Learn how to trade forex successfully
Dwain Ross
03 / June / 21
Visitors: 242
The stock market is a kind of a trading platform and a set of rules and regulatory mechanisms that allow people to trade securities - stocks, bonds, futures, etc. Today almost everybody can become its participant - having access to the Internet and understanding the basic principles of the stock market is enough. However, the part of learning stock trading when you have to master the rules of the game sometimes becomes an obstacle preventing beginners from making trading into a significant source of income. Trading is not a game but a job that requires serious knowledge in a specific field. We could say the same thing about the Forex market and currency trading. How difficult or easy, how profitable it will be depends on personal aspirations. The most straightforward rules can be mastered in a few hours but if you would like to become a top-class player, you should put your mind to more thoughtful work.
Learning takes time which an average person does not have much of. To date, the popularity of the stock market is growing forcing the conditions for new players to be alleviated. There are more and more people willing to participate in the action and many brokers develop special trading courses for traders for a few months (weeks or even days, depending on the program), where beginners are taught how to trade successfully: the secrets of the stock market and Forex, the principles of fundamental and technical analysis, etc. Beginners have the opportunity to select a basic learning guide - both full-time and remote. Additionally, you can do it on your own as there are many programs online that a beginner trader can study for free. You can also use special apps or ask an experienced trader for help who will make a schedule convenient for their student and conduct a series of classes and seminars on Skype. There are many opportunities to learn about the stock market before actually trading. The question is how to determine which one is right for you.
It is worth having a look at major works in this field as there is a fairly wide range of books on this topic because books have always been a source of knowledge regardless of the development of new technologies. You can refer to literary works at any moment when you have spare time; it is especially beneficial to re-read and analyze the information again. Many textbooks are accessible online for free download. But at the end of the day, there is so much literature online and printed in books these days, that choosing where to start your research can be a daunting process. The disadvantage of book learning is that you become self-contained and do not know if you have made appropriate conclusions from the book until you win or lose during actual trading. Learning to work in the market this way can entail additional risks so it is better to use all available training methods.
If you type "learn stock trading free" into a search bar, you will find out that learning how to trade takes a relatively short amount of time and you can do it from anywhere in the world by choosing a remote type of training. Thus, some companies-experts offer multiple classes online and then an opportunity to transition knowledge from theory to practice with the guidance of an experienced trader. Each student is assigned a tutor, who gives recommendations on video materials and textbooks that clients can later use to study independently. The tutor also manages the practical training of their students: they help with opening a demo account, share knowledge on opening and closing trades, teach how to follow the news announcements and analyze market fluctuations correctly, avoid risks and work with various financial instruments. Using the function "Show screen" in Skype, an instructor can monitor the status of the trader's account and correct their actions. This course is considered basic, it allows the future trader to understand the principles of the market better and try their hand.
Some companies make courses and seminars for beginners free of charge offering a student who took the previous course a chance to enroll in the next, more detailed program of learning the stock market trading – only this time the program will be paid. The cost depends on the number of classes chosen by a student and is also affected by the level of the teacher's qualification - seminars by traders with a world-known name will cost much more. During group sessions future traders try to simulate situations that can actually take place in the financial market with a consultant who guides them and thus, work on various reactions to its changes. Full-time lessons for beginners are also mostly free, although more in-depth courses, including programming of trading strategies, are not.
A simple introduction into markets can take a form of a webinar. This is a rare opportunity to choose a person who will share their knowledge that you personally like so that you will not miss their classes. There is a range of companies that provide free and paid courses for beginners and advanced traders. By subscribing to the webinar, you will have access to the information you want online and on the appointed day and hour. Records of past webinars are frequently put free of charge on the websites of broker companies. The downside of webinars is the absence of feedback from the host. In addition, you yourself will have to work out a plan for your training and systemize the information. It will probably be the very essentials of trading in the market which you absolutely cannot go further without. This is a positive if you already have some prior knowledge and a negative if you are an utter newbie.
The advancement of technology allows people to study at any time convenient to them and in any country in the world but it should be noted that online communication is still not the same as live communication from a psychological point of view. That is why most major brokers give future traders the opportunity to study with them in person. A student has the right to choose: to practice as a member of a group (this option is usually cheaper and also provides the opportunity to analyze mistakes in the learning process not only with the tutor, but also with other traders) or individually with the tutor to create their own schedule. Full-time education helps not only to plunge into the atmosphere of the market, work out tactics and strategy of behavior in a professional atmosphere but also gives the most important lesson: it allows you to overcome the mental barrier between educational and real trade.
Bill Williams states in his book on Forex trading that when practically all of his students started turning from beginners into professional traders in a few months, earning more than they used to earn in many years, he realized that you are better off switching from full-time trading education to part-time education. He considers part-time form of education in Forex trading the most helpful because no successful trader will ever spend too much time on lectures in classrooms. What for? The amount of money they can make in the market is significantly bigger than what students can pay during these several hours. Who then teaches beginners at Forex courses? You might be able to answer that question yourself. What he did to help people learn how to trade Forex successfully was making his assistant deliver lectures and he joined them at the stage when they approached the practical training. At this point he helped the students quickly analyze the current situation within a few minutes, draw up a trading plan and indicate the points at which they would place "sell" or "buy" on several currency pairs at the same time.
He notes that other methods are partly beneficial for a certain part of Forex trading. But other authors try to pose their advice as universal and as a result, if we do not draw a clear boundary between where their advice can work and where it does dot, we will see a well-known picture: some traders prove these authors were indeed telling the truth, others show that the same methods can lead to the opposite results. The majority of Forex traders are currency speculators (J. Soros called himself that) opening deals with a large leverage and wishing to profit in only one day. His method is best suited for such speculators and it allows you to earn 20-50 points for each currency pair without fail within almost every European and American stock exchange sessions. 20-50 points, of course, is not the limit for trends within the day, especially if there is an Elliott Wave 3, the profits can be much bigger. His preferred currency pairs are GBP/USD, EUR/USD and USD/CHF.
The best tutors do not stick to theory - this is a rule that applies to all fields and the stock market or Forex in these cases are no exception. Therefore, when choosing a company that will help you gain some knowledge and skills, pay attention to those that are already successful in this field . Pay attention to the reputation of the company - most likely brokers who provide trading accounts and high-quality services will also take care of the learning process of beginners as considerately. In addition, large brokers care about the relevance of training program so they develop and improve them independently giving newcomers the opportunity to choose the type of training. It is a plus if they provide special literature and video lessons and assist in opening a demo account. History shows that it is not too difficult to learn how to trade successfully, for example with 10% a month. It is difficult to have restraint and self-control, follow simplest rules of management and not to get too emotionally involved but this is a whole other topic.
