How to Start Trading Forex (4 steps), start trading for free.

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Forex, or foreign exchange is an unregulated market, also known as OTC (over-the-counter) and is the biggest market with average daily turn-over that runs into billions.

Top forex bonus list


How to Start Trading Forex (4 steps), start trading for free.


How to Start Trading Forex (4 steps), start trading for free.


How to Start Trading Forex (4 steps), start trading for free.

It is even bigger than the US stock markets. Although due to its OTC nature, no one can really give the correct numbers as to the forex turnover. But nonetheless, forex is indeed a big market and thus allows many market participants. From your neighborhood bank to specialized investment companies, to your friend, the forex markets always offers a piece of the action whoever you are and wherever you are (even from your home). What is a lot?: A lot is a unit by which you place your trade. In financial terms, a lot is also referred to as a contract. There are preset lots (or contract sizes) that you can trade. For example a standard lot is nothing but 100,000 units (known as 1 lot). ( read more about lot)


How to start trading forex (4 steps)


How to Start Trading Forex (4 steps), start trading for free.


Welcome to the world of forex. There might be many reasons why you are reading this article. It could be that your friend or acquaintance mentioned about how they trade and perhaps even make a living by trading forex. Whatever your reasons may be; this article will give you an overview of the forex markets and how to start trading forex … and perhaps make money for yourself.


Step 1. What is forex?


Step 2. Learn forex basics


Step 3: find a forex broker


Step 4: start trading


Step 1. What is forex?


Forex, or foreign exchange is an unregulated market, also known as OTC (over-the-counter) and is the biggest market with average daily turn-over that runs into billions. It is even bigger than the US stock markets. Although due to its OTC nature, no one can really give the correct numbers as to the forex turnover. But nonetheless, forex is indeed a big market and thus allows many market participants. From your neighborhood bank to specialized investment companies, to your friend; the forex markets always offers a piece of the action whoever you are and wherever you are (even from your home).


The basic concept of trading forex is very simple. You trade or speculate against other traders on the direction of a currency.


So, if you believe that the euro is going to rise, you would BUY the euro, or SELL the euro if you think the euro would fall. It’s as simple as that.


Step 2. Learn forex basics


How to Start Trading Forex (4 steps), start trading for free.


Before you get ready to deposit your funds and start trading there are some important points you must understand, each of which are outlined below.


Forex brokers: in order to start trading forex, you will need to trade with the help of a forex broker. There are many forex brokers out there today who allow you to open a forex trading account for as little as $5. The forex broker is the one who facilitates your buy and sell orders and also allows you to research into the markets (also known as technical or fundamental analysis) to help you make more informed decisions… and of course allows you deposit more funds or withdraw your profits when you want to. ( click here to see our forex brokers rating )


Trading platform:you need a trading platform from which you can place your trades, which are then sent to the broker for settlement. Also, a trading platform is essential for you to conduct your technical analysis and also to see the current market prices. Most retail brokers offer the MT4 (short for metatrader 4) trading platform, which is free of cost. You can also open a demo trading account and practice trading with virtual money to gain the experience required before trading with real money.


Forex trading hours:while you might have heard that the forex markets never sleeps, it actually does. Firstly, you won’t be able to trade on weekends (saturday and sundays). But for the rest of the week, the forex market operates 24 hours a day. This is due to the fact that forex trading is global. At any point in time, you will always find an overlap of a new market session while the previous market closes. What time of the day or which market session you trade plays a big role if you are an intra-day trader or a scalper. This is another vast topic, which we will cover at a later stage. ( click here to learn more about forex trading hours . )


Now that you have a basic overview of the forex markets, here are some final pointers to remember before you start trading for yourself.


What is a pip?:pip is a measure of change in a currency pair’s value and is the 5 th decimal. For example, if EURUSD changes from 1.31428 to 1.31429, the change is denoted as 1pip (1.31428 – 1.31429 = 0.00001). When you trade, the more pips you make, the more profit you have. Ex: buying EURUSD at 1.31428 and selling (or closing your trade) at 1.31528 would give you 100pips in profit. ( read more about forex PIP )


Reading quotes: forex quotes are presented in a bid and ask price (both of which vary by a few pips and from one broker to another). The bid price is the price at which you can buy and the ask price is the price as which you can sell. So, a EURUSD quote would look like this 1.31428(bid)/1.31420(ask).


