Forex trading has become most popular way to make money online. On this article We’ll be talking on ‘How to make money from forex trading as a beginner’. You can literally trade forex markets while sipping on a cool drink and lying on your bed.
All you need to get started is some capital to trade with, a computer, laptop or smartphone and an internet connection. you decide when you want to trade and therefore your working hours.
Until the early 2000’s, it was not possible to trade forex markets with anything less tan $10,000. Unlike other financial markets, you can trade with much smaller amounts such as $100.
More and more players are entering the forex market, allowing you to leverage your capital and make money from fluctuations in the forex market.
Even during a financial crisis, you an still make money trading forex markets. Any oscillation in the currency can be taken advantage of by going long or going short.
Whether a market is bullish or bearish. you can trade either way with forex unlike stocks or other financial instruments, only if the markets ranging.
A lot people believe forex trading to be difficult to deal with. Usually, fear risking their money in this trade. However, if you are a beginner, you should do your own research (DYOR) traders slang hahaha☺ and know what this it entails.
You can watch what professional traders are doing and observe their trade with social trading. Social trading lets you copy other trader’s strategies and can be very beneficial to newcomer, shortening the learning curve. In the past, traders relied on fundamental and technical analysis, but with social trading, you can take cues from successful traders to make money on forex.
How to Trade If You Are a Busy Person
If you are too busy to follow the news (Fundamental Analysis) and monitor the charts (Technical Analysis) all day, it is possible to participate in Forex trading in an easier and less time consuming way.
Social trading allows you to connect with experienced trader, see their performance statistics, discuss their trading ideas, learn from their mistakes and copy their successful strategies. In essence, you make professional work for you.
Choose a Platform
Even if you are new to Forex, there are beginner friendly platforms like eToro (10 million users) that offer you an interesting opportunity – to follow the best traders and copy their transactions.
Follow Top Traders
Discover traders you want to follow and add to your watchlist. View their past performance stats, read status updates on their strategies, analyze results and communicate with them.
Copy their Trades
If you are satisfied with the results and trading style, you can copy their trades with one click of a button.
Learn and Profit
Now you can sit back and watch how experienced traders do the work for you. Your task is to carefully analyze their results and learn as much as possible from their trades.
The Ultimate goal of social trading is to build a portfolio of the best traders. You must have traders with different risk appetite and various currency.
The forex market is quite straightforward as compared to other financial services. with stocks, you have to analyse company reports and choose from thousands of companies to invest in.
However, forex markets generally revolve around eight currencies, known as the Majors. Put simply, the better a country’s economy is doing. the better we expect their currency to perform.
When to Trade Forex?
While the forex market is open 24 hours a day, five days a week, trading is not always active during this entire time. Profits are made in forex trading when traders are bidding on the prices and the market active.
So it is essential that you know the crucial hour and days to forex trading when traders are the most active.