of a share will go down because you can also profit from falling prices in trading.

The magic is knowing when to click on which button. That’s what you will learn in the Trading Code.

What are the requirements for traders?

Fortunately, the requirements are very low. No matter what your academic qualifications, appearance, origin, or other training, certificates, or credentials are, none of that matters. On the stock market, we are all the same.

The most successful traders I know are all career changers who developed a passion for trading and only later, after they saw how much money you can make on the stock market, switched to trading “full-time”.

The only thing you should bring with you:

  • A computer with an internet connection
  • About 1 hour of time per day, a little more in the beginning.
  • In theory, you can start with 100 dollars, but I recommend 500-1,000 dollars or a similar amount in any other currency for the beginning.
  • The will to become successful
  • A free broker account and the trading software MetaTrader

Where there is a will, there is a way, Einstein once said so beautifully.

I’ll show you exactly what the path to becoming a successful trader looks like in the Trading Code.

Why should I try Trading?

Of course, the decision to try trading ultimately depends on you, but I can share a few reasons that make it special for me:

  • Free time management: Trading allows you to have more flexibility in managing your time. You are not tied to fixed working hours, and you can trade at your convenience.
  • Location-independent: With trading, you can work from anywhere with an internet connection. You are not bound to a physical location, giving you the freedom to trade from different places.
  • Far above-average earning potential: Trading offers the potential for significant earnings. Successful traders can achieve above-average returns on their investments.
  • You are your own boss: Trading gives you the opportunity to be your own boss. You make the decisions and take responsibility for your trading activities.
  • An exciting challenge: Trading is a dynamic and ever-changing field. It presents constant challenges and opportunities for growth and learning.
  • Interesting topic: If you have an interest in financial markets, economics, and business, trading can be a fascinating and engaging subject to explore.
  • Financial freedom and independence: Successful trading can lead to financial freedom and independence, allowing you to achieve your financial goals.
Who Should Not Trade?

Trading is not suitable for everyone, and there are certain factors to consider before getting involved:

  • Risk and emotional toll: Trading involves risk, and the potential for gains comes with the possibility of losses. It can be emotionally draining, especially during periods of high market volatility.
  • Emotional stability: To be a successful trader, emotional stability is crucial. Being able to manage your emotions and stay disciplined during turbulent market conditions is essential.
  • Fear and greed: Fear and greed are common emotions in trading. If you are driven solely by the desire for quick profits or constantly fear losses, it can negatively impact your decisions.
  • Risk capital: Using risk capital for trading is important. This means using money that you can afford to lose without causing major financial problems.

Before diving into trading, it’s crucial to educate yourself, develop a solid trading plan, and be prepared to handle both profits and losses with a rational mindset.

How Should I Start as a Beginner?

As a beginner in trading, you should start by reading the book “The Trading Code”. In this book, I provide a detailed description of all the steps from theory to executing your first successful trade.

If you have any further questions, feel free to watch the videos in the reader area and contact me for assistance.

How Much Money Can You Make with Trading?

Trading offers a scalable income potential, allowing you to start with a small investment and gradually increase your earnings. For instance, you can begin by buying one share and earn around 10 dollars. As you gain experience and confidence, you can scale up by purchasing 100 or 1,000 shares, resulting in higher earnings of 1,000 or even 10,000 dollars, respectively. This presents a significant opportunity for generating a decent income.

However, it’s essential to recognise that making 10,000 dollars a month may not be feasible with a starting capital of just 1,000 dollars. Initially, it’s more realistic to use a smaller capital to learn and gain experience in the trading arena. Over time, with dedication and skill, the possibilities are boundless.

Based on evaluations by leading brokers, most private part-time traders tend to earn between 2,000 to 4,000 dollars per month. Your actual earnings will depend on the time and energy you invest in trading. The more effort you put in, the higher your potential for long-term earnings.

The key to success lies in knowing when to click on which button, and this is exactly what you will learn in the Trading Code. It equips you with the knowledge and skills to make informed trading decisions and potentially maximise your earnings.