What is a spread?: spread is nothing but the difference between the bid and ask price. So in the above example, for 1.31428/1.31420, the spread would be 8 pips. ( read more about forex spread)


What is a leverage?: leverage is the amount by which you can request your broker to magnify (or increase) your trade value. Leverage is often quoted in ratios such as 1:50, which means that when trading on a 1:50 leverage, your $100 is magnified to $50000. Leverage is a big topic in itself and it is recommended to read this article to learn more. Leverage is important both in terms of making profits as well as managing risks and therefore, your trades.


What is a lot?: A lot is a unit by which you place your trade. In financial terms, a lot is also referred to as a contract. There are preset lots (or contract sizes) that you can trade. For example a standard lot is nothing but 100,000 units (known as 1 lot). ( read more about lot)


Reading charts: the ability to understand and read the charts is very essential to trading. Depending on your approach, you can choose between a line, bar or candlestick charts and trade accordingly (for example trading based on candlestick patterns). ( read more how to read forex charts)


Placing orders (how to buy and sell): in forex trading, it is possible to either buy or sell any currency pair. Most trading platforms, give you this option. You buy when you think that price will go up and you sell when you think that price will fall. There is a common terminology used in forex trading, which is buy low, sell high; which is an important point to remember. ( read more how to place orders with MT4 )


Order types: besides buy and sell, another point to remember the types of orders. There are two basic order types: market orders and pending orders. When you click on ‘buy’ or ‘sell’ you are basically buying (or selling) at the current market price. A limit order on the other hand tells the broker that you want to buy or sell only at a particular price. ( read more about types of forex orders)


Step 3. Find a forex broker


How to Start Trading Forex (4 steps), start trading for free.


As mentioned, there are many forex brokers today and therefore it can get confusing on how to choose the forex broker that is right for you. To briefly summarize, remember the following points while choosing a forex broker:



  • Look for a forex broker that is regulated

  • See if the forex broker offers a minimum deposit amount

  • What is the leverage that the broker offers

  • What is the minimum contract size that you can trade

  • Bonuses and the terms and conditions (see on our site list of forex deposit bonuses and forex no deposit bonuses)

  • Deposit and withdrawal types as well as the terms and conditions

  • Trading methods that are allowed by the broker



We can also help you choose a forex broker by reading our article how to choose forex broker


Step 4. Start trading


Finally, now that you have selected a forex broker to trade with it is recommended to first open a demo trading or a practice account. Most forex brokers offer unlimited demo trading account (but will be deactivated if not used for 30 days). This is a good way to get acquainted with the forex markets and also help you to understand your trading style (scalper or intra day trading, swing trading, etc) and approach (fundamental or technical analysis). You can search for various trading methods and systems or you can develop one yourself when you have a good understanding of technical or fundamental indicators.


Conclusion:


Forex trading is one of the most active and dynamic ways to trade the financial markets. At the heart of everything, it is the basic fluctuations in currency values which drives everything else. Learning to trade forex and understanding the forex markets can give a good foundation to trading other markets such as derivatives or equities.



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Starttrading.Com has a variety of features that make it the best place to learn how to start trading. Our course is designed to help you prepare for success in the financial markets. Not only will we teach you the technical and fundamental side of trading, we will also teach you the mentality needed to trade like a pro.


40 + in-depth online trading lessons.


40+ in-depth trading lessons throughout 7 detailed units.


Learn to trade in your own time.


Learn, practice & understand the markets anywhere, anytime!


Learn trading, no matter your experience level.


Learn the basics, through to advanced trading strategies.


Track your progress through the trading course.


Keep track of lessons you’ve completed.


Trading course overview


Unit 1 - preschool


Forex basics


Currency trading? Forex trading? FX trading? Totally clueless about forex? Here’s an introduction to the foreign exchange market.


For those of you who are complete newbies to forex trading and are trying to learn the ropes, it can often be an overwhelming and daunting world, but it doesn’t have to be. This unit will bring you up to speed with everything forex!


How to Start Trading Forex (4 steps), start trading for free.


Understanding the market


When making any investment it is important to gain some understanding in what you’re getting into. This will allow you to achieve the best results possible and limits the amount of mistakes you make.


