How to Learn Forex Trading
Forex Trading is an investment opportunity that I think will be an exciting new career with the potential to make more money over the course of a relatively short time. From my experience I can say that in some ways I was completely correct but in terms of the time frame to really get started I was very much wrong.
Your first year in Forex Trading is going to be very challenging and I thought I would share with you some advice and ideas on how to survive your first year in the Forex Market and what steps you can take to make the whole process easier.
The first year needs almost to be entirely about training. Forget trying your hand at the market and forget your dreams of thousands of dollars in income for the first year. In reality this is very unlikely to happen. If you’re relatively new to Forex trading you need to start learning everything you can to make sure that when you finally come to the markets you start making money.
In terms of training you’re going to need to start by reading – everything. You’re going to want to read all the top blogs in the field (here is a good start) and you’re going to want to get an intimate understanding of how the markets operate. Then you’re going to need to test your hand in a simulated situation. Thankfully there are a variety of Forex simulators available online and many of them are free to use (at least for a time) meaning you can get to grips with how the markets fluctuate. Only after you’ve had at least 6 months reading and practicing should you actually start investing in the markets and then only in small amounts.
Many people start getting into Forex whilst they are still holding down a full time job and many people manage to practice around other commitments like family and part time work. I wasn’t quite so lucky and had only moderate savings and was facing 3 months of unemployment. Paying off debt interests using balance transfer credit cards served me very well in my first year of trading and I made up the shortfall with some part time work. I wouldn’t recommend this approach for everyone as its fairly risk intensive. It’s much better to ease yourself in as my first year saw a lot of expenses and very little returns on investments.
Trade Foreign Exchange
Eventually you’re going to want to Trade Foreign Exchange and actually start putting everything you’ve learnt into practice. Whilst it’s tempting to jump straight in you need to realize that this might not always be a good option and it’s often better to ease yourself in gradually. My first investments were each around 500 US Dollars and my returns were almost non-existent. When you start joining the markets be prepared to lose some money as you get the hang of things. Take it slow and learn everything you can. Finally stay away from bots and other spam sites as there are a lot of scams online so stick to reputable sites and don’t be tempted to buy quick fix products as 99% of the time they simply won’t work. Beyond that I wish you the best of luck in Forex Trading and hope you have a lot of fun.