If you're new here, you may want check out the hottest Forex topic in 2008 - Autopilot Forex Trading. Thanks for visiting!
- Euro Outlook Hinges Upon Key European Central Bank Rate Decision on December 4 - British Pound Under Pressure as Markets Forecast 100bp Cut by the Bank…
- Euro Outlook Hinges Upon Key European Central Bank Rate Decision on December 4 - British Pound Under Pressure as Markets Forecast 100bp Cut by the Bank…
Euro forecasts against the US Dollar took a turn for the worse on the week, as generally dismal European economic data and further losses in the US Dow…
The Euro was able to reclaim some of its losses against the benchmark dollar last week; but was this a genuine trend change or a mere bounce? That question…
I really should get more educated before I decide if I would like to do this. Basically if you could give me a brief overview of currencty trading. Also, how much would I need to have in my forex account to actually make it worth the time and effort of trading and to be able to make any money? I’m a college student so a couple hundred bucks is probably all I could put in adn that’s even stretching it a little.
ANSWER: Currency trading is risky business, but you can make money with it. You just need to trade smart. Before you start trading, you should learn as much about forex as you can to prepare adequately. Many websites will advise you to trade with leverage to increase your profit. Leverage is ratio between lended capital and invested capital. For example if brokers offers you leverage of 100:1, it means that if you invest 0 you will be able to trade with .000. While leverage can bring you higher profits, you can also lose all your invested money very quickly. Most brokers have automated systems that can issue a stop order to some trades to protect their interests, so you can never lose more than what you invested, but it is also possible that some brokers don’t have these systems and in that case you can be responsible for losses that outweight your investment. That is why you should always read brokers margin agreement. My advise is that you ALWAYS trade with leverage 1:1 and NEVER trade beyond 10:1, no matter how good you become at trades. People who make money with forex never trade with more leverage than 10:1. Also as a beginner, you can use some trading platform like Metatrader 4 that offers demo account with virtual money. It allows you to try out forex trading without any risk and that way you can see whether you can make money on forex or not. Just remember greed is your enemy No.1. Also don’t expect high profits with forex. People who make money on forex are doing it slowly. If you expect a return of 200% within a week, or month, than forget it and try something else.)
Source: Yahoo
Sir, What would be your advise on forex trading.Does it really worth it.
ANSWER: Forex trading has potential for high profits and high losses. Forex primarily needs a great deal of knowledge and specialization to do it profitably. Many “GURU’s” like to bang the drum about how much money you can make, but most people lose money at FOREX, because it is a situation where you make profits based on your decisions, and unless you are right in the immediate market, you are making decisions based on partial information. Those who have the best information make the most money. If you are 60 seconds late, you may miss out and lose money. Some people thrive in such a situation. Most do not.)
Source: Yahoo
I trade only stocks right now but I’ve heard people swear by trading futures or forex. I’ve never tried either. Is one more volatile and therefore easier to make more money?
ANSWER: The main difference between trading stocks and futures is the leverage involved. In a stock margin account, you can trade at 2:1 or 4:1 leverage. In a futures account, you can trade the E-mini or Dow mini futures with 20:1 or 40:1 leverage. This causes your profits and losses and account value to be extermely volatile, and very dangerous if you trade at maximum leverage. In a futures account, you can lose more than you have invested. Forex is just another form of futures account, except here, the maximum leverage is 200:1. Wo, how much trouble can we get into now? You have to be aware of the economic reports for the currencies traded and the US reports, like GDP, retail sales, and particularly interest rate adjustments and differentials. Unless you are willing to trade gap trades, the opportunity is very little here compared to the huge move from the report. These trades can be very plodding, in between reports. Or some big news announcement will break, or someone declares war, or sets off a bomb, and blows you completely out of the trade. Trading the forex is not for the beginner or faint of heart. Find a good simulator and practice, practice.)
Source: Yahoo
Which of the Forex trading robots will make you money? Find out in our Top 3 Automated Forex Trading Software shootout!