What Is the Average Time It Takes to Become a Successful Trader?

This is a common question I get a lot, but providing a specific answer is challenging. Just like learning a new language or sport, the time it takes to become a successful trader varies from person to person.

Personal experiences differ greatly. For example, when I first tried surfing, my analytical thinking from the stock market didn’t help me much with calculating wind and waves. It took time and practice to develop a more intuitive approach.

Trading is similar; some individuals grasp it quickly, while others may require more time to develop their skills. The key is perseverance and not giving up. Regardless of how long it takes, staying committed to your goals is crucial.

Trading offers numerous advantages, and the potential rewards can be significant. So, even if it takes a little longer to achieve success, the benefits of trading make it worthwhile. With dedication and determination, you can reach your trading objectives.

Remember, there is no specific timeframe for success. Embrace the learning process, continuously improve your skills, and stay persistent on your trading journey. In the end, it will pay off, and the rewards will be well worth the effort.

How much time do I need to invest?

I recommend that you invest at least 1 hour per day at the beginning. This is not a lot, but you will see that you will quickly make progress and will then be happy to invest more time. Of course, it also depends on many different factors, such as your strategy and the markets you want to trade. But 1 hour per day is a good start. Longer-term strategies can also be traded very profitably with one hour per month.

Which Trading Software / Provider Should I Use?

In the book, I provide more detailed information on this topic, but here’s a brief overview:

The most popular trading software among both beginners and professionals is MetaTrader. One of its most impressive features is that it is entirely free to use. Additionally, you can find helpful introductory videos on trading in the reader area.

Below the Broker section in the book, you will find a reputable provider that offers MetaTrader free of charge. I currently recommend this specific provider because I personally use their services, allowing me to offer you support and exchange information.

As demonstrated in the accompanying video, you can easily open a trading account within minutes and begin trading. However, I strongly advise that you first familiarise yourself with the fundamentals and strategies outlined in the Trading Code before diving into active trading.

By following these steps, you can set yourself up for a successful trading experience with the right software and provider.

Which Financial Instruments Can Be Traded?

The term “financial instruments” might sound complex, but it encompasses a wide range of assets that can be traded. In trading, almost anything can be traded, and some people even make extraordinary profits trading items like FIFA or Pokemon cards.

However, for the purpose of this book, our focus will be on shares and indices. Shares represent ownership in companies, while indices reflect the value of a group of shares within a single index. One well-known example is the S&P 500.

In our trading approach, we do not directly buy or sell shares and indices. Instead, we use a financial product known as Contracts for Difference (CFDs). The book explains CFDs in detail, but it’s important to understand that they simplify trading significantly, and you can trade a diverse range of assets. This includes shares, precious metals, food products, cryptocurrencies, and commodities, among others.

Is Trading Gambling?

No, trading is not akin to gambling. Although the outcome of an individual trade may seem random, successful trading relies on a well-developed strategy and informed decision-making based on thorough analysis and market knowledge. It is not a game of chance, but a disciplined approach that leads to long-term success.

What Is the Difference between Trading and Investing?

The key distinction between trading and investing lies in their respective time horizons. Trading involves short-term transactions, lasting from a few minutes to a few days or weeks at most. On the other hand, investing typically refers to a long-term approach, spanning years.

Additionally, the objectives differ between the two. Investors anticipate that the value of their investments will appreciate over time, focusing on the potential for long-term growth and returns. In contrast, traders seek to profit from short-term price fluctuations, capitalising on both rising and falling asset prices.

In summary, trading emphasises short-term gains through active buying and selling, while investing centres on a long-term outlook for potential growth and increased value in the assets held.

Should I Start with a Demo Account or a Real Money Account?

If you are under 18 years old, want to test a new strategy, or are exploring trading software for the first time, a demo account is an excellent choice. It allows you to practise trading with virtual funds and no financial risk.

