The Fundamentals Of The Forex Trading For Beginners

Marco Green
June 21, 2017

Where to start? In fact, you need to start from scratch, that is, from a demo account. Professionals are advised to practice for at least 2-3 months before opening a normal account and trading using real money. If you have already been trading for at least a month on a demo account with a stable profit, then you are ready to enter the real market.

 You should start with the amount that you do not mind losing. Perhaps the best choice would be a cent account with a deposit of $100. Having bargained on it for a while using meta trader 5 trading tool, you will understand whether you are interested in Forex, whether you have the skills of a trader, and whether you can find time to trade.

If you lose, then you will not be that disappointed. If you succeed, then in a month you will multiply this small sum. However, do not count on a miracle; stories about how a certain trader invested i 300 dollars n the Forex and was flying on his own plane a month later are true fairy tales. A very good indicator for a beginner trader can be considered 10% of profit per month, and strategies based on scalping can easily give up to 20%.

According to statistics, 2/3 of traders started with investments of up to $ 100. Approximately 20% of them immediately started using a sum up to $300, and less than 15% of people started trading from $300.

 

Forex: Common Mistakes

The income from trading on Forex doesn’t depend on luck as many beginners may believe. Forex is not a gamble. It requires a discipline, the ability to control emotions, sober expectations and the strategy.

Beginners make many mistakes. The most common mistakes are:

l  The inclination to rush into trade without any theoretical preparation;

l  The impatience that makes you step back from the trading plan and take risks;

l  The inability to accept losses and timely close unprofitable positions;

l  But the biggest mistake is to think that Forex is the magic cave of Aladdin, where you can get rich overnight, without doing anything at all. This is not true! Forex is not magic and it’s not Las Vegas. It's a competent management and the ability to plan. If you understand this, then you have very high chances to succeed, and perhaps, to become another legend of the financial market.

 Of course, there are dizzying success stories. But these happened only a few times in the history of trading, and none of the traders who have reached such heights, was a novice, they were all professionals with a huge theoretical and practical experience. Be calm, composed and you will surely get your fortune just like these people!

Other reports by Click Lancashire

Discuss This Article

FOLLOW OUR NEWSPAPER