How to Trade Forex for a Living - Forex Trading

What is Forex trading really Mean?

Forex trading is a short form for foreign exchange trading. It involves the act buying and selling of one currency pair against the other. Currency trading is another name for Forex trading.  Forex trading is an online business you can do from your own laptop from anywhere and anytime excluding weekends in the world. 

Buying and selling of different currencies for a profit is the major thing you do when trading forex. Trading cannot be achieved without a Forex broker. A forex broker provides a forex platform giving you the opportunity to make your trade.

The principle involves in the forex trading market is to buy a currency when a market is moving up, and sell when it moves down. What this means is that you place a buy order when a particular currency pair moves in an upward direction, and place a sell order when the market moves in a downward direction.

You can make money by either buying or selling in forex trading; all you need to do is to understand the principle of trading profitably.  Place a buy order when the market moves up and a sell order when it moves downwardly. Many traders do make losses because they fail to place the right trading order at the right time. Traders should be conscious of how they place trade at a given time. Right order is equal to profit and a wrong order is equal to losses.

Why Learn How to Trade Forex?

The act of learning how to trade the Forex market is a very important step that new traders must undergo at the beginning of their Forex trading exercise.

Forex market have a very huge profit potential, but this cannot be achieve without learning and knowing how to extract and make that profit from the market. Newbie traders should learn how to trade and profit from the markets alongside experienced professionals who will be able help you to speed up their learning process and ensure that they know how to trade profitably.

Anyone can learn how to trade Forex online from the comfort of their own homes. But not everyone makes the profit; some makes profit while other makes losses. It requires persistence and discipline to become a successful Forex trader.

You do not need a long time to learn how to trade forex, all you need to know is the type of trade to place and how to place it, simple!

How to trade Forex. 

1st step:

The first steps when learning how to trade the forex market is to get good trading education. Get some basics covered so that you know and understand the price action patterns. Also do not forget to have a proven Forex trading strategy which is the most important aspect.

2nd step:

Getting a forex demo account is another step you must take. While learning how to trade the forex market, make sure that you practice what you are learning with a Forex demo account. A demo account is a virtual account where you can place trade and it mimic the real account. Difference between a demo account and a real account is that you do not make any deposit or withdraw any money in demo account while you can do so in real account. It is advisable to trade with a demo account for at least 2month before having a real account. It's important to put into practice all what you you've learnt, so that you can see exactly what you are capable of doing.

So after all these, what should you do next?

The next thing you need to do is to get your consistency by trading price action patterns that work, and using a proven Forex strategy. After you have this consistency make sure that you trade the same as you have done on your demo account and do the same on your live account.

Just simply rinse and repeat, only trade when you see your edge in the markets and continue to trade price action patterns for profits. Ensure that you trade carefully so that as your account grows, you are risking more money per trade, because if you are losing a little, you're risking little per trade. 

Another thing to do is to make sure that you get yourself in the proper environment and interact with other experienced traders.

This helps to have a Forex mentor who is more knowledgeable in the forex markets and can help you to improve your trading techniques and strategies. They should also be able to help you psychologically deal with trading as the sums of money get plenty.

Always Plan your Trades during Weekend

Take a bit of time at the weekend looking through your charts and analyze trend and strategy setups. Remember that there will only be 5 new bars per week, you can set yourself in a good position by doing a little bit of preparation at the weekend. 

Place your trade and Forget

You need to learn to set up our trades and let them run, coming back to the charts at most once a day. Let me be sincere with you that this can take some time if you're use to watching your money tick up and down on your screen. The most relaxing and exciting way to trade is to place your trade and forget.

In conclusion, as a forex trader, do not see forex trading as a "get rich quick business", but you should see it as a way of life. Doing this will make you not to lose all your hard earn money.