Demo accounts offer the advantage of opening multiple accounts for free, each with a virtual starting capital, like 10,000 dollars. They provide a risk-free environment to gain familiarity with the trading platform and hone your skills.

However, if you are serious about learning trading and are willing to commit to it, transitioning to a real money account is essential. Even if you start with just a few hundred dollars and make small profits, the experience of real trading is invaluable.

Real money accounts introduce the emotions and challenges that come with trading, such as greed and fear of loss. Learning to manage these emotions and making decisions with real financial consequences are crucial aspects of becoming a successful trader.

What is a CFD and what does leverage mean?

A CFD (Contract for Difference) is a financial product that lets you speculate on the price movement of an underlying asset such as a share, an index or a commodity, without owning the underlying itself. This makes trading much simpler, and you can profit from both rising and falling prices.

Leverage means you can move a larger position with little capital. This increases your potential profits, but to the same degree your potential losses. That is why consistent risk management is so important.

What do long and short mean?

You go “long” when you bet on rising prices, in other words you buy. You go “short” when you bet on falling prices. This is one of the great advantages of trading: you can make money in both directions, whether the market rises or falls.

What are stop-loss and take-profit?

A stop-loss is an automatic order that closes your position as soon as a loss you have set is reached. It limits your risk. A take-profit closes the position automatically once your price target is reached, locking in your profit.

Together they are the heart of good risk management. In our Trading Signals, every setup always comes with a stop-loss and a take-profit.

Can I also trade on the go via an app?

Yes. With FxPro’s mobile trading app you can follow prices, open and close positions, and set stop-loss and price targets. That way you stay flexible even when you are out and about.

What does trading cost me? (spread and fees)

When trading via MetaTrader, there are no classic buy or sell fees like the ones you know from a share dealing bank. Your main cost is the so-called spread, the small difference between the buy and sell price. This difference is the broker’s compensation.

If you hold a position overnight, a small financing fee (swap) may also apply. For short-term trading within a single day it usually plays no role. The MetaTrader trading software itself is completely free.

What is a pip or point?

A pip or point is the smallest usual unit in which a price moves. Instead of in euro amounts, many traders measure their profits and losses in points, because that can be compared regardless of position size.

We also give the results of our Trading Signals in points. This has a pleasant side effect: thinking in points rather than in euros takes away emotional pressure and comes more easily, especially to beginners.

What order types are there?

The three most important order types are quickly explained:

  • Market order: you buy or sell immediately at the current price.
  • Limit order: your order is only executed once the price reaches a more favourable level you have set.
  • Stop order: your order only becomes active once the price reaches a certain mark, for example to hedge a position.

In addition there are the stop-loss and the take-profit, with which you automatically limit loss and profit. You will learn how to use the order types correctly in the book.

When can I trade? What are the trading hours?

That depends on the market. The German stock exchange (Xetra) usually trades from 9:00 to 17:30, the US exchanges from 15:30 German time. Foreign exchange (forex) can be traded almost around the clock on weekdays.

Our signals mostly arise during the London session (approx. 9:00 to 12:00) and the New York session (approx. 15:30 to 18:30), when there is the most movement in the market. You can see which exchange is currently open at any time in our Market Hours. Upcoming key dates can be found in the Trading Calendar.

Trading Signals

What are the Trading Signals?

The Trading Signals are concrete trade setups that you receive directly via Telegram. Each signal contains the market, entry, stop-loss and take-profit targets, along with a short analysis of why this trading idea came about.

So you do not have to spend hours analysing charts yourself, but can adopt a ready-made setup in just a few minutes. Try the signals free for 30 days.

What do the signals cost and is there a free trial?

Save your email first, then enter your FxPro customer ID and wait for manual verification. After approval, we send the activation link by email.

The 30 days start on your first Telegram group join. There are no payment details and no automatic charge. Near day 30, our team contacts you personally about continuing.

Which broker do the signals run on?