If you want to actually learn how to trade forex, you’ll need a basic understanding on how forex trading works to begin with. After this unit you will know exactly how the market works.



Trading websites every day trader should know


Great resources and day trading tools


How to Start Trading Forex (4 steps), start trading for free.


Looking for day trading resources to help you out with your day trading? These trading websites deliver some great tools for analyzing trades, finding trades and tracking your trades.


Tradingview provides quick research


Tradingview.Com is a site providing real-time prices on stocks, electronically traded funds (ETF), and foreign exchange (forex) pairs. It also provides delayed data on futures markets (most futures trade via contract for difference (CFD), and CFD data is real-time). If you are new to trading and want to practice watching the market in real-time, this site allows you to do so.


If you're an experienced trader, it's a quick and easy site to pull up to do some research, as it works well while on the road or if not near your normal trading terminal. Tradingview also works well as a "backup" data feed, in case you lose quotes or get disconnected from your trading terminal or broker.


The charts themselves are of high quality, providing all of the popular indicators, comparison tools and chart types traders use (such as candlesticks and heiken ashi).


Other features include a stock screener, watch lists, paper trading (to test your strategies or learn) and alerts. A community chat portal also exists for discussing your trading ideas with other traders on tradingview.


Stockcharts is useful for analysis


Stockcharts.Com offers a ton of free resources, and you'll likely find yourself spending a fair bit of time on the site as you explore the high-quality trading articles as well.


The sector summary shows which sectors are hot over various time frames. Many day traders like to focus on buying strong stocks in strong sectors in a bull market (rising prices), and short selling weak stocks in weak sectors in a bear market (falling prices). This tool can help you easily find such stocks. Click on the sectors, and then the sub-sectors within to get a list of stocks ranked by performance.


The stockcharts SCTR report lists large-capitalization stocks from strongest to weakest, so you have a quick list of stocks moving well to the upside or downside at either end of the list.


The decisionpoint market analysis gallery (DP chart gallery) breaks down how the stock market is performing by using various daily charts and technical indicators on different time frames. It's a quick way to learn about analyzing price actions or grab a snapshot of the market direction and potential turning points.


Normal price charts can be changed to "seasonality charts," which show how a particular asset performs during different seasons.


Finviz provides trading research


The homepage of finviz.Com offers a host of stocks which are potential day trading candidates. Quickly view the day's top gainers and losers, see which stocks are breaking out and look at the day's most volatile stocks.


Use the other pages to dig up more data on stocks, forex pairs or futures. The news page provides timely reports and analysis from major news vendors. The screener tab allows you to find stocks that match your criteria for trading. The map option shows how stocks are performing during the trading day.


Price data is delayed on the free version of the site, which is still useful for research, but as a day trader, you may want more timely information, especially if using the home page for trade ideas. Finviz elite is the site's premium subscription tool, which offers real-time quotes, pre-market data, alerts and more.


Stocktwits, a social media platform for traders


If you're an active trader and want a constant stream of stocks (or other assets) that are moving well or breaking out, then this social media platform is one of the best free resources out there.


Search for day traders on stocktwits, and follow them if they provide timely information on stocks (or other assets) that are moving well for day trading purposes. Utilize your own strategy for trading the assets mentioned. Stocktwits is just an idea generator not a trade signal service, or at least it isn't recommended for that.


Stocktwits can be distracting, so while day trading keeps the focus on market research related to your specific trade parameters and market.


Trading simulators


For traders starting out, a trading simulator is the best free resource available. While a simulator won't replicate the emotional ups and downs of making and losing real money, it will let you know if your trading methods are sound or not. Simulations allow you to test your knowledge, strategies, and abilities without risk.


There are many trading simulators available. It might be a good idea to use one offered by a broker you would consider using in real trades. This allows you to become familiar with the broker, their fees, and their platform while developing your trading skills.


Some final words on free trading websites


Whether for research or generating trade ideas, these free trading websites offer tools to help in your day trading endeavors. These are resources to help you trade in a more informed manner because ultimately, the more information you have the better you will trade.



Online trading for beginners


You can trade online and make money from the comfort of your home these days. What is more, you do not need much of an experience to do this successfully. As a result of this, both beginners and experts can use this method to make a lot of money. While it is possible to make a lot of money via online trading of beginners, you need to understand that you will not make millions from it at the start, making millions form such trading will take some time to come and it will be after series of ups and downs.


