Wednesday, April 22, 2015

How Can I Start Making Money on Forex?

Educate Yourself:
If you’re just starting on Forex, you need to read everything you can about it. Start by reading free ebooks like this one and check some top Forex courses on the market. Think about your education as an investment on yourself, not as an expense. Some people argue that you can learn everything about Forex for free. Well, it’s possible, but I seriously doubt anyone can become a good trader without investing in his education.
This is true for everything in life, so how could it be different on Forex? Can you imagine a doctor performing a surgery if he has not invested in his education?
The same happens in Forex. Forex is a business and as a business it needs time and investment on your part. If you don’t treat it as a business you won’t be able to earn money on it.

There’s no holy grail out there that can make you money effortlessly but there are some courses and systems that can give you all the knowledge you need to succeed. Some good products that can give you good knowledge on Forex are Super Forex System, Forex Killer, Forex Hidden Systems, Supra Forex and 10 Minute Forex Wealth Builder. You can check the resources section at the end of this ebook to find more good options for you.
The only good education that comes for free is the experience. This is a value resource and since all Forex brokers offer you a demo account for free, you can gain experience without risking any money.

Plan How You Will Trade:
You need to decide how you would like to trade. Would you like to day trade? Would you like to swing trade? It all depends on your personality and on the time you have to trade. There’s no such thing as the best trading style. The best trading style is simply the one that best suits your personality. If your personality is more suitable for day trading, you probably won’t be a bright swing trader. If you prefer less stress and/or you don’t have the time to stay in front of your screen all day, you will probably be better swing trading.

Develop Your Strategy:
This is the most important step to master the Forex market. You can use your technical analysis skills to define a trading strategy from scratch. Define it and test it deeply before you commit real money to it.
You can also visit some websites in order to learn their own strategies and techniques. Some good trading courses on the market are Super Forex System, 10 Minute Forex Wealth Builder, and Forex Hidden Systems. If you prefer to get a software you can look at Supra Forex, Forex Multiplier, Turbo Forex Trader or Forex Killer.
If you prefer to use an automatic trading system, you can start with Fap Turbo, Forex Autopilot or Forex Auto Run.
These are great products which can help you start trading Forex successfully.

Test Your Skills With Virtual Money:
Before you commit your hard earned money on a strategy or system, you should test it on a demo account. With this test, you will be able to know how good your strategy is and you won’t risk a dime. Visit a Forex broker and open a demo account. It’s 100% free and it will allow you to grow as a trader.

Keep a Trading Diary:
Keeping a detailed trading diary is what makes you grow as a trader. This is what allows you to learn from your experience. Good traders usually have great trading diaries while bad traders simply don’t care about them.
On your trading diary, you should annotate all your trades as well as describe all the reasons that made you take the trade. You should also annotate your pace of mind when you entered the trade and during the trade. Was there any economic release while you were holding a trade? If so, annotate it on your trading diary. The technical indicator that you were using gave you an exit signal, and you ignored it? Well, don’t be ashamed. Write it on your trading diary, and learn from your mistakes.
All traders make mistakes. The difference between winners and losers is that winners tend to learn from those mistakes. Losers prefer to forget about them…
If you want to be a winner, you’ll need to build a great trading diary

and make it as much detailed as you can. You can even take some chart snapshots at the moment you entered and exited the trade and post them on your trading diary so that, in the future, you can see the reasons why you made your decision about a trade. In the future you can read your trading diary and learn about some mistakes that you made. This will allow you to correct these mistakes on your future trades.

Improve Risk Management and Discipline:
Risk Management is extremely important for a trader. If you want to achieve success, you need to adopt a disciplined mind about trading and improve your risk management rules as much as you can. You shouldn’t risk more than 2% of your account on a trade. This way you’ll be more relaxed because you know that if you lose money on a trade that’s not the end of the world. Besides this, if you have a good system or strategy, you need to have the discipline to stick to your rules.
Be Patient and Realistic:
You need to be patient and have realistic expectations about the Forex market.
The truth is that Forex is a difficult market, and unless you work hard on it, you won’t achieve consistent results. You need to treat Forex trading as a business and you need to be patient. In order to become a professional trader, you’ll need some time.
Don’t set unrealistic goals. If you do so, you’ll be frustrated when you realize that you weren’t able to achieve them.
When you define your goals in Forex trading, define ambitious goals but, at the same time, goals that you can accomplish. If you’re just starting in the Forex market, define as a goal achieving a profit at the end of the month. It doesn’t matter if it’s a big profit or not, but if you can start with a profit, you’re on the right track. If you’re just starting and define goals like “I’ll make $20K by the end of the month”, you’re just dreaming. This is the kind of unrealistic expectations that destroy most beginners in Forex. Since they define unrealistic goals, they start taking huge risks in order to believe that

they will achieve their goal. The worst part is when the huge risks destroy their account, and they find out that Forex trading is not a get rich quick opportunity.
Patience and realistic goals are really important for a Forex trader. If you define good goals and you have the patience to work and improve your strategy, you’re on the right track.

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