The signals are matched 1:1 to our broker partner FxPro, with the same symbols and the same prices. That way you can adopt every setup directly, with no need to convert anything. A free FxPro account is therefore a requirement for signing up.

How many signals do I get and when?

Usually you can expect 5 to 10 signals per week, mostly during the London session (approx. 9:00 to 12:00) and the New York session (approx. 15:30 to 18:30 German time), from Monday to Friday. Quality clearly comes before quantity.

You can find all further details, for example on hit rate and risk management, on the signals page.

How high is the hit rate and is there a track record?

There is no fixed or guaranteed hit rate, and past results are no guarantee of the future. For context: over longer periods the hit rate of the shared setups has averaged more than 60 per cent.

More important than the hit rate alone is risk management with a good risk-reward ratio anyway. You can view our results so far transparently in our Track Record.

What happens if I miss a signal or cannot trade straight away?

No problem. You do not have to act on every signal immediately. Most setups stay valid for several hours up to several days, so you can still get in later, provided the price is still in the right range.

If a setup becomes invalid in the meantime because the market has moved differently, you receive a short update message in the Telegram group. Since the signals mostly arise during the day in active trading hours, you miss practically nothing if you are not permanently on your phone.

How can I cancel the signals subscription?

Day 30 does not remove your access.

If you then decide on paid access, you are covered by our 60-day money-back guarantee: a full refund within 60 days if you are not satisfied. You can cancel at the end of your chosen plan period (monthly, every 6 months or annually), with no long-term contract. To cancel, a short message to our support is enough. You keep your access until the end of the period you have already paid for.

Books

Where do I get the book “The Trading Code”?

The book is available on Amazon, as an eBook, as a printed book and in part as an audiobook. You will find an overview with all the links on our book page.

Who is the book for?

For beginners with no prior knowledge at all. The book guides you step by step from the fundamentals to your first own strategy and your first trade.

Is there also a book on trading psychology?

Yes. Alongside the Trading Code there is the book Trading Psychology by Richard Cohen. It is devoted entirely to the mental side of trading, in other words dealing with greed, fear and losses, and is the ideal complement once you have mastered the strategy.

Broker & Account

Which broker do you recommend?

We recommend and use FxPro ourselves. The broker provides the free MetaTrader, accepts clients across the UK and Europe and fits our signals 1:1. You will find details and a guide on our broker page.

Why do you recommend only a single broker?

Prices and spreads sometimes differ significantly between brokers. Because we trade at FxPro ourselves and our signals are matched 1:1 to its prices, you see exactly the same setups at the same prices as we do. That makes execution as simple as possible and the results the most comparable. It also lets us support you more effectively.

How do I open a trading account?

Opening an account takes only 5 to 10 minutes. You will find a simple step-by-step guide on our broker page. For a real money account you must be at least 18 years old. To try things out, you can use a free demo account at any time.

How do I deposit money and how quickly can I withdraw it again?

Depositing to your trading account is straightforward via bank transfer, credit card or common online payment methods. By card the funds are usually available immediately, by transfer it takes a few working days.

Your money always belongs to you and you can have it paid out. Withdrawals are usually processed within one working day, after which it takes a few more working days until the credit reaches your bank account. A fully verified account is a requirement.

Can I lose more money than I have deposited?

No. With the brokers we recommend there is no obligation to make additional payments. This means you can never lose more than you have in your trading account.

Should the market ever move very quickly and strongly against your position, it is closed automatically as soon as your balance is used up. So it can never happen that you suddenly go into debt or have to top up money. Your risk is therefore always clearly limited to the capital you have put in.

Support & Access

How do I reach support?

If you have any questions, you can reach us at any time by email at support@tradingcode.org. We usually reply within 24 hours.

I did not receive my access details, what can I do?

First check your spam or promotions folder, as the automatic email sometimes ends up there. If it has not arrived, drop us a short line at support@tradingcode.org with the email address you used when you bought. We will then activate you manually.

We could not find a matching question for your search. Feel free to write to us directly at support@tradingcode.org.

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