Hello everyone, I want to increase my money but I don�t know very mucho about FOREX, so I need help to make the best decision.
You’ve come to the right place to increase your knowledge of Forex. I’ve read through the Babypips school and found the instruction to be spot on. There are many people that I’m sure that are willing to help.
I’ve been only trading for a year both demo and live. I suggest a broker that allows penny lots (mini or micro accounts). I’m not here to promote brokers so I will only say that I trade with IBFX because they do allow penny lots sizes. If you don’t understand the only way I can say this is that each pip is worth .01 cent. Up 100 pips, your up a $1.00. You might say, how can I make money trading only penny lots. Trade the volitale GBP/JPY and find out how fast 400 pips comes and goes. I grid stack my trades in the direction of where I want it to go (think it might go) and set my profit targets accordingly.
Money management is a key. I can’t stress this enough because I have blown up my account. Risk no more than 1% of your account balance. Remember that margins figure in also. On a penny lot the margin is 50 cents. Ten open trades and your margin is $5.00. If you have $100 dollars and 10 open trades, your equity minus your margin equals your free margin or in this case $95.00. So you don’t want to risk any more than 1% on a trade or 95 cents. You can find some risk calculators online that will help you figure out how much you can trade. I have a tendancy to overtrade and that gets me into trouble.
I found that back testing your trading strategy really helps. This will also solidify your understanding of support and resistance levels, trends, etc. Using a product like Forex Tester really helps. Concentrate on one pair and learn the ins and outs through backtesting.
Use Google. I’m always looking at different searches for Forex items. This is how I came across Babypips.com.
Happy trading:). May all your trades be winners!
Mike
I agree with tekilamike, this is a good place to learn about Fx. Its good to see people interested in this. There is a good school, great grades!!!
I recommend browsing the Internet on all you can go over and over everything twice if you can. Until you get the hang of everything, check out the central banks, reviews look into glossary of terms. Also check out all the forums, groups you can, look into free videos that can explain whatever you have left as question. Last download all the free eBooks you can talk the moderator if needed and make all the friends you can. Peace
since this is a LEARNING site, and believe it or not you are only the 524th person to ask the same question in the past few minutes, take yourself all over the posts, especially those saying HELP, and devour the answers.
this is the place to be, and day by day you will learn what its all about, and in about a year you may actually be good enough to use real money and make it work (you can use real money earlier, but WORKING becomes the keyword here)
and my favorite advice, when you get a demo account, DO NOT TAKE THE 50K but rather change the amount DOWN to something more closely approximating what you will REALLY have to spend. the 50k account simply gives you too much of a cushion and a false sense of trading, which is EXACTLY what the brokers want you to feel, so you start trading real money way too soon and they get it VERY FAST !
your answers are all over this site, and there are no shortcuts to learning, so belly up to the bar and hear the war stories, dread stories, gold stories and just plain stories, and in there will be some experience and wisdom which you will learn to recognize on down the road.
like anything else, its TIME !
enjoy and trade well
mp
[B][I]Within the great hall at Elfinore stands a wondrous coffer, precisely four cubits square and securely latched against the outside world. Inside that repository, shut away from impertinent eyes, abides many an intriquing trading secret garnered from around the world and over the ages !
As a child, i used to watch from the darkness as the secrets were debated and annotated by the elders. No one there held a single thought of my presence – BUT I KNOW WHERE THEY HID THE KEY !![/I][/B]
I suggest if you can send a meager amount to a broker who will allow micro accounts. you will be more serious about it and the sense of belonging will be there to protect your money.
You can learn by reading books but experience cant be read in books.
Wishing you a thousand pips
while further on down the road, this can be good advice (although its completely dependent on the person involved) for someone with NO experience at all, its a bunch better if they crash the plane in a simulator, then destroy even a cheap plane in a ground loop !
good advice for men who dont read instructions, but certainly not a way to start off a long trip of learning !
mp
You’re right, Demo account should be the best approach for a beginner I said that because of my past encounters with some of the forex traders we started up together in 2007.
TY
theres a point where the rubber has to meet the road, and one should not remain a demo head forever, but even the dumbest of birds dont push the chick out of the nest on day one !
he will be ready when hes ready and a tiny account is the best to get feet dripping wet with !
enjoy and trade well
mp
I think combining the Demo practices with the reading of articles and some book would be a good option too. Additionally getting informed and supporting with the forums information.