Online trading for beginners brokers


The dream of making millions under a few days of trading will never become a reality. As a reasonable trader, you should know that profiting from trading is a gradual process and will take some time from materializing. So, every newbie needs to start having a different opinion about trading lest he ends up badly.


Online trading should not be seen as a magic(online trading for beginners)


How to Start Trading Forex (4 steps), start trading for free.


Those who see the online kind of trading as magic or a get-rich-quick scheme will end up being disappointed. If you have that kind of mentality, you will only get your fingers burnt. Instead, you should see online trading as a business and not as anything else. So, it is in your best interest to start treating trading as a business so that you can make a regular income from it.


The trend is your friend


You should always follow the trend when you are trading online as it will help you to make the right trading decisions a all times. This is one rule that every trader needs to bear in mind. Following the trend will help to reduce the occurrence of losses. If the trend shows that the particular asset you are concerned with is rising in value, then you should only consider taking a buying position. If the trend shows otherwise, then you should only consider selling a particular asset. When you follow the trend, the number of times you record losses will reduce. When the market is ranging or spiky, on the other hand, it is advisable to hold back from trading until the market makes up its mind about the particular direction to follow. Trading in a ranging market may cause you to record more losses.


Choose traders wisely


Trading online can be profitable and it can also be risky. So, you need to choose tread carefully so that you will not end up with more losses than profits. First of all, you need to choose the broker very carefully. There are so many brokers out there today claiming to be the best, but, unfortunately, not all of them can be trusted to deliver on their promises. This is why you need to choose carefully so that you will not end up with an unreliable broker. You should read up reviews about the online broker to find out if the broker is reliable or not. You should also avoid registering with a broker that is not regulated. Only regulated brokers can be trusted to protect the interests and funds of their clients. Your fund may go missing if you register with an unregulated broker.


Keep on learning


Forex trading online is a very risky business and you need to also bear this at the back of your mind. One of the factors responsible for the risky situation is its dynamic nature. Forex trading is dynamic and this means that market is consistently changing. A forex trading strategy that worked yesterday may fail to work today because of the dynamic nature of the market. This means that the forex trader will need to consistently adjust and modify his trading strategy so that it can be useful in the current market situation. If you are to successfully adjust your trading strategy to meet up with the current condition of the market, then you need to keep on learning so that you will not get it wrong. Learning is a constant thing for everyone that wants to trade online. The day you stop learning is the day you start failing. If you do not want to fail, then you must not stop learning. There is always something new to learn in forex trading and the earlier you get down to it the better for you.


You need more than just the basic knowledge of trading of you to be able to make anything out of online trading for beginners. You need to get additional knowledge and make learning a daily engagement. You can look for sources of information for online trading for beginners that can help you to better understand how to go about trading online.


Put your risks under control


You should not trade forex with money you cannot afford to lose. It is not wise to borrow money or take a loan for trading online. This is because you can end up with a huge loss that will put you in big debt. So, only trade forex with money that will not put you in an emotional problem when you lose. Also, you should never risk more than 1 or 2% of your money when trading forex online. You should calculate your risk based on how much money you have in your trading account and the calculation should have been done long before you start trading and make sure that your plans are made well before trading begins. Always remember that you can win or lose during forex trading online. So, you must be prepared for eventualities.


Be ready to spare time


Forex trading will take time before you can understand how it works. Determining when to place trades can also take some time. So, you must be ready to spare the time before you can successfully trade forex. Online trading is not something you can venture into if you do not have adequate time for market analysis lest you end up making mistakes that can cost you. This is even more important if you are into day trading. It may cause you to give up most of your day on trading analysis. It is not safe to start trading online if you do not have adequate time to spare on market analysis. Trading opportunities can come up at any time of the day or night. So, the trader needs to always be on the lookout lest he misses out.


Be ready to start small in online trading for beginners


One of the points online trading for beginners instructions should emphasize is the need to start small. Do not forget that trading online should be treated as a business and you should be ready to start your business small and look towards growing with time. This is exactly the case when it comes to online trading. If you are a newbie with limited knowledge about trading, then starting small is always in your best interest. You can now add more funds and go in big after you have built a lot of knowledge about trading. Even at that, you must not risk more than what you can afford to lose since the best of forex trading online strategies can turn out to be unprofitable at the end of the day. You should always bear in mind that there is no 100% profitable strategy in forex trading.



