Last year I started a practice account to trade Forex, I must say at first I was lost, it required a lot of studying and learning, and trust me, the practice account is just to practice using the system, the real account is another story... I believe every day many people get the idea they are gonna get rich with Forex, and you probably can if you have the money to invest, but you have to be willing to take loses, remember that in Forex if you make money it only means that somebody else lost money, and you can be on the side that helped someone else to make money…
I share with you this 5 tip to Foreign Exchange currency market:
1. Know your Fx trading market.
Always educate yourself about the currencies that you trade and everything related to Forex, you need to know everything before jumping to the water. The more you learn about the country (from economics to social situations) of the country´s currency you’re trading in the forex market, the more likely you’ll be to make predictions about which way the money will move.
2. Pick a forex trading system and stick with it.
Most experienced Forex traders will recommend you use a system, trading in the Forex market by system allows you to automate your trades based previous trading. Get a system set up and stick to it in order to make the most of your forex trading.
3. Practice makes perfect, but remember that the real world gives you the experience
Practice forex trading accounts are great for learning and getting you familiar with Forex trading systems but they do differ from the reality of trading (in the sense that the world changes by the second). The recommendation is to start off with a mini forex account to bring you losses to a minimum while you get the hang of it.
4. Avoid the margin until you´re a Pro
Margin trading is an easy way to lose your money quickly. Avoid Forex margin trading until you have no doubt about what you’re doing.
5. The bottom line is counting Dollars
The bottom line is how much money you made with your trade, stay away from counting won or lost trades, count your dollars.