Forex stands for foreign exchange and Forex trading means trading currencies of different countries against each other. For instance, in America the currency in circulation is called the US dollar (USD) while the currency in Europe is called the Euro (EUR). An example of a Forex trade transaction is to buy Euros and sell US dollars at the same time. The Forex market is open 24 hours from Monday to Friday and you can earn money either by going long or by going short. Going long means to buy a currency pair and sell it at a later time while going short means selling a currency pair first and buying it later.
Every trader aims to win in forex trading and to be able to do that, one must have a good forex trading strategy that will help you gain potential profit and avoid losing money as much as possible. As a forex trader, there are six simple ways you can follow to help you win more in forex trading.
A different question constantly that comes up which several Forex traders are more than likely to ask is: Is it much preferable to trade the Forex markets while on an end of day basis (with day by day charts) or in daytime (with 30, 10, 5 etc moment chart)? The response is it can be dependent on a selected person's individual circumstances, or their favored trend of trading, the amount of commencing capital, and naturally the volatility in the share market.
It did not publish any simulated strategy tester results but did posted past 10 years trading records. With a starting capital of $10k, it show account starting with $10k profited to $34k in 2009, $62k in 2008, $61K in 2007, $33k in 2006, $81k in 2005, $67k in 2004, $65K in 2003, $44k in 2002 and $59k in 2001. This Expert Advisor achieved and overall 19.8% Return on Investment monthly.
Trading forex involves significant risk factors which you as an investor need to be aware of. You have to know the implications and significance of margin trading and how it can affect your investment. Likewise, you also need to be aware of the various opportunities that are available for you in forex trading.
Forex trading is definitely risky. Not all who participate in Forex trading ends up with profits. With fixed ratio money management, you will profit more rather than losing money. It will help you to maximizes your money and limits your looses. It is a defensive strategy in Forex trading. Let me show you how you can turn your $1,000 to $12,000 safely in Forex trading. Follow these steps and start cashing in your profits.
Preparation plays an important role in the success of any person in the world of currency trading. It would be a great idea to take up lessons and classes to learn the basics first. In the end, after a good forex trading education, you should have the knowledge and skills required to win in this market.