about the online forex
November 25, 2010 8:28am CST
About the online forex can someone help now to start trade online ?
25 Nov 10
HY Comodoro Research the best ways to invest. Forex is supposedly the biggest market in the world. It's bigger than the US stock market, because the daily turnover is in the trillions. First understand that you, the retail investor are not going to move the market, the banks trade in multimillions, most retail traders won't be doing so. 2 Consult a trusted broker. You need to trade through a broker who will not deal against your trades with human dealers or electronically. Most retail FX brokers take the other side of your trade which causes them to gain from your losses. This is a huge incentive for them to run your stop losses and stall the execution of your trades. 3 Understand world currency and its fluctuations. Currencies are traded in pairs. Choose a single pair to learn how to trade and stick to it until you get to know the personality of the pair. The most heavily traded pair is the Euro/USD and the pair that many traders like because of high volatility is the GBP/JPY. 4 Get a charting package which allows you to see the current price as it happens and make technical analysis. Almost every broker will give you free charts like the popular Metatrader software. 5 Your next Step is to decide which Forex Trading platform to use. For beginners let me say that by Forex Trading, means foreign currency exchange trading. This is nowadays on your home computer. Some people call it the Forex Factory. When I say a platform I mean how your computer screen looks when you will be trading - the current buy and sell prices of the various currency pairs, how the currency pair which you bought or sold is doing (is it gaining or losing), how to keep track of your funds, etc. You can find more details at www.acmforexonline.com 6 Learn a system which gives you an indication of when to enter and when to exit trades. Following the markets price action is a popular method that professional traders have been using for over a hundred years before charts, candlesticks, indicators inception. You can find examples of candle price action trading at www.euodootrading.com 7 Start using a demo account and not real money. When you are confident and consistently making good trades, and only then, go live. When you go live trade with money you can afford to lose and learn to manage the emotion of risking and losing or gaining money.You can find a small collection of Expert Advisor, and indicators at www.forex-2u.com to use in the demo acount. 8 Enroll in a financial education course. You can find free education from most brokers on trading basics and you can find free information on almost any trading style on the internet. Just beware of the source of the information you find. The old saying those who can't do teach is true so find real traders who are really trading. A good place to start is to use social networking apps such as twitter which has become a popular resource where traders share real time trade ideas. 1. Have a long, serious and brutally honest talk with yourself (and perhaps a trusted friend) about the kind of personality you have -you'll need to be disciplined and goal-orientated if you are to succeed. 2. Be sure you have at least £3,000 in easily available funds 3. Set limits to your trading activity, such as number of transactions and/or commission paid, for an initial three-month period. 4. Research at least three online brokerage services and read all the 'terms and conditions' statements concerning trading accounts. 5. Open an account with the brokerage service you choose for the minimum amount necessary to trade. 6. Write down all your trading (buys and sells) immediately after they have been executed: date, time, quantity and price per share of the actual purchase. Use these records for tax preparation and save them in case you are audited. 7. Evaluate your performance at the end of the three months. What were your gains and losses? Emotional reaction to the process? Did you stick to your goals? TipsFree research online is available from many of the big investment firms.Avoid fee-for-service features of your account unless they will directly improve your ability to trade intelligently.WarningAll laws regarding securities trading apply to trading online.Technical service calls and broker advice over the phone are rarely free - check first. Never trade on advice from chat rooms, message boards or any other questionable sources. Trade only with your savings until you are experienced. Only then consider borrowing to trade.Good luck!