What is Forex? This might be the first question that might arise in your mind. So let me tell you, Forex means Foreign Exchange or Currency Trading. Forex is a decentralized global market where the trade of all world’s currencies takes place.
About $5 Trillion volume is done every day through Forex Trading, which is far ahead of combined World Stock market volume. Based on the Demand and supply of any particle currency pair the rate fluctuates continuously.
So here are the 5 basic and solid tips for a Forex Trading Beginner.
- Do Fundamental and Technical Analysis
You need to understand the basics of a particular currency pair. There are lots of fundamental data coming out every day. Fundamental Analysis may consider data points such as economic data or any political event.
Whereas, Technical Analysis is all about chart and price movement and volume. There are many indicators and ratios which helps to predict the movement of any particular currency pair.
- Everything Is Old News in the Market
News or Updates you hear on various News Channel or Read on Forex News Web sites are already discounted by the market. The only thing that this news guarantee is volatility.
- Buying and Selling at right price makes profits
This is the most important point, Just buying at the correct time is not everything, you also need to sell it at the correct time to make profits, or else your profit may get eroded or it may end up taking you into losses.
- Be Active in Volatile Market
Make sure you are active in the volatile market and make the moves correctly. Do follow the trend to make quick profits and enjoy a beer at eve. Do not forget to keep Stop Loss in the volatile Forex market as you never know, a single update can break the whole market.
- Start with a Simulation before going live
As a Bworld Reviews, it is important to start trading in a simulation software. Where you can feel the real pressure, the real market with demo trading and no money.The experience in the simulation will help you to make a better decision when you will go live.