There are two kinds of currency trading information available for
traders in foreign exchange, one that you need and one that you don't.
Let me expand on that briefly. The information you need is specialist information relating solely to the market you're trading in, or thinking of trading in. This comes mostly in the form of charts, showing an easily understood history of the price movements in that market, and other indicators that you read in conjunction with charts.
How many of these indicators you need, and which ones, are questions you'll have to answer for yourself when you've gained some experience.
There are also ebooks available, often free of charge, written by people who, for example, have discovered a new way of trading a particular market, and simply want to share their method with others. These are often bona fide, though sometimes very technical, guides written with a genuine intention of helping others.
The other kind of currency trading information can be found on hundreds of web sites, forums and mail shots. It simply tells you how easy it is to make thousands of dollars or pounds in currency trading, or forex, and is slanted to selling you a course, eBook or brokerage service that is designed not to help you so much as to enrich those who sell them. In other words, most of the general information you will find online concerning currency trading, or forex, is false.
You should ask yourself, if it's so easy then why are they concentrating their efforts on selling stuff to you? Why aren't they just getting on with trading forex and making a fortune? I'll tell you. It's the same reason why, in the gold rushes of the nineteenth century, there was more money to be made selling shovels and maps (information) to gold prospectors than there was in prospecting for gold yourself.
So it's not surprising to learn that 90% to 95% of all newcomers to forex trading fail, and around 5% of them actually go bankrupt. Is this because forex trading itself is almost impossible to profit from, or is it because beginners are mostly ill-informed about how to trade profitably?
It's a little of both. The forex market can be traded profitably, especially with the currency trading charts that are available, but the way in which beginners are encouraged to trade it means that they are nearly all doomed to fail from the start.
You can't go into this extremely volatile market with just $300 or so and expect to make profits by day trading. Yet there are so many sellers of forex information telling you that you can. I've just seen one such site blatantly telling us that you can start with £300 GBP capital and soon be making £5,000 GBP or more per week! The truth is that even successful forex traders seldom earn more than 30% a year on their capital.
The vast bulk of forex traders are those working for big banks who can trade in millions of dollars at a time. 30% is a handsome return on anything, and when your capital is in the millions then, well, "do the math". But if your starting capital is just $1,000 you really would be well advised to stay away from forex, because you're in grave danger of losing it all.
So what can you do? It must be possible to make money from currency trading because there are real people out there who actually do it, and they're not all fund managers working for big banks with millions of dollars to move around. Some of them, and it is only a very few, are private individuals who have become very wealthy through currency trading and other financial market activities, using methods they have spent years developing.
The only answer is to find one of them and see if they are prepared to offer coaching and mentoring, so you can learn what they do and do it yourself. So start your search now. The information you seek is not all that far away.
Let me expand on that briefly. The information you need is specialist information relating solely to the market you're trading in, or thinking of trading in. This comes mostly in the form of charts, showing an easily understood history of the price movements in that market, and other indicators that you read in conjunction with charts.
How many of these indicators you need, and which ones, are questions you'll have to answer for yourself when you've gained some experience.
There are also ebooks available, often free of charge, written by people who, for example, have discovered a new way of trading a particular market, and simply want to share their method with others. These are often bona fide, though sometimes very technical, guides written with a genuine intention of helping others.
The other kind of currency trading information can be found on hundreds of web sites, forums and mail shots. It simply tells you how easy it is to make thousands of dollars or pounds in currency trading, or forex, and is slanted to selling you a course, eBook or brokerage service that is designed not to help you so much as to enrich those who sell them. In other words, most of the general information you will find online concerning currency trading, or forex, is false.
You should ask yourself, if it's so easy then why are they concentrating their efforts on selling stuff to you? Why aren't they just getting on with trading forex and making a fortune? I'll tell you. It's the same reason why, in the gold rushes of the nineteenth century, there was more money to be made selling shovels and maps (information) to gold prospectors than there was in prospecting for gold yourself.
So it's not surprising to learn that 90% to 95% of all newcomers to forex trading fail, and around 5% of them actually go bankrupt. Is this because forex trading itself is almost impossible to profit from, or is it because beginners are mostly ill-informed about how to trade profitably?
It's a little of both. The forex market can be traded profitably, especially with the currency trading charts that are available, but the way in which beginners are encouraged to trade it means that they are nearly all doomed to fail from the start.
You can't go into this extremely volatile market with just $300 or so and expect to make profits by day trading. Yet there are so many sellers of forex information telling you that you can. I've just seen one such site blatantly telling us that you can start with £300 GBP capital and soon be making £5,000 GBP or more per week! The truth is that even successful forex traders seldom earn more than 30% a year on their capital.
The vast bulk of forex traders are those working for big banks who can trade in millions of dollars at a time. 30% is a handsome return on anything, and when your capital is in the millions then, well, "do the math". But if your starting capital is just $1,000 you really would be well advised to stay away from forex, because you're in grave danger of losing it all.
So what can you do? It must be possible to make money from currency trading because there are real people out there who actually do it, and they're not all fund managers working for big banks with millions of dollars to move around. Some of them, and it is only a very few, are private individuals who have become very wealthy through currency trading and other financial market activities, using methods they have spent years developing.
The only answer is to find one of them and see if they are prepared to offer coaching and mentoring, so you can learn what they do and do it yourself. So start your search now. The information you seek is not all that far away.
We made 70 per cent on gold in less than a week. You can join us in trades like this at [http://www.onlinefinancialtrading.com]
Article Source:
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