Forex For Beginners: Want to know how to trade forex? This forex guide offers basic aspects to better understand what the largest financial market in the world is about. Forex is a world currency market; it is the largest and most liquid. Forex is the abbreviation of “Foreign Exchange” or foreign exchange also called “FX market”.
Determining the current direction of the market helps you make better investment decisions. If the market is bullish, your operations will be in a bullish direction and vice versa. If it is bearish, your operations will point to bearish objectives.
Forex trading market is the currency market, open 24 hours a day, 5 days a week throughout the year. It is divided into “market sessions” and you must pay special attention to this detail, as the greatest success of your operations will be found during the main hours of the forex market, as well as knowing which the best session to trade: American Session, European Session or Asian Session
Within each market session it is advisable to operate a certain currency pair at a specific forex market time, so you will avoid being in front of the screen during hours that are not worth trading.
Why invest money in Forex?
Investing in forex is one of the most lucrative ways to obtain a high percentage of profits in record time. Literally, in just one week, you can learn to carry out operations (transactions) in the currency market at the level of a professional trader. In addition, you can open and close fast operations, if in one minute the market is in your favour, you can close the operation and secure the profits.
Investing in forex allows you to obtain in minutes a percentage of profits higher than those that a bank is capable of offering over a year. How much is the best bank capable of offering you? 1%, 3%, 7% per year? For it to be worth keeping your money in a bank, you need a strong capital, but in forex you can literally “double” your money in a matter of minutes and in a transaction. Get more info about this from Forextime!
It is also true that you would risk 100% of your money in a single operation which is not convenient, because this is NOT a game of chance. If you want to make a living from trading it is better to operate by objectives. For example, operate for a 5% weekly return in such a way that if you make 5 operations each one they will have a minimum risk, perhaps 1% and that way you avoid “burning” your capital, since you are going to operate responsibly as a good trader who are.
The above is an idea of how to manage your money in forex trading, there are thousands of combinations to properly manage your money. Once you have your investment strategy and know what the market is about, you can increase your expectations, for example: trade for a 2% daily return (it can be more or less), here you have the freedom to choose what suits you best.
In addition, being a forex trader allows you to have full control of your money, you are the one who decides how much to earn, at what time, in what form, and from anywhere; South Africa, South Korea, Britain, France, anywhere!
Remember that you do not need to be an economic or finance guru.