ABOUT FOREX TRADING ANY NEW FOREX TRADER SHOULD KNOW

Forex Trading involves buying or selling of any currency pairs Eg; eur/usd, gbp/usd,usd/jpy.usd/chf, aud/usd etc and not with Stocks or Bonds as most People understand. A Trader can profit either way and need not care whether the price goes up or down by predicting the rise and fall of one currency against another. Forex is the most Traded Market in the World with an average turn over of 3.2 Trillion Dollars per day, ten times more in Volume than Hollywood. It is a continuous 24 Hr Market, Trades can be opened on the Internet from your Home or Office. Forex trading is something that you should really learn and impossible to learn enough about it, in a few days and start making money right away.

When it comes to Forex trading, the trend is Your best friend. NEVER trade against the trend. ability to identify a right trend is an asset to any forex trader. A trend may last for a day, month, or go on for weeks and months until it finally changes its direction.

Many people often wonder if forex trading can bring them profits with their effort like many other trading enterprises hence they be in the market all the time chasing profits. If you want a better success in forex. you should understand that in the forex market you get paid only if you have entered a trade Right and not for your effort or how often you trade. Professional traders prefer quality trades over quantity trades and wait patiently for such trades to appear. They place only 1 or 2 trades in a month and reap a huge profit. To stand a better form of success, do not trade too much or over trade.

Avoiding Emotional encounters when Trading Forex is very important for success. The majority of Forex Traders are the ones that lose who Trade Emotionally, sitting in front of their Desktop all Day long, anxiously monitoring how their Forex Trades perform. As the Currency bought or sold by them fluctuates up and down the Forex Traders involuntarily allow their Emotions to fluctuate accordingly making them far less possible to Win.

Money Management represents the Amount of Money You are going to put on one Trade and the risk You are going to accept for this Trade. Money Management Teaches how to cover loses to a minimum and make overall huge Profits. Risking more Money using Leverage in the hope of gaining more is not Forex Trading but Gambling which quickly helps one lose more in trading.

Leverage is simply having the ability to control a large amount of money with a small deposit. choosing a very high leverage can result in large losses unable to recover or drain Your Account prohibiting You, out from the Forex market until You re-invest again, if a slight market movement is against You. Your brokers commission will increase accordingly with the increase of Your leverage.

Metatrader4 is the most preferred and the worlds best Trading platform which is free, with nearly 2.75 trillion dollars changing hands through this platform in a day and supports 29 different Languages with wider coverage of Financial Markets. The Platform supports a special programing language called MQL which made possible the development of Automated Trading using Expert Advisers(EA’s) or Robots thus allowing Forex Traders to install their own Indicators or Scripts to Trade Automatically on this Platform.

A Broker is an intermediary between Traders and Interbank or large Financial Institutions. Spread is the commission charged by Your Broker on each trade you execute, Swap is a fee charged by your broker for holding any currency trade overnight.

A wise research is essential to select a honest Broker as they have a very important role in Your Success. They need to do the Right Job. They can manipulate and actively Trade against their own Clients by pitching themselves on the opposite side of their Clients and separate you from your hard earned cash.

The Job of protecting your Money, getting Robbed by Your Forex Broker or due to poor Trading Knowledge is entirely Yours and not of the Broker You select . Do Not Give The Whip To Get Whipped as this is my experience with many Market Makers who have a, We Don’t Care attitude after Robbing their Clients. It is important to select ECN brokers rather than Market makers for it has it’s own advantages.For more Forex trading Secrets Visit ; http://forexinternationaldesk.com