Posted by forex at 5:16 AM
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1. Head to your local library to check out books regarding currency trading. Although most of the information in the currency trading books may not apply to the modern stock market, the information and insight provided in those strategies may be quite beneficial. In addition, check out several biographies on famous traders. These traders do not have to trade currency futures. Famous traders such as Jesse Livermore and Timothy Sykes became famous not simply because of their trading style, but more-so because of their trading psychology. Reading these autobiographies allows you to gain insight into their trading psychology which helped make them profitable.
2. Find a friend, family member, or colleague that is an active currency future trader to become your mentor. Having a mentor allows you to learn current currency futures trading strategies. In addition, a mentor provides valuable insight into the stock market.
3. Read global news to determine how currency prices may react. If a certain country is successful in decreasing the unemployment rate for example, then the currency future is likely to increase. Evaluate the news to create a list of currency futures you would like to invest in.
4. Contact your local broker to inquire about futures trading. If you do not know of any local brokers, search online for 'online futures broker' to find a broker that allows the trading of currency futures. Inquire about the minimum account balance needed to open a futures account.
5. Request an application to trade futures from your broker of choice. Many online brokers offer online applications, able to be sent electronically. However, all brokers allow applications to be faxed as well.
6. Fund your newly formed brokerage account. You are able to fund an account through a money wire, check or cash. Funding an account takes one to three business days.
7. Log into your brokerage account and select 'trade' then type the name of the currency future you would like to buy and select 'buy'.