How To Start Forex Trading
I would say that I get about 2 or 3 emails a week asking, “I am new to Forex Trading, do you all teach me where to start?” Well, that is not our primary mission, as we teach you how to use our trading system and trade the markets. We teach you about how to back test and build confidence in your system and self. We do have a fantastic guide that teaches you all about what Forex is and how to get started. I will get you that fantastic free training at the end of this article.
So, how can you start trading Forex and actually make money? If you believe all of your emails, and what most people think the answer is, then you want an EA (Expert Advisor). Yes, you want that magic robot that you can turn on and let is make money every day and night and you don’t have to do anything. Don’t fall for that, most all of them don’t work and will cost you money. If you think you want to get one of those. Make sure you can return it and then run it on a Demo (not live money) account and see what happens.
OK, so a Robot is not the answer, then what is? Well start your Education and journey with a company and product that provides live training and trading. You also want a Forex trading system that is very simple and easy to understand. A system that gives you exact entries, stops and targets. That seems easy to understand. Yes, it does, but most systems are complex and some don’t use stops, they can have very large draw downs and try and ride out the trade to get a high win percentage. It looks good on paper, but not a good way to trade.
Most traders also want to Day Trade. They have been told that is the best way to make money in Forex. You sit in front of your computer and place trades off of very short time based charts, like a 1 minute or 5 minute chart, even a 15 minute chart. The problem is, for most traders, they work and can’t sit in front of their computer for hours at a time either at 2 AM in NY or 8 AM in NY. They try and take very small trades called scalping. The problem with scalping is you have to deal with the spread (difference in the buy and sell price). So, If you are going for very small trades, your trade costs (think of it as commissions) will be very high. Remember, if you are lost with spread and pips, I will give you the basic training Forex link at the end.
If you can’t day trade, then the best and easiest way to trade is Swing Trading. Swing Trading is where you look at longer time charts, like Daily Charts and only look once at night or once each morning. These are larger trades, not going for little scalp trades, so the spread is not a factor and you don’t have to watch these trades all day. So, it works without you. You don’t need to look at your computer every hour and worry about every tick up or down in the market. This is how you can trade easy, and make money In Forex.
I will write more about Swing Trading Vs. Day Trading in another article. What I want you to get out of your time with me today is:
- Swing Trade is Easier than Day Trading
- Use a system that is very Simple to Understand
- Don’t fall for Robots or Automated Systems
- You want Exact Entries, Stops and Exits, easy rules to follow
- Offer live training in the markets to help you learn
We do offer all of this at www.premiertraderuniversity.com/trendjumper
Also, I promised to give you an entire basic forex course. So, if you are new to forex and want to learn what it is all about, watch this fantastic basic training on forex. Then get with us and learn more about our systems. www.netpicks.com/forex123/