5 trading apps with free bonuses


Who doesn’t love a great bonus? We do. We’ve complied the best trading apps with free bonuses so that you can start your trading off with a bang.


Let’s have a look at the best free bonus trading apps.


1. Moomoo


Best for: US stock traders & investors


Bonus: 3 free stocks (up to $1,250)


Moomoo offers a great free bonus offer for new registrations. You can grab 3 free stocks valued up to $1,250.


2. Currency.Com


Best for: crypto traders


Bonus: up to $100


How to Start Trading Forex (4 steps), start trading for free.


Currency.Com is a free, regulated trading app which gives you a random bonus of up to $100 USD value when you sign up, complete verification and make a deposit.


3. Coinbase


Best for: cryptocurrency enthusiasts


Bonus: $10 free bitcoin


Free bitcoin? Why not! Coinbase offers a $10 free bitcoin bonus offer to new registrations who use an invite link to sign up. The bonus is deposited into your coinbase account.


You have to trade at least $100 of cryptocurrency to get the $10 bonus. After you get the bonus, you can trade it or withdraw it to your bank account or paypal.


4. Webull


Best for: US traders


Bonus: 2 free stocks (up to $1,400)


Webull is a popular alternative commission trading app. When you deposit any amount, you will get 2 free stocks worth up to $1,400 – cool right? The difference between this bonus is the value – it’s up to a huge $1,400. Will you be lucky? Find out by grabbing your free stocks today.


You can sell the free stocks and withdraw them directly to your bank account.


Best for: anyone


Bonus: free VPN


How to Start Trading Forex (4 steps), start trading for free.


XM is one of the world’s leading CFD trading apps. They’re currently running a neat promotion which gives you a free trading VPN – don’t miss out on it! Sign up for a free XM account today.


Summary


There are a ton of awesome free bonuses on trading apps, it’s hard to choose the best ones, but these are our personal favourites.


There’s no limit to how many bonuses you can redeem you can get, so why not try them all?


Here’s our final roundup of the best free bonus trading apps.



  1. Currency.Com: best overall

  2. Moomoo: best for advanced traders

  3. Coinbase: best for cryptocurrency traders

  4. Webull: best for US traders

  5. XM: best for everyone



Have you seen any other awesome free trading bonuses? Let us know in the comments!


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Trading apps is your trusted guide to the world of trading on mobile applications. We test and review hundreds of trading apps to bring you the best. Learn more about us on our ‘about‘ page.



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Etoroвђ™s popular investor program recognises talented, savvy, responsible traders who share their knowledge. Our top-tier popular investors earn up to 2% annually on their assets under management.



Etoroвђ™s popular investor program recognises talented, savvy, responsible traders who share their knowledge. Our top-tier popular investors earn up to 2% annually on their assets under management.



Etoroвђ™s popular investor program recognises talented, savvy, responsible traders who share their knowledge. Our top-tier popular investors earn up to 2% annually on their assets under management.


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Etoro is the worldвђ™s leading social trading platform, which offers both investing in stocks and cryptocurrencies, as well as trading CFD with different underlying assets.


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Online stock trading – learn how to invest online!


Would you like to start investing? Thanks to the internet each one of us can easily start investing at an online broker. But how does this exactly work? On trading.Info you can read all you need to know before managing your first investments and making your first trades.


How do you invest online?


All you need to invest online is an account with a broker. What kind of account you need depends a on your investment plans.


Do you prefer active trading?


Some people prefer active trading by investing in for example derivatives. The best place to open an account in this case would be the broker plus500. Plus500 namely allows you to place orders on increasing and falling markets by means of CFD's. A big advantage of this broker is the possibility to try and test all features and functionalities free of charge via a demo.


Would you like to buy shares?


Would you rather prefer to physically trade for example shares? In this case the best decision to take is to open an account at an online broker. Our ‘best broker overview’ shows you the best places to start your investment quest. Find below an overview of the best the best brokers according to our test:


How to Start Trading Forex (4 steps), start trading for free.


How to Start Trading Forex (4 steps), start trading for free.


