1. Select your first broker
When you first decide to trade Forex you will
need to locate a reliable broker. It's very
important that you familiarize yourself with
the software the broker uses for making trades
analyzing the market any other features they
may offer. Many like http://www.finexo.com/
have tutorials that will allow you to learn
forex concepts and techniques for free. Use
this to your advantage before just jumping in
tossing your money in.
2. Get simple method you understand
In forex trading many people think that the
more complicated a method they use in forex
trading the more likely they are to make money.
The fact is that is not a truth the simple systems
work best. As you know there are two main ways
to analysis the currency rate: fundamental technical
analysis. Simple systems are more robust easier
to trade with discipline as you underst the
logic can therefore follow it with confidence
when it has a losing period.
3. Trade the big trends not trade frequently
Although short term trading long term trading
are both good you have to catch the big long
term trends that make the big profits. The big
moves in forex trading with optimum risk to
reward come just few times a year so don't trade
for the sake of trading wait for these moves
- These are the that will make you the big profits
that's why you're trading.
4. Work smart not hard
Once you have a system your happy with that's
it. People go on about working hard in forex
trading to educate yourself but once you have
your system stick with it. The market doesn't
give you extra dollars for effort you get your
reward for trading correctly.
Forex trading is risky so you need to manage
your money place your stop order far enough
away the market action to allow for volatility.
Placing stops too close to entry not taking
enough risk dooms most traders to fail.
Also when you have a profit don't move the stop
up to quickly be patient give the trade room
5. The formula to success
The formula to success in forex trading is
to do the following:
Using Simple Method + With Discipline + Control
Risks = Forex Trading Success
Keep these simple tips in your mind you could
make some big profits on forex trading.
Above tip by: http://www.finexo.com/