Friday, August 5, 2011

E CURRENCY TRADING MAP


The following is your road map on how to become a real successful trader couple of months as from today.

Step 1
Understand the general idea of what is the Forex Market and its internal mechanics. To be honest it is a very simple concept.

Step 2
What time Forex can be traded? Forex market is actually 24 hours market, but certain currencies are best suited to be traded within specific hours of the day.

Step 3
Who is trading currencies beside you? Being an alley with the big dogs by trading in the same style they trade is key for success.

Step 4
Which are the most popular currencies? Starting to trade with the major pairs is of paramount importance and EUR/USD is the best currency to start with.

Step 5
There is a list of fundamental requirements that are needed so you can start trading. Read the article to find out. Too much to repeat here again, sorry.

Step 6
You must have a reliable broker. Reliable in terms infrastructure, regulated and most importantly honest.

Step 7
You need to learn how to use the trading platform offered by your broker inside out.

Step 8
How shall we trade? Using Fundamentals or Technical Analysis or both?

Step 9
We need to find and trade using reliable profitable trading systems. These systems must be profitable in the long term. Do not expect that you will win every trade.

Step 10
You need to find your trading style. Are you a scalper, intraday trader or day trader? How will you fit in trading within your daily life?

Step 11
Trading Forex involves huge risks. Be careful to understand these risks.

Step 12
Further to Step 11 you need to have a solid money management plan and you stay disciplined and stick to it even when things are going wrong.

Step 13
Make realistic expectations of profit but only when you become profitable with consistency when demo trading. 3%-5% per month are realistic expectations. Yes we will not make millions as internet marketers say.