Start investing: what you can do?


The key to successful investing is to practice when you start. Don’t take it for granted that you were born an ingenious investor. Most people are losing money when investing and the main cause is their lack of knowledge. It is therefore of crucial importance to read a lot about investing and to only invest in products which you understand.


A proper way to practice your investment skills is by opening a free demo at a broker. By means of a free demo you will be able to simulate a stock exchange one-to-one. It will allow you to try various investment strategies without running into risks. Interested to find out the best places to open a free demo? Use the below button:


Learn how to invest: learn the key principles of online investments


It is of crucial importance to apply a good strategy when you start investing. Thanks to some useful courses you can learn how to invest. Make use of our free ebook ‘how to make your first 500 euros by investing’. Registration for this book is free via the below button:


Would you like to take a quick investment start? Our investment tutorial will tell you all about investments from A to Z, so being an investor you will immediately understand all the ins and outs to take a flying and successful investment start. Would you like to learn more about the different analysis types? Don’t hesitate to use one of our specific courses:



  • Technical analysis: learn how to recognize and interpret patterns in a graph

  • Fundamental analysis: analyze company figures



Cheap investments are crucial


Many starting investors don’t pay attention to the costs. Nevertheless, high costs can ruin your investment results. It’s therefore of crucial importance to look for the cheapest investment broker. In the long term this might save you several tens of thousands of euros. Would you like to know the cheapest places to invest? Use our special tool:


What to invest in?


When ready to invest, you also need to know what to invest in. Take a look below and read all about the different assets you can trade in.


Investing in shares


Investing in or trading shares is of course one of the most popular investments. When buying a share, you become a co-owner of the company, although probably only for a small part. Because share prices fluctuate continuously and sometimes strongly, good results can be achieved when using these trends in a smart way.


Investing in derivatives


Derivatives are the perfect investment for each person who likes a bit of speculation. By means of derivatives, a leverage can be used to speculate on increasing or falling prices. This means you can seriously and rapidly increase your return on investment or your loss. Speculation is the daredevil’s way of investing.


Investing in options


Another speculation favorite are options. Options allow you to buy the right to buy a share at a certain price in exchange for a premium. When you trade options in a smart way, they can also be used to protect your portfolio.


Investing in bonds


Bonds are the perfect investment for the low risk investor. The bond is a debt security. When the maturity date is reached the bond will be paid back and at fixed intervals you will receive an interest. Bonds are a stable, but also a boring investment.


Investing in cryptocurrencies


Hot & happening are the cryptocurrencies. Online coins like the bitcoin or ethereum are subject to strong price fluctuations. By investing in them at the right moment, you can achieve huge returns on investment. Would you also like to try investing in cryptocurrencies?


Investing in commodities


By means of contracts, you can invest in commodities like gold and silver. But did you know you can also invest in coffee and sugar prices? The commodity prices are often closely linked to and dependent on the global economy.


Investing in forex


International currency prices are continuously fluctuating. Forex trading is also suitable for the more novice trader, since the patterns are easy to predict.


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Investment risks


Keep in mind, investing always goes hand in glove with risks. There is always the risk to lose money or to even lose your full investment. It is therefore of crucial importance to read about the investment world and to only invest money which can be missed. Besides, only invest in products which you know and understand.


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Cfds are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading cfds. You should consider whether you can afford to take the high risk of losing your money.



Online trading for beginners


You can trade online and make money from the comfort of your home these days. What is more, you do not need much of an experience to do this successfully. As a result of this, both beginners and experts can use this method to make a lot of money. While it is possible to make a lot of money via online trading of beginners, you need to understand that you will not make millions from it at the start, making millions form such trading will take some time to come and it will be after series of ups and downs.


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The dream of making millions under a few days of trading will never become a reality. As a reasonable trader, you should know that profiting from trading is a gradual process and will take some time from materializing. So, every newbie needs to start having a different opinion about trading lest he ends up badly.


Online trading should not be seen as a magic(online trading for beginners)


How to Start Trading Forex (4 steps), start trading for free.


Those who see the online kind of trading as magic or a get-rich-quick scheme will end up being disappointed. If you have that kind of mentality, you will only get your fingers burnt. Instead, you should see online trading as a business and not as anything else. So, it is in your best interest to start treating trading as a business so that you can make a regular income from it.


