10 most frequently asked questions on Forex

1. What is the best Forex platform?

Such a question cannot be answered. This, of course, will depend on the trader, according to his preferences, knowledge, experience, and what he intends to trade (what financial instrument). Many traders with average experience, especially when trading in the foreign exchange market, prefer to use platforms such as MT4 or C-Trader, which are designed mainly for Forex trading, as well as CFD trading, as well as for those who have some knowledge about the trading market.

Other, more novice traders would prefer to use platforms such as those found with Easy-Forex, iForex or eToro, where their use requires limited mathematical / computational knowledge and they are much easier to use.

More advanced / experienced traders, who also prefer access to multiple markets, prefer to use brokers such as Interactive Brokers or SAXO Bank’s SAXO Trader. Such platforms typically contain much more advanced charting / analytics tools (although, in fairness, most analytics tools are also available in MT4 / C-Trader), and provide access to thousands of tools including stocks, ETFs, swap trading, etc. .e .; and designed with the ability to effectively allow traders to participate in such markets.

2. Forex trader: what is the best way to conduct forex?

If you have looked into forex trading, then you are most doubt faced with all the different opportunities to make money and you are wondering what is the best way to learn forex trading. First of all, the most important thing I would advise is to get a Forex education. There are countless Forex materials on the Internet for beginners as well as for experienced traders – all you need to do is search. Spend some time reading how forex works, trading concepts and how prices are affected by economic and political conditions.

Second, you need to gain some experience if you want to learn forex trading, this is the only way. For starters it is wise to have this on a demo account. This will give you a good technical basis on the mechanics of forex trading and get used to using a trading platform.

After trading on a demo account for a while, it’s also important to use a real one, albeit with a small investment – find a broker who will accept smaller trades (0.01 lots for currency) so you can feel real for live market. This is a completely different game, trading on a demo and a real platform because of the psychological effect that real money trading has. A small trade will allow you to put your money on the line, but with little risk if you make mistakes or lose money.

From there, provided you gain more than you lose, you need to gradually increase your trading size and invested capital, always remembering that this is an amount you can afford to lose and with which you feel comfortable.

3. What is the best software for forex trading?

There are a number of programs for trading the Forex market that have their definite advantages and disadvantages. Many trading companies have created their own platforms, while others prefer to use and are essentially White Label, existing solutions that are widely known in the industry.

It would be wrong to say which one is the best, as it depends on the opinion of the individual user, but there is a clear trend in terms of popular platforms, which have been favored by both beginners and veteran traders. These platforms are Metatrader 4 and C-Trader. The first was built primarily for Forex products, and the second was designed to accompany other instruments such as stocks and ETFs. Both platforms are easy to use and master, and complete with full charting and technical analysis capabilities.

4. Forex trader: how can you be a good forex trader?

To sum it up, the key to a good forex trader is discipline. Yes, there are many things you need to know and know before making any deals or getting involved in the financial industry, but one thing that needs to stay consistent throughout is discipline. Discipline in learning, in making your first deals and in keeping your plan.

The basics that all new traders should follow:

– Learn about Forex – the network has a lot of material. Spend a good 1 month training. Research technical and fundamental analysis. Your training should continue in your trade.

– Come up with a strategy – Establish rules that will determine your trading model and how you will enter and exit the market.

– Practice on the demo – Open a demo account and trade as you really are. Of course, this will not be “true”, as if you were trading for real, due to the fact that the fear of losing will not affect your decisions. Don’t move on to the next step if you can’t make a profit on the demo first.

– Practice on a real account with a small amount – Do this to understand the difference between real money trading and demo trading. Do this with a substantially small amount but enough to make you worried about losing it.

– Trade on a real account with a significant amount – Do it with an amount that you “conveniently” completely lose. Even if your strategy worked on demo and real with a small amount, it may not continue to do so in the future. Stick to your strategy (have complete discipline). If you see that a strategy has failed, adjust your strategy accordingly, but stick to it (to the point) always as soon as it has been adopted.

5. Forex market: is it possible for a forex trader-amateur to make a steady income by trading forex?

Many traders make a living by trading Forex, and some have made very rich profits, allowing them to become self-employed and leave work 9-5. All these traders have one thing in common – they all started as amateurs in forex! No one is born with trade know-how; this is achieved through dedication and discipline.

So yes! an amateur forex trader can really make a steady profit from forex trading. As long as he is willing to make an effort and has the discipline to adhere to such a commitment, there is no reason why he cannot do what others have done to him in the same shoes.

6. Forex Trader: Who is the best forex trader?

There is no best trader in the Forex market – or at least there is no clear way to measure it (whether it’s the amount you win or the percentage earned from it). In addition, because many of the world’s leading forex traders trade not their own money but the company’s funds and capital, this means that different psychological conditions and risk appetites exist for different traders, and thus compare the success of such traders with them. not indifferent. those who trade with their capital.

The only thing you need to know is what many Forex traders have in common – their appetite for success, their diversified portfolio and willingness to take moderate risks.

7. Has anyone ever made money on Forex?

Yes! Not only did people make money by trading Forex, but many made a living!

While most retail traders will not have as much success as professionals, this is largely due to poor money management strategies and a lack of discipline in sticking to their strategy.

With 100% discipline and a good money management strategy, there is no reason why anyone should not have a good chance of making money from Forex trading.

8. Is FOREX the best way to invest money?

It’s hard to say whether this will be the best, as there are many ways to invest money and it largely depends on what the person is familiar with; however, this is one of the best, mainly due to the fact that unlike the stock / housing market – an investor can make money no matter how the instrument works by selling / buying the instrument (or doing both – known as hedging).

In the stock market, you can only invest in the success of the stock – but in Forex, you can buy / sell a currency against another, and always have the opportunity to make a profit.

In addition, the fact that Forex is usually traded with leverage, allows Forex trading to become one of the most volatile and thus allows you to make higher profits (as well as losses) – with proper trading.

9. Forex market: what are the best forex blogs?

There are a number of places online to find a great blog related to forex, in fact many brokers also have their own blogs; but to remain unbiased, I will recommend a non-brokerage blog. One of the most useful blogs for both beginners and veteran traders is babypips.com – there are regular updates on current market movements as well as lots of information and ideas being expressed.

10. Why do individual investors usually lose money on Forex?

Most retail investors are losing money on Forex. While they may receive the right training and instructional material (or at least the same as some other successful traders), many often fail due to poor money management rules and / or lack of discipline. The latter is the most common.

The most difficult thing in Forex is not to make calculations and not to predict where it goes, how much to trade and / or what your limits should be; it is to follow your strategy and follow 100% discipline.