Forex Trading for Beginners If you are looking to become a successful forex trader, you must start learning the language of the Forex market, and the basics of Forex trading.
Trading Forex can be a very exciting and rewarding activity, but it can also be tough, especially for novices. Beginners misjudge the importance of financial education, tend to have improbable expectations, and struggle to control their emotions, making them act ridiculously and damage their overall performance.
The Foreign Exchange market, also called the FX market, is an over-the-counter market where the world’s money is traded. Many important players trade the Forex market, such as investors and banks.
As a retail trader, you will be able to access this market with a Forex and CFD broker and make money by buying or selling currency pairs. Currencies are continuously quoted in pairs — for instance, in the EUR/USD currency pair, the EUR is the “base” currency, while the USD is the “quoted” currency.
As a Forex trader, there exist different trading methods you can use, with the main ones being: ● Day trading ● Scalping ● Swing trading
Day trading and scalping remain the two of the most aggressive and active trading styles. In both cases, all trading positions will be closed before the completion of the trading session. Where these 2 styles vary is in trade frequency — scalping is about the captivating advantage of very small price changes, frequently buying and selling within seconds or few minutes, despite the fact that day traders may hold a position for up to several hours. While day trading and scalping remain very short-term trading methods, swing trading is longer-term, with positions held up to several weeks.
In addition, when selecting a broker, you must also study the currency trading application and platforms they offer. The trading platform is the essential element of your trading and your main work tool. When assessing a trading platform, and if you are a beginner in Forex, please try to make sure that it includes the following elements:
Trust Do you trust the trading platform offering you the results you expect? It must be able to trust the accuracy of the quoted prices, the data transfer speed, and the fast execution of orders is indispensable to be able to trade Forex effectively. Even if you plan to use very short-term strategies, such as scalping.
The information must be offered in real-time and the platform must be available at all times when the Forex market is open. This confirms that you can take benefit of any opportunity that is presented to you.
Security Are your funds and private information protected by the trading platform? An honest Forex broker and a decent Forex trading platform will take steps to confirm the security of your information, along with the capability to back up all key account information.
If a broker cannot prove the steps they will take to protect your account balance, it is better to find another broker.
Trading with Triton Capital Markets If you are ready to trade in live markets, a live trading account might be suitable for you. Triton Capital Markets offers traders the ability to trade with many types of currencies. To open your live account, click here!