The trend is your friend


You should always follow the trend when you are trading online as it will help you to make the right trading decisions a all times. This is one rule that every trader needs to bear in mind. Following the trend will help to reduce the occurrence of losses. If the trend shows that the particular asset you are concerned with is rising in value, then you should only consider taking a buying position. If the trend shows otherwise, then you should only consider selling a particular asset. When you follow the trend, the number of times you record losses will reduce. When the market is ranging or spiky, on the other hand, it is advisable to hold back from trading until the market makes up its mind about the particular direction to follow. Trading in a ranging market may cause you to record more losses.


Choose traders wisely


Trading online can be profitable and it can also be risky. So, you need to choose tread carefully so that you will not end up with more losses than profits. First of all, you need to choose the broker very carefully. There are so many brokers out there today claiming to be the best, but, unfortunately, not all of them can be trusted to deliver on their promises. This is why you need to choose carefully so that you will not end up with an unreliable broker. You should read up reviews about the online broker to find out if the broker is reliable or not. You should also avoid registering with a broker that is not regulated. Only regulated brokers can be trusted to protect the interests and funds of their clients. Your fund may go missing if you register with an unregulated broker.


Keep on learning


Forex trading online is a very risky business and you need to also bear this at the back of your mind. One of the factors responsible for the risky situation is its dynamic nature. Forex trading is dynamic and this means that market is consistently changing. A forex trading strategy that worked yesterday may fail to work today because of the dynamic nature of the market. This means that the forex trader will need to consistently adjust and modify his trading strategy so that it can be useful in the current market situation. If you are to successfully adjust your trading strategy to meet up with the current condition of the market, then you need to keep on learning so that you will not get it wrong. Learning is a constant thing for everyone that wants to trade online. The day you stop learning is the day you start failing. If you do not want to fail, then you must not stop learning. There is always something new to learn in forex trading and the earlier you get down to it the better for you.


You need more than just the basic knowledge of trading of you to be able to make anything out of online trading for beginners. You need to get additional knowledge and make learning a daily engagement. You can look for sources of information for online trading for beginners that can help you to better understand how to go about trading online.


Put your risks under control


You should not trade forex with money you cannot afford to lose. It is not wise to borrow money or take a loan for trading online. This is because you can end up with a huge loss that will put you in big debt. So, only trade forex with money that will not put you in an emotional problem when you lose. Also, you should never risk more than 1 or 2% of your money when trading forex online. You should calculate your risk based on how much money you have in your trading account and the calculation should have been done long before you start trading and make sure that your plans are made well before trading begins. Always remember that you can win or lose during forex trading online. So, you must be prepared for eventualities.


Be ready to spare time


Forex trading will take time before you can understand how it works. Determining when to place trades can also take some time. So, you must be ready to spare the time before you can successfully trade forex. Online trading is not something you can venture into if you do not have adequate time for market analysis lest you end up making mistakes that can cost you. This is even more important if you are into day trading. It may cause you to give up most of your day on trading analysis. It is not safe to start trading online if you do not have adequate time to spare on market analysis. Trading opportunities can come up at any time of the day or night. So, the trader needs to always be on the lookout lest he misses out.


Be ready to start small in online trading for beginners


One of the points online trading for beginners instructions should emphasize is the need to start small. Do not forget that trading online should be treated as a business and you should be ready to start your business small and look towards growing with time. This is exactly the case when it comes to online trading. If you are a newbie with limited knowledge about trading, then starting small is always in your best interest. You can now add more funds and go in big after you have built a lot of knowledge about trading. Even at that, you must not risk more than what you can afford to lose since the best of forex trading online strategies can turn out to be unprofitable at the end of the day. You should always bear in mind that there is no 100% profitable strategy in forex trading.



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Etoroвђ™s popular investor program recognises talented, savvy, responsible traders who share their knowledge. Our top-tier popular investors earn up to 2% annually on their assets under management.



Etoroвђ™s popular investor program recognises talented, savvy, responsible traders who share their knowledge. Our top-tier popular investors earn up to 2% annually on their assets under management.



Etoroвђ™s popular investor program recognises talented, savvy, responsible traders who share their knowledge. Our top-tier popular investors earn up to 2% annually on their assets under management.


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