Currency trading introduction

Dear visitors,welcome to my humble site. My name is Alex Green, among friends also known as THE ANIMAL, you will find out Im the trader who actually made over 6k profit within my first year of trading. That time it was 2001 and trading was still done over telephone lines, we had almost no computer software to automate.

With that being said, let us have a look at what Forex really is.

Before we start, I warn you online forex trading IS NOT EASY AT ALL !

obchodnikFOREX

So what actually is currency trading ?

It is very simple.. you buy one currency and at the same time you sell the other curency. For example you speculate on rising Dollars so you must sell EUROs or British Pounds at the same moment you buy Dollars. You buy currency with the aim in mind, that buying currency will go up versus the currency that is being sold. You profit on the difference. or .. ehm you lose lots of money but that is completely different story.

What are the benefits of online trading currencies ?

  • market is open 24/5 from Monday to Friday
  • you dont need any special permissions to enter the market, you just have to be over 18 in Europe
  • high leverage that allows you open large trades with small margin
  • relatively low entry capital required .. approx. $1000 and up

What are the disadvantages of currency trading ?

  •  high fluctuation, very instable market
  •  it is way too hard to predict market moves in case you trade shortterm
  • there is a lot of buzz about currency market and many beginners are flowing in, having now clue about the market
  • this market is being operated by professionals, which means many times your loss is their profit

Here you can find the news about capital markets that you should probably read.

If you are brand new to the game of online trading, you should perhaps firstly read the educational currency trading sites.

What is needed when you want to succeed in the game of online investing ?

  • you have to be psychically fit and still –> believe it or not, almost all savvy investors are more calm and introvert persons rather than extrovert :)
  • you need the right forex trading platform that will fit your needs
  • you need trading tools (charts Metatrader 4, robots)

 Rule No. 1: never lose money; rule No. 2: don’t forget rule No. 1

Essential currency trading tips

Currency trading tips can be found all over online. They are very many and most of the forex trading chartingtime confusing instead of being useful. However, some trading tips are not only useful but also extremely accurate. Since the trading forex online market involves increased levels of risk, it is not suitable for everyone. Below are some useful currency trading tips.

Avoid using FX robots !

For instance, when 90% of the total traders lose, do not expect any cheap robot to enrich you without effort. Such systems are cheap and do not help in making money at all. Choosing a reliable broker forex online is much wiser than purchasing a forex robot.

Work smart

Most people think it takes several years to learn how to trade. Currency trading is quite easy to learn since simple systems operate best and all the basics of being successul during trading can be learn in a couple of weeks. You earn for being right and not working hard in currency trading.

Understand drawdown and volatility

Numerous traders think they can be able to not only trade but scalp with ten to twenty pip stops. However, they lose the money they have since they do not have an understanding of what volatility is and its impact. If you want to be victorious, you have to understand volatility.

Use low leverage

Brokers offer you 200:1 leverage which when used will lead to your downfall. For novice traders 10:1 should be the maximum leverage used. You should have no worry since you can have triple digit gains as returns while having a tight risk control.

Discipline

In currency trading, the experienced traders make money approximately fifty percent of the time. They make big profits by having discipline that ensures they keep losses low. Most new traders think they are capable of winning most of the time, so they end up running losses and eventually get wiped out. For successful trading, focus, cut losses and run profits.

Are you bored of forex ? Try stock investing instead

Maybe FOREX is not for you, another option for you as investor is venturing into stock trading…

This kind of investment, in french “investir en bourse” can be incredibly profitable or completely unprofitable. Many traders in stock trading market make many profits, depending on the system used to trade. The same thing can happen to you, the most important thing that you as the trader have to learn, is to know exactly what to do while stock trading.

This article shows you how to win and keep minimal losses in stock trading. By following, the laid down steps while investing in t stock market you will definitely make profits.

1. Getting a broker

This person gives you advice on matters of stock trading, and can trade stocks for you. There are numerous well-known stockbrokers, and the best thing is that they are easy to find, even if you will have to pay the broker, it is the easiest way for stock trading.

2. Find a website to use to trade stocks

In case you are determined to make it on your own in stock trading, and do not want the help of a broker, you can find yourself a website that provides the stock trading services. There are websites that allow you to do stock trading online. Working for yourself gives you great control, and saves you money too.

3. Use trailing shops and limit orders

Trailing stops is a useful tool in stock trading that protects you from market swings. By using limit orders your stocks are bought, or sold at a certain price, this helps you get good prices.
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